Tag: Michelle Donelan

  • Michelle Donelan – 2022 Comments on Capping Interest on Student Loans

    Michelle Donelan – 2022 Comments on Capping Interest on Student Loans

    The comments made by Michelle Donelan, the Higher and Further Education Minister, on 11 June 2022.

    The government has always been clear that where it can help with rising prices we will, and I will always strive for a fair deal for students, which is why we have reduced the interest rate on student loans down from an expected 12%.

    I want to provide reassurance that this does not change the monthly repayment amount for borrowers, and we have brought forward this announcement to provide greater clarity and peace of mind for graduates at this time.

    For those starting higher education in September 2023 and any students considering that next step at the moment, we have cut future interest rates so that no new graduate will ever again have to pay back more than they have borrowed in real terms.

  • Michelle Donelan – 2022 Statement on Reducing Bureaucracy in Higher Education

    Michelle Donelan – 2022 Statement on Reducing Bureaucracy in Higher Education

    The statement made by Michelle Donelan, the Minister for Higher and Further Education, in the House of Commons on 23 May 2022.

    Today I am providing an update on my commitment in September 2020 to reduce regulatory burden in higher education.

    Bureaucracy has a direct impact on how well providers can do their jobs: every pound spent on unnecessary bureaucracy is a pound that is not being spent on teaching and research.

    I am therefore pleased to confirm that the Office for Students has already:

    reduced its enhanced monitoring by over 75%, removing 376 individual information or reporting requirements;

    removed its requirement for detailed monitoring returns on Access and Participation Plans in 2022

    streamlined its communications with HE providers and provided a direct contact for every registered provider.

    In addition, I recently set up the HE data reduction taskforce, to bring together attendees from providers, arm’s-length bodies and other data experts across the HE sector to identify where we are putting overlapping data requirements on providers and where they could be reduced. The taskforce provides a real opportunity for all parties involved in data in the HE sector to discuss challenges and opportunities and, most importantly, to agree tangible actions.

    Institutional bureaucracy

    There is, however, more that providers themselves could do to remove internal bureaucracy which is not needed to comply with regulatory requirements.

    I therefore want to use this statement to encourage HE providers strongly to look at ways that they could reduce this gold-plating. This should include:

    Reviewing their own schemes of delegation to ensure that they are fit for purpose, and that regulatory decisions and activity are clearly delegated to the right level in the provider. Not every decision needs to go to the Board of Governors, or through multiple layers of governance.

    Ensuring that they remain focused on the content of the decisions they are making and the reasons for the decision, rather than ensuring that it goes to multiple committees.

    Carefully considering which processes, committees, activities and external subscriptions genuinely add value for students and which could be dispensed with, to free up academic time for teaching and research.

    Unnecessary bureaucracy can take up time that could be spent focusing on the academic experience or quality of teaching which a student receives. This Government and the OfS will continue to focus on this, but providers also need to look internally to do the same.

  • Michelle Donelan – 2022 Statement on Antisemitism in the NUS

    Michelle Donelan – 2022 Statement on Antisemitism in the NUS

    The statement made by Michelle Donelan, the Higher and Further Education Minister, on 14 May 2022.

    I am horrified by the thought of Jewish students feeling ostracised by an organisation which should be a voice for their community and an advocate of equality for all students.

    Although this was a decision that the Department did not take lightly, we have been clear that antisemitism must be stamped out of the sector and are treating these allegations with the utmost seriousness.

    Whilst our door is not closed to the NUS, our message could not be simpler. We need decisive and effective action in response to these repeated allegations of antisemitic behaviour. We are glad that the NUS has started to respond and are ready to work with them again when sufficient action has been taken.

  • Michelle Donelan – 2022 Statement on Student Loan Repayment Thresholds

    Michelle Donelan – 2022 Statement on Student Loan Repayment Thresholds

    The statement made by Michelle Donelan, the Minister for Higher and Further Education, in the House of Commons on 28 January 2022.

    I am announcing details of the repayment threshold and interest rate thresholds that will apply to post-2012 (plan 2) student loans, and the repayment threshold that will apply to postgraduate (plan 3) student loans, for financial year 2022-23.

