2016/17
www.gov.uk/studentfinance
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2016/17
SESSION CONTENTS
•
2016/17 Policy Overview (full time and part time)
•
Other support (Dependants’ Grants, DSA, NHS courses)
•
Postgraduate Loans
•
Applying for student finance
•
Repayment
•
IAG Resources, Websites & Support
SECTION 1
STUDENT FINANCE 2016/17
POLICY OVERVIEW
2016/17
SECTION 1
2016/17 STUDENT FINANCE
TUITION FEES
Maximum fees and fee loan for full-time courses will be maintained at
2015/16 levels
•
Maximum fees for full-time courses maintained at £9,000 where an
institution has met conditions on widening participation set by the
Office for Fair Access (OFFA)
•
Maximum non-means tested Tuition Fee Loan for full-time courses
maintained at:
•
£9,000 for full-time courses at publicly funded institutions
•
£6,000 for specifically designated courses at private institutions
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SLC pay the Tuition Fee Loan directly to a university or college
2016/17
SECTION 1
MAINTENANCE SUPPORT
2016 COHORT FULL-TIME STUDENTS
Revised package of Maintenance Support for new entrants into Higher
Education in A/Y 2016/17 (2016 Cohort)
•
Maintenance Grant replaced by additional Maintenance Loan
•
The maximum level of Maintenance Loan has been increased by
10.3% for those previously entitled to Maintenance Grant
•
The overall amount of Maintenance available is therefore higher (the
amount of Loan exceeds the previous amount of Grant + Loan)
2016/17
SECTION 1
MAINTENANCE SUPPORT
WHO ARE 2016 COHORT STUDENTS?
The following students will be assessed as 2016 cohort:
•
Starting a full-time (F/T) course for the first time from 1st August 2016
•
There is NO gap year protection for students who deferred entry from
A/Y 2015/16 until A/Y 2016/17
•
Starting a F/T course on 1st August 2016 or later, having withdrawn from
or abandoned a previous HE course in 15/16 or earlier
•
Starting a F/T course on 1st August or later, having transferred from
a previous part-time course or F/T distance learning course started
before 1st August 2016
2016/17
SECTION 1
MAINTENANCE SUPPORT
WHO ARE 2016 COHORT STUDENTS?
The following students will be assessed at 2016 cohort, continued...
•
Starting a F/T course on 1st August 2016 or later, having completed a
F/T lower level course which started before 1st August 2016, where
the gap in study between the two courses is more than 5 months
•
Starting a F/T course on 1st August 2016 or later, having completed a
part-time of full-time distance learning course which started before 1st
August 2016
•
Starting a postgraduate Initial Teacher Training (ITT) course on 1st
August 2016 or later
2016/17
SECTION 1
MAINTENANCE SUPPORT
FULL YEAR MAINTENANCE LOAN RATES
2016 cohort F/T students, not eligible for benefits or aged over 60
Non-Income
Assessed
Full Year
Student*
Maximum Loan
Parental Home
£6,904
£3,039
44%
£3,865
56%
Elsewhere
£8,200
£3,821
46.6%
£4,379
53.4%
London
£10,702
£5,330
49.8%
£5,372
50.2%
Overseas
£9,391
£4,540
48.3%
£4,851
51.7%
(100%)
(% of Max Loan)
Income Assessed
(% of Max Loan)
*Lower amounts available for final year students
2016/17
SECTION 1
MAINTENANCE SUPPORT
MAINTENANCE LOAN ENTITLEMENT
2016 cohort F/T students, not eligible for benefits or aged over 60
Household
Income
Home
Elsewhere
London
£25,000 & under
£6,904
£8,200
£10,702
£30,000
£6,322
£7,612
£10,103
£35,000
£5,740
£7,023
£9,503
£40,000
£5,158
£6,434
£8,904
£45,000
£4,576
£5,845
£8,304
£50,000
£3,994
£5,265
£7,705
£55,000
£3,412
£4,667
£7,105
£60,000
£3,039
£4,078
£6,506
2016/17
SECTION 1
MAINTENANCE SUPPORT
COMPARISON
Household
Income
Continuing Student*
2016/17
New Student
2016/17
£25,000 & under
£7,572
£8,200
£30,000
£7,099
£7,612
£35,000
£6,625
£7,023
£40,000
£6,152
£6,434
£45,000
£5,651
£5,845
£50,000
£5,117
£5,256
£55,000
£4,583
£4,667
£65,000
£3,820
£3,821
*2012 Cohort F/T Student - Elsewhere Rates
2016/17
SECTION 1
STUDENT FINANCE 2016/17
PART-TIME SUPPORT
2016/17
SECTION 1
PART-TIME STUDENTS
2016/17 POLICY OVERVIEW
Publicly-funded universities or colleges can charge up to a maximum
tuition fee level of £6,750 a year for part-time courses
•
New, eligible part-time students can apply for a non means tested loan
to cover the cost of their tuition at these institutions
•
