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| 'Failure' by student loan company | 'Failure' by student loan company |
| (about 1 hour later) | |
| Student leaders say that "heads must roll" after a report into university loan delays in England found "conspicuous failures". | Student leaders say that "heads must roll" after a report into university loan delays in England found "conspicuous failures". |
| There have been widespread complaints about the Student Loans Company - with the problems still unresolved as the end of the university term approaches. | There have been widespread complaints about the Student Loans Company - with the problems still unresolved as the end of the university term approaches. |
| The report found only 5% of phone calls were answered at the peak of delays. | The report found only 5% of phone calls were answered at the peak of delays. |
| In response the Student Loans Company says there will be a "restructuring" of senior management. | In response the Student Loans Company says there will be a "restructuring" of senior management. |
| The report from Professor Sir Deian Hopkin examined delays which saw universities having to pay out hundreds of thousands of pounds in emergency funds to students left stranded without funds. | The report from Professor Sir Deian Hopkin examined delays which saw universities having to pay out hundreds of thousands of pounds in emergency funds to students left stranded without funds. |
| 'Total fiasco' | 'Total fiasco' |
| It found that the processing system had faced problems with lost documents, failures with equipment and difficulties with the online application system. | It found that the processing system had faced problems with lost documents, failures with equipment and difficulties with the online application system. |
| The report also claims that board members of the loans company had to rely on news reports to find out the "full extent of the problems" - and that students unable to get advice set up Facebook groups to share information. | The report also claims that board members of the loans company had to rely on news reports to find out the "full extent of the problems" - and that students unable to get advice set up Facebook groups to share information. |
| I am a 30-year-old mature student with a one-year-old child. I have embarked on a one-year PGCE course... I applied at the beginning of the year and have not received any funds at all. My tax credits stopped when my course began and I cannot pay my child's nursery fees. I am struggling to survive financially and cannot afford to live never mind buy the books. I fear I will be forced to leave university in the New Year if someone does not intervene. Louise, Sunderland (E-mail sent this week) | I am a 30-year-old mature student with a one-year-old child. I have embarked on a one-year PGCE course... I applied at the beginning of the year and have not received any funds at all. My tax credits stopped when my course began and I cannot pay my child's nursery fees. I am struggling to survive financially and cannot afford to live never mind buy the books. I fear I will be forced to leave university in the New Year if someone does not intervene. Louise, Sunderland (E-mail sent this week) |
| "The poor leadership and management of the Student Loans Company has led to disruption and hardship for hundreds of thousands of students," says NUS president, Wes Streeting. | "The poor leadership and management of the Student Loans Company has led to disruption and hardship for hundreds of thousands of students," says NUS president, Wes Streeting. |
| "Given the catalogue of failures identified by this report, heads must roll if the public are to have any confidence in the SLC in the future." | "Given the catalogue of failures identified by this report, heads must roll if the public are to have any confidence in the SLC in the future." |
| Sally Hunt, leader of the UCU lecturers' union said this has been "a total fiasco from start to finish" - with failures in service that "beggar belief". | Sally Hunt, leader of the UCU lecturers' union said this has been "a total fiasco from start to finish" - with failures in service that "beggar belief". |
| "Moving to university is a stressful and expensive time and to attempt to do that without finances that had been promised is just not on." | "Moving to university is a stressful and expensive time and to attempt to do that without finances that had been promised is just not on." |
| Since problems began to emerge with the loans system before the beginning of term, there have been thousands of e-mails sent to the BBC News website from worried students and their families. | Since problems began to emerge with the loans system before the beginning of term, there have been thousands of e-mails sent to the BBC News website from worried students and their families. |
| FROM THE PM PROGRAMME More from PM | FROM THE PM PROGRAMME More from PM |
| They complained of huge problems in contacting the Student Loans Company and then difficulties in getting any information when expected funds failed to arrive. | They complained of huge problems in contacting the Student Loans Company and then difficulties in getting any information when expected funds failed to arrive. |
| This has continued throughout the term - with the most recent e-mails claiming that they have been told that problems will not be resolved until next year. | This has continued throughout the term - with the most recent e-mails claiming that they have been told that problems will not be resolved until next year. |
| The report also accuses the government of being "too distanced" from responding to problems with loans that had been widely reported for several months. | The report also accuses the government of being "too distanced" from responding to problems with loans that had been widely reported for several months. |
| 'Breathtaking incompetence' | 'Breathtaking incompetence' |
| In response, England's Higher Education Minister David Lammy says there should now be changes in how the Student Loans Company is managed. | In response, England's Higher Education Minister David Lammy says there should now be changes in how the Student Loans Company is managed. |