    Plan 2 student loan repayment threshold

    I can confirm today that I intend to bring forward regulations that will keep the repayment threshold for plan 2 student loans—the income level above which post-2012 student loan borrowers are required to make repayments—at its current level for the financial year 2022-23. The threshold will be maintained at its financial year 2021-22 level of £27,295 per year, £2,274 a month, or £524 a week. The post-study interest rate thresholds that apply to plan 2 loans will also be kept at their current levels in accord. For financial year 2022-23, the lower interest rate threshold will remain at £27,295—to align with the repayment threshold—and the upper interest rate threshold will remain at £49,130.

    It is now more crucial than ever that higher education is underpinned by just and sustainable finance and funding arrangements, and that the system provides value for money for all of society at a time of rising costs. This Government have already confirmed that we will freeze maximum tuition fee caps again for the 2022-23 academic year, the fifth year in succession that we have held fee caps at current levels.

    The ongoing fee freeze is reducing the burden of debt on students and is helping to make higher education more affordable for them. However, the overall cost to taxpayers of the system is rising. Since 2018, the repayment threshold for plan 2 student loans has increased each April in line with changes in average earnings. If we do not keep the threshold at its current level, it would rise by a further 4.6% in April 2022.

    Maintaining the repayment threshold at its current level, alongside the ongoing freeze in fees, will help to ensure the sustainability of the student loan system, while keeping higher education open to everyone who has the ability and the ambition to benefit from it, including the most disadvantaged.

    We will also shortly set out further plans for addressing the student finance recommendations made by the independent panel that reported to the review of post-18 education and funding.

    Postgraduate (plan 3) student loan repayment threshold

    I can also confirm today that the repayment threshold for postgraduate student loans will remain at its current level of £21,000 per year, £1,750 a month or £404 a week for financial year 2022-23.

    Postgraduate loan outlay is forecast to increase in coming years, and 30% of borrowers holding a master’s loan (academic year 2020-21 entrants) are not expected to repay their loans in full. We must ensure that postgraduate loans remain sustainable and that is why we are also retaining the current repayment threshold for postgraduate loans.

  • Michelle Donelan – 2021 Statement on Higher Education Student Finance

    Michelle Donelan – 2021 Statement on Higher Education Student Finance

    The statement made by Michelle Donelan, the Minister for Further and Higher Education, in the House of Commons on 21 October 2021.

    I am announcing details of student finance arrangements for higher education students undertaking a course of study in the 2022-23 academic year starting on 1 August 2022.

    The Government announced in the “Interim Conclusion of the Review of Post-18 Education and Funding” in January that maximum tuition fees would be frozen for a further academic year to deliver better value for students and to keep the cost of higher education under control.

    I can confirm today that maximum tuition fees for the 2022-23 academic year in England will be maintained at the levels that apply in the 2021-22 academic year, the fifth year in succession that fees have been frozen. This means that the maximum level of tuition fees for a standard full-time course will remain at £9,250 for the 2022-23 academic year.

    Maximum undergraduate loans for living costs will be increased by forecast inflation (2.3%) in 2022-23. And the same increase will apply to maximum disabled students’ allowance for students with disabilities undertaking full-time and part-time undergraduate courses in 2022-23. Maximum grants for students with child or adult dependants who are attending full-time undergraduate courses will also increase by forecast inflation in 2022-23.

    We are also increasing support for students undertaking postgraduate courses in 2022-23. Maximum loans for students starting master’s degree and doctoral degree courses from 1 August 2022 onwards will be increased by forecast inflation (2.3%) in 2022-23. And the same increase will apply to the maximum disabled students’ allowance for postgraduate students with disabilities in 2022-23.

    I am confirming today that current and former employees of the UK Government and their family members that have been relocated from Afghanistan to the UK under the Home Office’s relocation and assistance scheme will qualify for student support and home fee status in relation to new higher education courses from 1 August 2022 onwards if they have been resident in the UK and islands since the grant of such leave. They will also qualify for advanced learner loans for further education courses. Students who are in this category will not need to demonstrate three years’ ordinary residence in the UK and islands before the start of a course.

    I am also confirming today that home fee status and tuition fee loans will be extended to the family members of all persons settled in the UK, subject to three years residence in the UK and islands immediately before the start of the course. Currently only the family members of UK nationals are eligible under this residency category.