The actual amount charged will depend on the intensity of a course,
which must be 25% to 75% (how long it takes to complete a part-time
course compared to the equivalent full-time course
•
Part-time students will not be entitled to a loan or grant towards living
costs but can access Disabled Students’ Allowances (DSAs)
•
Students starting designated P/T courses provided wholly by a private
university or college can apply for up to £4,500 in Tuition Fee Loan
2016/17
SECTION 1
PART-TIME STUDENTS
OTHER SUPPORT
Eligible students with Higher Education qualifications who wish to study
part-time for another HE qualification in engineering, technology or
computer science can apply for fee loan support for a second course
•
Eligible exception courses are only those with JACS codes for
engineering, technology or computer science subjects*
•
Where the course is joint honours, both subjects must be exception
subjects or the course is not eligible for funding
•
This change currently only applies to eligible students domiciled in
England, who are studying in the UK
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2016/17
*For JACS code list: www.hesa.ac.uk These codes must be provided
by a HEP for courses to be recognised as eligible
SECTION 1
PART-TIME STUDENTS
ANNOUNCEMENTS IN SPENDING REVIEW
In the November 2015 Spending Review, the Chancellor outlined two
key proposals relating to part-time students:
•
Additional Tuition Fee Loans will be extended to students wishing to do
a second Part-Time degree in a STEM subject from A/Y 2017/18
•
Maintenance Loans for Part-Time students from A/Y 2018/19
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2016/17
Further information on the announcements can be found online at:
www.gov.uk/government/publications
SECTION 1
2016/17
OTHER SUPPORT
SECTION 1
DEPENDANTS’ GRANTS
POLICY OVERVIEW
Childcare Grant:
Based on 85% of actual registered/approved childcare costs up to
maximum of: £155.24 per week for one child
£266.15 per week for two or more children
Parents’ Learning Allowance:
Help with course-related costs for students with dependent children
Amount received will be between £50 and £1,573
Adult Dependants’ Grant:
Normally for the student’s partner. Can be for another adult who is
financially dependent on the student where the adult’s net income is not
more than £3,796 p.a. Maximum grant available: £2,757
2016/17
SECTION 1
DISABLED STUDENTS’ ALLOWANCES
POLICY OVERVIEW
Maximum Disabled Students’ Allowance will be maintained at 2015/16
Levels in 2016/17
Disabled Students’ Allowances provide help towards the additional costs a
student may face as result of their disability, long-term health condition,
mental-health condition or specific learning difficulty:
DSAs Support:
•
Is available in addition to the standard student finance package,
•
Does not have to be repaid,
•
Is not affected by household income,
•
Looks at the specific needs of the individual student
2016/17
SECTION 1
DISABLED STUDENTS’ ALLOWANCES
2016/17 MAXIMUM RATES
Allowance
Part-Time
Max Support
Full-Time
Max Support
Frequency
of Payment
Non-medical personal
helper
£15,543
£20,725
Annual
Specialist equipment
£5,212
£5,212
Duration of
Course
Other disability-related
expenditure
£1,305
£1,741
Annual
Disability related travel
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2016/17
No Limit – Reasonable spending can
be claimed
For both full-time and part-time postgraduate students, there is
a single allowance of up to £10,362 a year
SECTION 1
DISABLED STUDENTS’ ALLOWANCES
CHANGES FOR 2015/16: PRACTITIONER SITE FACT SHEET
2016/17
SECTION 1
OTHER SUPPORT
FUNDING FOR NHS COURSES
2016/17
SECTION 1
NHS BURSARIES
ELIGIBLE COURSES
Students must be accepted for an NHS funded place on a full or part
time course which leads to professional registration as a:
•
Doctor or dentist (they will be eligible for an NHS bursary after the
4th year of their course)
•
Chiropodist (including podiatrist), dietician, occupational therapist,
orthoptist, physiotherapist, prosthetist, and orthotist, radiographer,
radiotherapist, audiologist or a speech and language therapist
•
Dental hygienist or dental therapist
•
Nurse, midwife or operating department practitioner
2016/17
SECTION 1
NHS FUNDED DEGREES
HELP WITH LIVING COSTS
NHS Support:
