Student loans and student debts have been a hot talk past a year and have been one of the topics that was most debated, noticed, formulated and changed over the time, which led to certain good implications to help the students and the country finance and some changes that have imbalanced certain situations of the nation and students lives. As every time it is said everything cannot be in favor of all, the topic also proved to be one such big example.
The overall changes and general implementations that took place have been collated and reviewed for your reference.
January & February: Tuition fee was the key question at the beginning of the year on which the government had a long withstanding debate. The graduate debts were running at 50,000 pounds and upwards at the time. There were also growing concerns about the cost of going to universities or whether it represents the value for money. Tuition fee in the UK are amongst the higher in the world and doubts aroused that there will be no returns from such huge investments to people. The government also said that there might be changes in variable fee for some vocational courses, which might be considered a benefit for the students as it would gradually decrease the amount of tuition fee and will be a relief for the students.
March & April: The talk of the months were the “problems faced by the student nurses because of the loan errors” the news highlighted that the student loan company halted the funding for 800 student nurses in 20 universities in England and Wales after the over payments. The student nurses whose loans and grants cut off or reduced because of the administrative errors faced many financial hardships and were also not able to continue their studies. As the year moved, changes were also evident towards betterment of the students but the disaster that was done had huge implications on the students at the same time.
May & June: Steve Lamey was appointed as the head of the Student Loan Company (SLC) but later was sacked without payment after it was found that he breached the guidelines on integrity, accountability, and leadership. While two whistle blowers had raise concerns about him that were later investigated. Steve also hit back when he was described one with “unfair and immoral behavior” that was culminated in his dismissal. Not all the allegations that were put forward upheld but “unacceptable management practices” including some claims of bullying, harassment, and poor management were enlightened into consideration. These issues have been festering for years but it didn’t come close to any resolutions but the government said that they were trying to build measures to ensure that the SLC is well-supported and reviewed.
July & August: The months were surrounded by the news about the government halting loan payments to the vulnerable students. The size of the student loan given to students was based on the household income of their biological or adoptive parents but the government even expected that parents should top up to the loans.However, there were evident situations that uphold that every young adult are not lucky to have good family relationships, which in turn hampers their loans and university life. Research from Sheffield Hallam University and the Stand Alone Charity indicated that studying with family support bolsters students success and brings emotional and financial advantages but they hold barriers in emotional relationships makes them estranged and shows lack of understanding of financial vulnerabilities.
September & October: As the year came towards ending student loan news and related speculations aroused more. One of the highlights was when the student loan firm was accused of ‘KGB tactics’ for accessing loan eligibility. The SLC came under firm it emerged that the company had spied and invaded privacy on social media accounts of 150 students who applied for the few maintenance loans after being estranged from their families. The act was totally an attempt of invasion of the privacy and many officials were held charged in the matter.
November & December: At last, the student loan amount of 12bn pounds was added to the government spending reflecting that some loans will never be repaid. The consequences for which the steps are taken were the vast expansion of tuition fees and higher repayment thresholds for students once they begin to earn which ballooned the total value of the student debt. The changes are also likely to be significant for public finances in the run-up to BREXIT. On the flipside, this was good for debt-ridden students and bad for the long-termed austerity-ridden citizens of the UK.
So the economy has seen its highs and lows this year, with increasing uncertainty about BREXIT the condition cannot be seen to improve any sooner but with a quite relief to the student loan debts it has given some favor to the students. It can also be said that short-term student loans have certainly proved to be beneficial for students to a certain level and the advantages that the government has implied can be counted in favor of students to some point. The changes and implementations can prove to increase the number of students who would opt for a short-term student loan to a greater extent and will make good inflow and outflow of the money in the financial market.