    I am announcing today that persons who have settled status on arrival in the UK, who come to the UK from specified British overseas territories and who are starting full-time and part-time undergraduate courses in 2022-23 will be eligible for tuition fee loans. To qualify, persons resident in the British overseas territories will need to satisfy the three-year ordinary residence requirement in the UK, islands or specified British overseas territories. Eligible persons in Gibraltar may continue to satisfy the three-year ordinary residence requirement in the UK, Gibraltar, the EEA or Switzerland to qualify for student support for courses starting on or before 31 December 2027.

    UK nationals and their family members in the British overseas territories already benefit from access to home fee status if they meet the residency requirement of three years in the UK, islands and British overseas territories immediately before the start of the course. Family members of all persons settled when in the UK will now have access to home fee status.

    Corresponding changes will be made in respect of students in the above categories who are starting postgraduate master’s degree courses and postgraduate doctoral degree courses in 2022-23 who will qualify for postgraduate loans and those starting further education courses in 2022-23 who will qualify for advanced learner loans.

    The changes set out above demonstrate our commitment to supporting economic development in the British overseas territories and enabling those who wish to study at one of our world-class education providers to be able to do so.

    Further details of the student support package for 2022-23 are set out in the document available as an attachment online: https://questions-statements.parliament. uk/written-statements/detail/2021-10-21/HCWS339.

    I expect to lay regulations implementing changes to student finance for undergraduates and postgraduates for 2022-23 in November. These regulations will be subject to parliamentary scrutiny.

    The Government continue to consider the recommendations made by the Augar panel carefully. We plan to set out a full response to the review of post-18 education and funding in due course.

  • Michelle Donelan – 2021 Comments on Turing Scheme

    Michelle Donelan – 2021 Comments on Turing Scheme

    The comments made by Michelle Donelan, the Universities Minister, on 4 August 2021.

    Our schools, colleges and universities have worked tirelessly to make this programme a success, and I am grateful to them and their global partners who have truly embraced this opportunity for international collaboration.

    I look forward to seeing the innovation and expertise our students, pupils and vocational learners bring back to this country from their journeys to every corner of the globe – from Canada to Japan, and Australia to the United States.

  • Michelle Donelan – 2021 Statement on Student Loan Interest Rates

    Michelle Donelan – 2021 Statement on Student Loan Interest Rates

    The statement made by Michelle Donelan, the Minister for Universities, in the House of Commons on 10 June 2021.

    On 9 June I announced a temporary reduction in the maximum student loan interest rate following the recent decline in the prevailing market rate for comparable unsecured personal loans.

    In accordance with the Teaching and Higher Education Act 1998, where the Government consider that the student loan interest rate is higher than the prevailing market rate for comparable unsecured loans, we will take steps to reduce the maximum student loan interest rate.

    The Government regularly monitor the interest rates set on student loans against the interest rates prevailing on the market for comparable loans.

    Following a decline in the prevailing market rate, on 9 June I laid legislation to cap the maximum post-2012 undergraduate income contingent repayment and the postgraduate income contingent repayment student loan interest rate in line with the prevailing market rate. The cap will come into effect from 1 July 2021 and last for a period of three months.

    The reduction will be 0.3 percentage point on the maximum student loan interest rate to reflect the average market rates during the preceding monitoring period.

    Student loan interest rates are updated each year to take account of changes in the retail prices index (RPI). The updates are applied annually at the start of each academic year, 1 September. To take into account this annual change in the ordinary student loan interest rates, two separate caps will be implemented, one for the period 1 July to 31 August and one for the period 1 to 30 September.

    The maximum post-2012 undergraduate income contingent repayment student loan interest rate and the postgraduate income contingent repayment student loan interest rate will be 5.3% between 1 July and 31 August.

    The maximum post-2012 undergraduate income contingent repayment student loan interest rate and the postgraduate income contingent repayment student loan interest rate will be 4.2% between 1 September and 30 September.

    From 1 October 2021, the post-2012 undergraduate and postgraduate income contingent repayment student loan interest rates will revert to the standard rate +3%.

    Further caps may be put in place should the prevailing market rate continue to be below student loan interest rates.

  • Michelle Donelan – 2021 Comments on In-Person Teaching in Universities

    Michelle Donelan – 2021 Comments on In-Person Teaching in Universities

    The comments made by Michelle Donelan, the Universities Minister, on 10 May 2021.