Students training for eligible courses may be able to get a bursary
from the NHS:
•
A bursary is a yearly payment to help with living costs, it’s paid each
month and doesn’t have to be paid back
•
Full-time students on NHS degrees can also apply for a fixed grant
of £1000 per year
SFE Support:
Full-time NHS students can also apply to Student Finance England
for a reduced rate Maintenance Loan which doesn’t depend on income
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2016/17
More detailed information is available at:
www.nhsbsa.nhs.uk/Students and www.gov.uk/nhs-bursaries
SECTION 1
NHS FUNDED DEGREES
HELP WITH LIVING COSTS
Courses of up to 30 weeks and 3 days 2015/16 figures:
Non meanstested Grant
Means tested
Bursary
Non means-tested
Loan
London
£1,000
£3,191
£3,263
Not London
£1,000
£2,643
£2,324
With Parents
£1,000
£2,207
£1,744
Courses of up to 30 weeks and 3 days 2016/17 figures:
Non meanstested Grant
Means tested
Bursary
Non means-tested
Loan
London
To be announced
To be announced
£3,263
Not London
To be announced
To be announced
£2,324
To be announced
To be announced
£1,744
2016/17
With Parents
SECTION 1
NHS DEGREES
TUITION FEES AND LIVING COST SUPPORT
Fee Support:
NHS pays non-medical course fees (Nursing, midwifery etc..)
Medicine and Dentistry:
• Arrangements differ depending on year of study and pathway
• Tuition Fee Loan will be available from SFE
• NHS usually pays final year(s) tuition fees
Other Support:
Allowances for disabled students and students with dependent adults
and children are available from the NHS
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2016/17
Students can also claim help with travel costs to a placements,
for costs additional to those incurred travelling to their university
SECTION 1
NHS-FUNDED COURSES
REFORMS ANNOUNCED IN NOV 2015
SPENDING REVIEW
2016/17
SECTION 1
NHS-FUNDED COURSES
REFORMS ANNOUNCED IN NOV 2015 SPENDING REVIEW
In the Nov 2015 Spending Review, the Chancellor outlined a number of key
proposals, including a reform of funding for NHS courses (Section 5.1):
The Spending Review reforms the funding system for health students by replacing
grants with student loans and abolishing the cap on the number of student places for
nursing, midwifery and allied health subjects. The current grant system means that
there is a cap on student nurses and over half of all applicants to nursing courses are
turned away. This reform will enable universities to provide up to 10,000 additional
nursing and other health professional training places this Parliament. This will ensure
that there are enough nurses for the NHS while cutting the current reliance on
expensive agency staff. The move to loans will also mean access to 25% more
financial support for health students during their studies. The government will work
with key stakeholders to implement the reforms.
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2016/17
Further information on the announcements can be found online at:
www.gov.uk/government/publications
SECTION 1
STUDENT FINANCE 2016/17
POSTGRADUATE LOANS
2016/17
SECTION 1
POSTGRADUATE LOANS
INTRODUCTION
Loan support of up to £10,000 (non-means tested) available for students
starting a Postgraduate Masters course from 1st August 2016:
•
UK residents ordinarily resident in England, and EU nationals*, can use
the loan for courses provided in Wales, Scotland and Northern Ireland
•
Postgraduate Masters provision is a devolved matter in Scotland, Wales
and Northern Ireland
•
The loan will be a contribution towards course costs, not specifically
intended for either fees or maintenance
•
Applicants must be aged under 60 on the first day of the first academic
year of the course
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2016/17
*Awaiting final policy regarding residency and loan entitlement for
EU students! www.gov.uk/government/consultations
SECTION 1
POSTGRADUATE LOANS
PRODUCT OVERVIEW
The courses eligible to attract the loan will result in a postgraduate Masters
qualification (taught, research or professional) in any subject:
•
The loan will be available for courses at Level 7, usually attracting 180
credits with 150 of these at level 7
•
For example MA, MSc, MRes, MBA, MEd and LLM
•
Eligible courses must be either 1 or 2 years full-time in duration
•
