UK Politics

Conservative Party: Government announces progressive student finance reform

News   •   Nov 04, 2010 10:42 GMT

The Government has announced a change to the existing, out-dated system of tuition fees introduced by the previous Labour Government, revealing a new fairer package for all.

The progressive reforms will replace a large part of state funding for teaching, giving way to graduate contributions as well as benefitting the poorest 25% of students due to revised interest rates on the loans.

Graduates earning £21,000 or less will have no real interest to pay on their loan.

The proposals have been welcomed by many universities, including the Russell Group of leading universities suggesting the reform of tuition fees will lead to a much needed cash injection into the institutions.

The Minister for Universities and Science, David Willetts said: "Labour has left the UK with a higher education system that is simply unsustainable and the Coalition is determined to combat that. This is about creating a fairer system that will not penalise those from poorer backgrounds but rather enable all students to get a good university education.

"The Shadow Cabinet is divided over this issue and without a policy, they have had 13 years in Government and it is time for them to admit to the mess they left behind."