| My daughter has been told she is eligible for a grant and loan. She has received nothing. I lost my job and have had to borrow the £1,060 first payment for hall-of-residence and pay for food etc. Neither her father nor I went to university and we are so proud of her. She is sick with worry and does not want to be a burden to us. She then received a letter telling her she will get no money until January. She is distraught and about to leave, thankfully, she received an A for her first piece of work. She has agree to stay but says money worries are affecting her study and health. She is not the only one. MPW, Long Buckby | My daughter has been told she is eligible for a grant and loan. She has received nothing. I lost my job and have had to borrow the £1,060 first payment for hall-of-residence and pay for food etc. Neither her father nor I went to university and we are so proud of her. She is sick with worry and does not want to be a burden to us. She then received a letter telling her she will get no money until January. She is distraught and about to leave, thankfully, she received an A for her first piece of work. She has agree to stay but says money worries are affecting her study and health. She is not the only one. MPW, Long Buckby |
| "I am now clear that decisive action is required to change the service and that the key to this is strengthening the leadership of the company," Mr Lammy says in a written statement. | "I am now clear that decisive action is required to change the service and that the key to this is strengthening the leadership of the company," Mr Lammy says in a written statement. |
| But he said it was for the Student Loans Company board to hold the executive to account. | But he said it was for the Student Loans Company board to hold the executive to account. |
| The Liberal Democrat university spokesman Stephen Williams said: "The government must not be allowed to shrug off all responsibility for this fiasco. Ministers failed to ensure the SLC was delivering what was expected of it and they must explain why they did not intervene earlier." | The Liberal Democrat university spokesman Stephen Williams said: "The government must not be allowed to shrug off all responsibility for this fiasco. Ministers failed to ensure the SLC was delivering what was expected of it and they must explain why they did not intervene earlier." |
| "This report is truly damning, revealing a breathtaking level of incompetence within the Student Loans Company." | "This report is truly damning, revealing a breathtaking level of incompetence within the Student Loans Company." |
| The Student Loans Company chairman, John Goodfellow, says the agency recognises the need to "engage more effectively with its customers" - and says it will be "restructuring the senior management team". | The Student Loans Company chairman, John Goodfellow, says the agency recognises the need to "engage more effectively with its customers" - and says it will be "restructuring the senior management team". |
| To send comments please use the form below. | To send comments please use the form below. |
| I have had to contact student finance England about 30 times since we applied in May. I wait on average 40 minutes to get through to them. I have been told my documents were lost even though they were sent back to me, that the home office was verifying my passport ( ?), that I had not filled in the form correctly when I had. I have had to re send documents that I have already sent which I did by using registered post only to be told that they had not been received. You name it I have been told it except the funding which my daughter is entitled to! STILL waiting to hear about funding and she is home next week. Happy Xmas from student finance. Liz Gardner, Ely Cambs | |
| I applied for Student Finance well ahead of the deadline, and despite this, only received my funding two weeks ago. That was after I had lodged an official complaint twice. They lost my documents four times, even though three times they had been sent by recorded delivery and had to be signed for. Each time I rang the helpline, the person had no idea what was happening or anything about my application. They only told me two weeks before the start of the term to send new copies of documents, after previously stating they were being processed. I found the entire service to be completely incompetent. Moving away to university is stressful enough for students and the Student Loans Company needs to understand this to provide an effective service.Laura, Leeds | |
| My son received his loan yesterday after weeks of stress and lack of information. He has still not received the support grant for his young son. Can those affected not claim interest back from the Student Loans Company who must have benefitted from hanging on to money that was not theirs?Mandy Stewart, Leeds UK | |
| I applied for DSA as soon as I could. I have heard nothing from the Students Loan Company. This is an attempt by government to give the job of loans and grants to a third party so that it (the Government)always comes up smelling of roses. They can also legitmately say that they knew nothing about the details and that these are a contractual obligation for the SLC. Nice little sidstep but where does it leave us students? This proxy approach applies also to public housing and training companies. "Proxying" has proved time and again to be a dismal failure - you would have thought people would learn from their mistakes, but alas, No! Perhaps they have learned that not taking responsibility as a Government more or less (they imagine), guarantees their survival. I don't think so - and nor will the electorate.Peter Fallows, London | |
| The BBC may edit your comments and not all emails will be published. Your comments may be published on any BBC media worldwide. Terms & Conditions | The BBC may edit your comments and not all emails will be published. Your comments may be published on any BBC media worldwide. Terms & Conditions |