‘KINGSTON’S STUDENTS TO PAY FOR TORY SPENDING CUTS’ Local MP, Edward Davey, the Liberal Democrat Treasury Spokesperson, today revealed that Tory spending cut plans would almost double debt for Kingston’s students. The Conservatives have pledged to raise £700m a year from increasing the interest rate paid on student loans. Last year, 746,000 students loans were taken out. The average university student takes out three loans worth over £10,000. Under a Conservative Government, students will have to pay back £938 more per loan - a massive £2,814 extra debt for the average student. Students commit themselves to debt worth £0.9 billion each year. Under the Tories this would almost double to £1.6 billion. Commenting, Edward Davey said: "Labour have already hit students with tuition fees. Now the Tories propose to kick students when they're down by bumping up interest rates on loans." "Local sixth formers are anxiously waiting to hear if they have been offered a university place. However, the Conservative’s proposal to increase the cost of their loans will make many of them think twice about whether they can afford to accept their offers." "These proposals alone will cost Kingston University’s student population an estimated £45,139300 more to finish their course. Many already find it financially difficult to finish but Conservative proposals will only make matters worse." "Unlike the Conservatives and Labour, the Liberal Democrats are committed to improving access to university by abolishing tuition fees." Notes The Tories have promised to raise £700m a year from increasing the interest rate paid on student loans: "As a first step we will restructure and securities student loans. Interest on them will be charged at the market rate enabling us to raise £1.6 billion each year (£700 million more than they are worth today)." Tory party website: http:/www.conservatives.com/issuestax_uni.cfm In 1999/2000 the Student Loan Company estimate that 746,000 student loans were taken out. Source: Student Loans Co website. A student outside London, living away from home, if entitled to the full amount, will receive £3725 as of the start of the new academic year. The average student will take out 3 loans. The final year loan is worth £3,230 - a total of £10,680. This equates to £938 more per loan that a student will have to pay to the owners of the Students Loans. A student who takes out three will then pay another £2,814. At present, students each year commit themselves to student debt worth £0.9 billion - under the Tories this increases to £1.6 billion - an increase of 78%. Kingston University total student population (July 1st 2000) 16,041 Local students who would like to see
tuition fees abolished can sign the Liberal Democrat
petition on line at www.scraptuitionfees.com |
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