    Our priority from the very start of this pandemic has been to help students complete their courses and graduate as planned which is why I am pleased that the Prime Minister has today confirmed all remaining students can return to in-person teaching from the 17 May as part of Step 3 of the Government’s road map.

    It is vital that we make every effort to keep us all as safe as possible, and every student will be offered three tests on return to campus. I would strongly encourage students to make use of the free tests available to them.

    To further support those beginning the next chapter in their lives we have published our Graduate Employment and Skills Guide, created with universities and designed with prospective employers in mind, which will give students the help and advice they need to build their skills and kickstart their careers.

    I know that entering the jobs market can be daunting, particularly during a global pandemic, but I know that employers will recognise the resilience and strength of this year’s graduates and the essential role they will play in this country’s recovery.

  • Michelle Donelan – 2021 Speech to TASO Conference

    Michelle Donelan – 2021 Speech to TASO Conference

    The speech made by Michelle Donelan, the Universities Minister, on 21 April 2021.

    Good afternoon and thank you for inviting me here today to speak about the vital role we can all play as we overcome Covid-19.

    I regret that we cannot be together today, that instead we are speaking through screens in a manner that has become familiar to us all by now. This pandemic has forced us all to adapt – and adapt fast in order to keep students learning during this historic pandemic.

    So, I want to start by thanking everyone across our universities and higher education institutions for all that you have done across the last year. And with our fantastic vaccine roll-out, we can see the light at the end of the tunnel.

    But levelling-up Britain cannot wait. We need to double down on eliminating equality gaps in higher education today.

    Those of you that know me will know just how passionate I am about social mobility – and Covid-19 has not diluted that one bit.

    I want to be clear that as Universities Minister, this is my top priority.

    That means making sure access and participation in higher education is open to all that have the ability and desire.

    It means making sure those who grow up in the most disadvantaged households have the same opportunities to go to university as their peers – and succeed when they are there.

    It also means that they should be just as likely to study courses with good graduate outcomes and complete those courses.

    That is why when I first heard of TASO, I was truly excited to hear about the evidence it is gathering to bolster these efforts.

    I support TASO’s mission to develop that strong evidence around effective approaches to access, student success and progression to good quality employment and further study.

    Because we all know that evidence-led policy and practice in university access and successful participation is at the very heart of levelling up and providing equality of opportunity.

    And we know that we need to measure what matters, not just what is easy to measure.

    It is easy to get people on to courses by making unconditional courses, without considering whether they are academically suitable; or to reduce the attainment gap by grade inflation and offering more firsts. But let me be candid: that does not and will not deliver effective change and we need to seriously question these practices.

    It is more difficult, but much more meaningful, to improve access by working closely with schools and pupils to raise academic performance, and to drive improvement in outcomes by giving all students the support that they need to succeed, whatever their background. So, I hope that this conference can be a watershed moment in establishing what works for higher education – and as TASO develops a clearer understanding of what works in access and participation.

    Already I’m pleased to see how far TASO has come since the Department for Education’s Social Mobility Action Plan committed to an Evidence and Impact Exchange for widening access and successful participation in Higher Education back in 2017.

    Since its launch in 2019, both under Susannah’s [Susannah Hume – interim Director] and now Omar’s leadership, TASO has been quick to make an impact, gathering and synthesing evidence, and leading projects in a range of key areas and understanding impacts on different groups of learners. I know from speaking to vice chancellors how valuable this work is already, with good practice being shared around the sector.

    Many of you will by now know that I was the first in my family to go to university. I know first-hand how it can change lives, because it changed mine, and I can confidently say I would not be speaking to you today had I not graduated. My mission to bring about real social mobility is shared across this Government – and with the sector, we want to enable every person to fulfil their potential.

    To do so, we must together ensure that work on access and participation focuses on delivering real social mobility. We need to equip students will the tools they need to make the right choices for them and their futures, including making sure they can get onto and succeed in high quality courses that are valued by employers.

    The hard truth is that at times some students are tempted onto courses that offer them nothing come graduation. The fact is that at times some students will pay thousands of pounds for a degree that leads them nowhere.