The loan will be available for part-time postgraduate Master’s courses
(Part-time study must be at a minimum 50% intensity)
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2016/17
Part-time course duration may be up to 4 years when studied part
time for equivalent 2 year full-time courses
SECTION 1
POSTGRADUATE LOANS
POLICY OVERVIEW
Key policy points – All pending final policy and approval:
•
The Postgraduate Loan will be issued by the SLC directly to the student
in three instalments across the academic year
•
Individuals already holding a Masters qualification, an equivalent level
or a higher level qualification will not be eligible for the loan*
•
Eligibility not affected by previous PG study where a student did not
achieve the qualification and did not receive a postgraduate loan
•
Postgraduates will continue to be entitled to DSA of up to £10,362 for
postgraduate students in 2016/17
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2016/17
*Qualifications obtained outside the UK will be taken into account in
determining an individual’s eligibility for the Master’s loan
SECTION 1
POSTGRADUATE LOANS
REPAYMENT OVERVIEW
Repayment of the Postgraduate Loan will be contingent upon and start
once the borrower has an annual income of £21,000* or more:
•
Loan repayments will be due from the April after course completion,
subject to meeting the annual income threshold
•
There will be a one year delay in entering loan repayment for courses
undertaken in academic year 2016/17, for which repayments will
commence from April 2019
•
Borrowers will be able to make voluntary repayments ahead of April
2019 should they wish
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2016/17
*The £21,000 annual income threshold will be initially frozen until
2021 and subject to review
SECTION 1
POSTGRADUATE LOANS
REPAYMENT OVERVIEW
Postgraduate Loans repaid concurrently with any existing undergraduate
loans the student may have:
•
Postgraduate Loan repayment will be calculated at 6% of income above
the income threshold
•
6% rather than 9% has been chosen to try and ensure affordability
(E.g. If earning £25,000, repayments would be £20 per month)
•
If they also had an outstanding balance on a post-2012 undergraduate
student loan, they would repay a total of £50 per month
•
£30 repaid on the UG Loan + £20 repaid on the Postgraduate Loan
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2016/17
Interest will be calculated at RPI+3% and will accrue from the date
the first loan instalment is paid by the SLC to the student
SECTION 2
STUDENT FINANCE 2016/17
APPLICATIONS
2016/17
2015/16
SECTION 2
STUDENT FINANCE APPLICATIONS
KEY MESSAGE – APPLY EARLY
Each year thousands of students apply late for their finance and have no
way to pay for their course or accommodation, some even have to drop out!
Please encourage the students you work with to apply on time!
•
It can take up to least six weeks to process an application so apply early
•
The easiest way to apply is online at gov.uk/studentfinance*
•
Students don’t need a confirmed place at university or college to apply
•
Apply with their preferred choice, they can change details later if needed
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2016/17
*The application window is usually open from Jan-May. Students
can register on UCAS for updates and information from SFE
SECTION 2
STUDENT FINANCE APPLICATIONS
KEY MESSAGE – GET IT RIGHT FIRST TIME
•
Make a note of their account log-in details and keep them safe
•
Agree to share information from their application, this helps apply
for many bursaries and some scholarships
•
Make sure any evidence and information needed to support their
application is supplied first time (students and parent/partners)
•
Submit an application even if there’s a delay in getting sponsor income
details so some funding* will be available when they start their course
•
Sign and return their online declaration form as soon as possible so as
not to delay payments
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2016/17
*Tuition Fee Loan and element of the Maintenance Loan which
is non-means tested
SECTION 2
STUDENT FINANCE APPLICATIONS
GOV.UK – FOR APPLICATIONS AND INFORMATION
www.gov.uk/studentfinance
2016/17
SECTION 2
STUDENT FINANCE APPLICATIONS
WHAT IS HOUSEHOLD INCOME?
