900 STOCKPORT STUDENTS NOT GIVEN LOANS IN TIME FOR COURSE REGISTRATION - STUNELL

9.51.00am GMT Thu 17th Dec 2009

900 Stockport students did not receive their student loans in time to register on their course this year, and 400 have still not received any money, Hazel Grove MP Andrew Stunell has discovered.

The figures are revealed in a letter to Mr Stunell from the Student Loans Company after he raised concerns on behalf of worried students in his constituency. The problem is country-wide, with a recent survey showing that three-quarters of universities in England have been forced to hand out emergency cash to students to keep them afloat until their loans come through.

There is anger that the news of delays comes just as figures given to the Liberal Democrats under the Freedom of Information Act this week show that Student Loans Company bosses will get nearly £2m in bonuses this year, including three payouts of £21,000.

Commenting, Andrew Stunell said:

"To pay such a huge amount in bonuses whilst hundreds of hard working local students are being denied the money they need to get on with their studies is outrageous.

"Most universities have been forced to dig deep to provide emergency loans to their students just so they can start the courses - yet they don't have the money either.

"Two years running, Stockport's students have been let down by a clapped-out government that simply doesn't care. I will continue to raise this matter with the Student Loans Company until all students in the Borough have received their loans."

"This entire process has been botched from the start, and it looks as though the Student Loans Company, like the discredited Learning and Skills Council, just is not fit for purpose".

Last Week, Universities Minister David Lammy announced a review into the conduct and operation of the Student Finance system. The review, to be chaired by Lord Browne of Madingley, will report by autumn 2010.

Commenting on the Government's decision to launch a review, Andrew Stunell said:

"Whilst I welcome the government's decision to launch a review, it will report too late for any proposals to be implemented before the next round of student loan applications begin. Once again, Labour just don't get it. Students want to see action to fix the problem, not yet another fobbing off exercise."

ENDS