    We need to guard against encouraging more and more students onto courses which do not provide good graduate outcomes, because it is self-evident that this does not provide real social mobility and serves only to entrench inequality. It will be obvious to those listening today that there is a direct link between success at university and prior attainment at school.

    That is why our school reforms are raising standards of attainment for all – and why we are asking universities to take on a more direct role in raising attainment in schools.  But our work does not stop at school.

    We need to develop a society where training, re-training and learning throughout your life is second nature. We all need to stop thinking about education as something you tick off and move on from and start thinking about it as something we can draw from throughout our lives. There has been a need to do this long before Covid-19, because as we all know these are long-term structural issues.

    That is why the Prime Minister has announced plans to introduce a Lifelong Loan Entitlement as part of the Lifetime Skills Guarantee.

    This will give people the opportunity to train, retrain and upskill throughout their lives to respond to changing skills needs and employment patterns. It will have a massive, transformative impact on post-18 study, delivering greater parity between further and higher education.

    And it will do what it says on the tin. Introduced from 2025, the Lifelong Loan Entitlement will provide individuals with a loan entitlement to the equivalent of four years of post-18 education to use over their lifetime. These steps will make it easier for students to navigate the options available, create a more streamlined funding system and encourage provision to better meet the needs of people, employers and the economy.

    Flexibility is the name of the game today and will continue to be as the future unfolds. That is why it is been so important for people to be able to develop new life-changing skills as the economy changes. Equally important, though, is giving people the flexibility to study when they want and how they want.

    This new loan entitlement means people can space out their studies, transfer credits between FE and HE institutions, and take up more part-time study. As part of the pathway towards the Lifelong Loan Entitlement, we will stimulate the provision of high-quality higher technical education and introduce pilots to incentivise more flexible and modular provision.

    We will consult on the detail and scope of the Lifelong Loan Entitlement this year to make sure that it works as effectively as possible. Where necessary, we will put forward legislation in this parliament.

    What is clear already though is that modular education will need to be front and centre of any changes we make. This modular education will be at the heart of our Lifelong Learning Entitlement, revolutionising our education offer – both in higher and further education.

    Why? Because we need a real alternative to the traditional three-year degree, that remains out of grasp of too many. Because it is hard – if not impossible – to take three years out of full-time employment when you have a mortgage, children or caring responsibilities.

    Think for a minute about your friends and family, and those who have not been able to take up a place at university because of existing commitments. Those who, by doing the right things for their families, are held back from making a better life for themselves. We are a Government that will always back people who want to make a better life for themselves.

    But right now we are seeing entrants to part-time study falling. The number of entrants to part-time study at English Higher Education providers fell steeply after 2012 and continued to decline at a slower pace.

    So, I want all institutions, staff, and students to know that I will be taking action to incentivise more flexible and modular provision. From 2022, we will be trialling loan-funded access to tuition fees for certain modules at a number of institutions across England.

    What we learn from this trial will inform our approach to lifelong learning, and is a key step towards our delivery of the Lifelong Loan Entitlement, as well as supporting some students to participate on shorter modular courses in England as early as 2022. But I can say today that this is real, transformative change. Change that will make us a fairer society, change that will make us a high-skilled society.

    This starts now because we have a choice today between carrying on with business as usual, or making bold, brave changes that mean we can be even prouder of our universities. But perhaps more importantly, we will make changes that benefit students for generations to come. I look forward to working with you to make this a reality. Thank you.

  • Michelle Donelan – 2021 Statement on Higher Education

    Michelle Donelan – 2021 Statement on Higher Education

    The statement made by Michelle Donelan, the Minister for Universities, in the House of Commons on 13 April 2021.

    The Government recognise the disruption that covid-19 has caused for many students and their families because they have not yet been able to return to their university. Last academic term we advised that all students on practical and creative courses could return to in-person teaching from 8 March and committed to reviewing further returns by the end of the Easter holidays.

    Today, my Department has announced that remaining students will be advised to return to in-person teaching alongside step 3 of the road map, when restrictions on social contact will be eased further and the majority of indoor settings can reopen. This will take place no earlier than 17 May, following a further review of the data against the four tests. As was announced in February, students and higher education providers will be given a week’s notice of any further easing of restrictions as it affects them in accordance with the timing of step 3. Until then all students should continue to learn remotely and remain where they are living, wherever possible.

