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Details of extra £2m university funding

13 July 2016

About 90 more students could receive the full student grant from 2017 as a result of the extra £2 million funding for higher education set out in the Medium Term Financial Plan (MTFP).

The States student grant is made up of two elements; tuition fees paid to the university and a maintenance grant for living expenses. The scheme is means-tested according to how much the student’s household earns.

If the funding is agreed by the States in the MTFP debate September, the Education Department will raise the household income thresholds and increase the maintenance grant so that more students receive financial help from the States. Final details are still being worked out but with the additional £2 million it is likely that:

  • The full maintenance grant will increase from £5,500 a year to £6,000.
  • Up to 90 students are likely to qualify for the full maintenance grant and maximum tuition fees (usually £9,000) to be paid. This is because the lower household income threshold will increase from £26,750 to £34,500.
  • Approximately 500 students in the middle income bands (above £34,500 but below the maximum of £99,000) will receive a larger financial contribution from the States.
  • About 30 students who are currently not eligible for any States support will now receive an amount. This is because the household income threshold would rise from £91,000 to £99,000. If annual household income is above £99,000 the student would not be eligible for any States grant.

Education Minister Deputy Rod Bryans said “I am pleased that we have been able to work closely with the Treasury Minister to provide extra financial help to make it easier for more students to afford a university education. Obviously, we realise that the high fees set by UK universities are an ongoing concern for many parents and this provides evidence that we have not given up and will continue to work on finding solutions.”

If approved, the changes will come into effect in September 2017.

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