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Help for students after overpaid loans error, but RCN wants debts written off

Nursing students whose loans were overpaid will be offered support, says government. It's not enough, says RCN
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Nursing students whose loans were overpaid will be offered support, says government. It's not enough, says RCN


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Nursing students whose student loans were overpaid by mistake will be offered support grants and be allowed to defer repayments until after they graduate.

The measures have been promised by the Department for Education as it attempts to correct a recent error by the Student Loans Company (SLC).

Around 800 students at 20 universities in England were revealed last month to have been wrongly given amounts ranging from £600 to £6,000. Many students were subsequently told they would not receive further loan cheques, used to pay rent and other living costs, until the money was paid back.

Hardship payments

Now the education department has announced that affected students can apply for up to £1,000 of non-repayable maintenance support for the rest of the academic year if they are facing hardship.

The SLC has agreed to defer the recovery of overpaid funds until affected students have finished their courses and can afford to repay the money.

Universities minister Sam Gyimah said: ‘My priority has been to ensure none of the affected nursing students should suffer hardship as a result of an administrative error.

‘These short-term, practical steps will provide immediate help for those who need it so they can concentrate on their studies and their future careers without concern.’

He said the SLC would be writing to all affected students with details of how to access the additional maintenance support.

'Overpayments must be written off'

RCN general secretary Janet Davies said the measures do not go far enough. ‘Nursing students will still struggle to pay bills and childcare costs and they must not be forced to turn to loan sharks or even quit their studies as a result.

‘This was not a problem of their making and we will not let them pay the price. The overpayment mistakes must be written off and they need money this month without a bureaucratic nightmare.

‘This announcement lacks detail. We will keep asking the difficult questions until students have the answers.’

Confusion over bursary

It is understood the error occurred when loan payments made to second and third-year students were not adjusted for the NHS bursary they still receive.

The overpayment issue has received widespread media and government attention since it came to light in March. But it appears to have escaped the notice of a health and social care minister, Lord O’Shaughnessy.

During a debate in the House of Lords about NHS pressures on 18 April, Labour peer Lord Clark of Windermere referred to the overpayments to nursing students and asked Lord O'Shaughnessy whether he would step in 'so that no nursing students suffer’.

Lord O'Shaughnessy replied: ‘I was not aware of the particular issue raised. I am glad he has raised it and brought it to me. I shall take it back to the department immediately to make sure that we get to the bottom of what is going on and try to fix it urgently.’


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