    Universities have a strong track record of delivering excellent remote learning, students in higher education are well equipped to study and meet their learning outcomes remotely. The Government remain clear that the quality and quantity of taught hours must be maintained and that all learning must be accessible.

    The Government and I recognise just how difficult and disruptive the last year has been for students. However, the road map is designed to maintain a cautious approach to the easing of restrictions, to ensure that we can maintain progress towards full reopening. By step 3, more of the population will be vaccinated, and there is also more time to increase testing to reduce risk further.

    The movement of students across the country poses a risk for the transmission of the virus—particularly because of the higher prevalence and rates of transmission of new variants. Students who have returned to higher education settings should not move back and forward between their permanent home and student home during term time unless they meet one of the exemptions.

    Our advice remains that some students, such as those with inadequate study space and/or mental health and wellbeing issues, may need to return to their term-time address despite their teaching still being online. We have asked providers to consider opening facilities to support those who have returned to their term-time accommodation alongside those who have resumed in-person teaching and learning; this is to safeguard students’ wellbeing and to prevent isolation and mental ill health.

    We are supporting universities to provide regular, twice-weekly, asymptomatic testing for all students residing in their term-time accommodation, or accessing university facilities, and to all staff. In May 2021, we will be making home test kits available to universities to supply to their staff and students as appropriate. In addition, staff and students can make use of the universal testing offer by ordering home tests online or visiting a pharmacy. Students returning to university should undertake three supervised tests at an on-site test facility. They should then test twice a week, either using home test kits or at an on-site facility. This is in line with the expectation in most other education settings and will help break chains of transmission of the virus. We strongly encourage all universities to ensure that all students and staff get tested regularly and report their result when testing at home.

    I realise that a delay to a return to university may cause some students to face additional costs. With this in mind, I have now announced that we will be making a further £15 million of funding available for student hardship this academic year. This is in addition to the £70 million of funding already distributed in the previous financial year. As with the £70 million, international and postgraduate students will be eligible for this funding along with domestic undergraduates. We will work with the Office for Students to allocate these funds and will set out the details of this shortly.

    I recognise that these unprecedented circumstances are also affecting student and staff mental health and wellbeing, and I am committed to addressing these concerns. The Mental Health in Education Action Group, which I convened with the Minister for Children and Families, Vicky Ford, will continue to prioritise the mental health and wellbeing of students and staff, alongside the HE Taskforce Mental Health and Wellbeing subgroup. We have continued to ask universities to prioritise mental health support and have worked with the Office for Students to provide Student Space, which is a mental health and wellbeing platform designed to work alongside existing services, to support students throughout the pandemic. I have asked the OfS to look at extending the platform and I am delighted it has done so for the 2020-21 academic year. This resource, which is funded by the OfS, provides dedicated one-to-one phone, text and webchat facilities as well as a collaborative online platform. In addition to this, the Office for Students has recently published its consultation on the distribution of the £15 million for student mental health support in the coming academic year, focusing on supporting transitions to university.

    We are continuing to explore other ways to provide further support for students and particularly appreciate how vital it is that we support graduates and new students as they move into their next stage. We are working in parallel with Universities UK, the Association of Graduate Careers Advisory Services, the Institute of Student Employers, the Office for Students, and the wider sector to understand what we can do to complement their planned support. We know that providers are best placed to lead on this and have assured them that we will work with them to signpost students to useful resources, share good practice, and communicate effectively with schools, colleges, and employers.

    More broadly, the Government are doing all they can to help people who are at the start of their career journey. The Department for Work and Pensions has successfully recruited over 13,500 new work coaches as of the end of March 2021. This will ensure that high-quality work search support is available to those who need it. We are also investing additional funding in the National Careers Service up to March 2022. This investment will support delivery of individual careers advice for those whose jobs/learning have been affected by the pandemic (by end of FY21-22).We have also added additional courses to the skills toolkit to develop “work readiness” skills that employers report they value in their new recruits.

    I want to assure all students, staff and parents that student welfare continues to be a priority and I will continue to work closely with the sector to ensure that our additional hardship funding and our transition support reaches those who need it most. As always, I want to thank students for their resilience and university staff and student unions for their determination to ensure that students are supported at this challenging time.