If supporting an application for means tested student finance, SFE will
need details of a student’s parents, partner or other sponsors household
(taxable) income and National Insurance numbers
Taxable earned income includes*
• Wages, salaries, tips, and other taxable employee pay
• Long-term disability benefits received prior to minimum retirement age
• Net earnings from self-employment
Taxable unearned income includes*
• Interest from savings (only the annual summary is required)
• Benefits and Pensions
• Rent from property or a room
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2016/17
*More details/information can be found on GOV.UK and the CAB
website: www.citizensadvice.org.uk/tax/what-is-taxable-income
SECTION 2
STUDENT FINANCE APPLICATIONS
TAX YEAR USED IN ASSESSMENTS
Financial information is needed for the tax year prior to when the student
will start in higher education
•
For students starting in Sept 2016 sponsors should submit financial
information for the 2014/15 tax year
Supporting an application – Drop in income:
If household income drops by 15% or more in the current tax year, SFE
can reassess an application so a student may receive additional support
Submitting a Current Year Income form:
• Support the student's application for finance as normal
• Complete the (CYI) form with estimates of this financial year's details
• Provide evidence to support estimates at the end of the current tax year
2016/17
SECTION 3
STUDENT LOAN REPAYMENTS
OVERVIEW
2016/17
2015/16
SECTION 3
STUDENT LOAN REPAYMENTS
AN OVERVIEW
•
Students won’t make repayments until their future income is over
£21,000 a year gross (before tax)
•
If they study a full-time course, they will be due to start repaying in
the April after graduating from/leaving higher education
•
They’ll repay 9% of any income over £21,000 and if employed, deductions
will be made from their pay through the HMRC tax system*
•
If their income falls to £21,000 or below their repayments will stop
•
Any outstanding loan balance will be written off 30 years after entering
repayment
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2016/17
*If students move or work overseas, repayments will be 9% of any
earnings over the threshold for the country they are living in
SECTION 3
STUDENT LOAN REPAYMENTS
THE FIGURES
i
Income each year
before tax
Income from which
9% is deducted
Monthly Repayment
(Approx)
£21,000
£0
£0
£25,000
£4,000
£30
£30,000
£9,000
£67
£35,000
£14,000
£105
£40,000
£19,000
£142
£45,000
£24,000
£180
£50,000
£29,000
£217
£60,000
£39,000
£292
2016/17
The £21,000 annual income threshold will be frozen until 2021
and subject to review: www.gov.uk/government/consultations
SECTION 3
STUDENT LOAN REPAYMENTS
THE INTEREST – FULL-TIME
Interest levels will depend on a students income and circumstances:
£
£
£
£
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2016/17
During study until
entering repayment
Income:
Under £21,000
Income:
£21,000 to £41,000
Income:
Over £41,000
%
%
%
%
Interest Rate:
Retail Price Index +3%
Interest rate is:
Interest Rate:
Set at RPI Only
RPI Only
Interest Rate:
RPI + up to 3%
Interest Rate:
RPI +3%
The interest rate is updated once a year using the RPI figure
from March which is carried forward and applied in September
SECTION 3
STUDENT LOAN REPAYMENTS
DEDICATED WEBSITE
www.studentloanrepayment.co.uk
2016/17
SECTION 3
STUDENT LOAN REPAYMENTS
STUDENT LOANS AND MORTGAGES
The Financial Conduct Authority has confirmed in it’s Mortgage Market
Review that student loan repayments have to be included as ‘committed
expenditure’ in mortgage applications
•
While this may effect how much a graduate can borrow, it does not mean
they can’t or won’t be able to successfully secure a mortgage
Quote from the Council of Mortgage Lenders:
•
‘Student loan debt is treated in the same way as other types of debt,
and regular repayments will reduce the disposable income, which is used
in the income multiple/affordability calculation’
2016/17
SECTION 4
SFE RESOURCES
FOR PRACTITIONERS AND STUDENTS
2016/17
SECTION 4
SFE RESOURCES
DEDICATED PRACTITIONER WEBSITE
www.practitioners.slc.co.uk
2016/17
SECTION 4
SFE RESOURCES
IAG MATERIALS – NEW FOR 2016/17
A range of student finance resources are now
available for academic year 2016/17 including:
•
Quick Start Guides
•
PowerPoint Presentation
•
Student Finance Films
•
Promotional poster for our Student
Finance Zone on The Student Room
•
Exchange, the Practitioners E-Mag
2016/17
SECTION 4
SFE RESOURCES
IAG MATERIALS – ONLINE QUICK GUIDE
The Quick Start Guides are also available in an online platform that allows
students and their parents to find out about the different types of student
finance available all in one central place
•
Can be accessed through multiple
devices, such as desktop, tablet and
smartphone
•
Links to further content on GOV.UK
and our zone on The Student Room
•
Printer friendly content
2016/17
SECTION 4
SFE RESOURCES
SFE ON YOUTUBE – WWW.YOUTUBE.COM/SFEFILM
The SFE YouTube channel hosts our range of videos for students, their
sponsors and practitioners, covering the main areas of student finance:
2016/17
SECTION 4
SFE RESOURCES
THE STUDENT ROOM
SFE’s dedicated zone on The Student Room has everything students and
parents need to understand student finance, applications and repayments:
•
Links to Resources
•
Step–by–Step Guides
•
Q&A Surgeries
•
Student Forums
•
Official SFE Information
2016/17
SECTION 4
SFE RESOURCES
SFE SOCIAL MEDIA – LATEST NEWS AND UPDATES
The SFE social media pages give up to
date information on all aspects of student
finance:
•
Advice and support on applications
•
Answering student/sponsor questions
•
facebook.com/SFEngland
•
twitter.com/SF_England
2016/17
2016/17
www.gov.uk/studentfinance