Liberal Democrats Will Scrap Fees And Lower Student Debt

9.15.32am BST (GMT +0100) Thu 21st Apr 2005

Leader of the Liberal Democrats, Charles Kennedy and Liberal Democrat Shadow Education Secretary, Phil Willis, today pledged to scrap tuition and top-up fees and increase grants for the poorest students so that no one is deterred from going to university by the fear of debt.

Liberal Democrats will:

· Scrap tuition and top-up fees

· Provide grants of up to £2,000 per annum to poorer students

· Tackle student debt - under the Liberal Democrats student debt will be £7000 less than under Labour plans for those on low-incomes

Currently:

· The average student debt is £13,501 - up 12% on last year and up a massive 240% under Labour

· The Institute for Fiscal Studies believes that the average student debt will rise to £20,000 with the imposition of top-up fees

· Liberal Democrat research shows spiralling bankruptcy rates amongst students

Charles Kennedy said:

"Everyone in society benefits from well-qualified, highly-educated society. We all have a stake in ensuring our higher education sector is well funded and attractive to all our young people.

"In 2001, Tony Blair promised 'We will not introduce 'top-up' fees and have legislated to prevent them.' In 2004, he broke his promise and imposed top-up fees on students.

"We should not be saddling our young people with such huge debts as they start out in life. How can our young people get a foot on the housing ladder while they work to pay off their £20,000 debt? How can they plan for their pension and start saving? How can they afford to start a family and the extra costs that brings when they are paying off their student debt?

"Those who dedicate themselves to public service after university - our teachers and nurses who could often earn more in the private sector - take far longer to pay off their debts and so end up paying more in interest charges. Women, in particular, suffer under these debts, because on average women earn less than men.

"The Liberal Democrats don't just oppose top-up and student tuition fees because we disagree with the policy. I personally oppose them because I think there is no more nauseating sight than politicians pulling up the ladder of opportunity behind them."

Phil Willis said:

"I want our young people to maximise their potential by being free to choose the most appropriate university course without fear of debt. Student debt has increased 240% under Labour, and a recent report ranks the UK as the third most expensive place in the world to get a university education.

"We believe there should be no fees, no top up fees and fair grants.

"A place at university should be based upon the ability to learn not the ability to pay."

Sarah Teather, Liberal Democrat spokesperson for London and the youngest MP in the last House of Commons, said:

"It's important to realise the real world impact increased fees are having on the lives of students.

"The Government's own figures show no record of students in London declaring themselves bankrupt before 1997. After the introduction of tuition fees, that changed. By 2003 there were 21 cases of students declaring bankruptcy. And just one year later, in 2004, that had doubled to 68.

"We are now living with a situation where young people in our country are facing mortgage style debts and the real threat of bankruptcy because of the escalating costs of a university education."