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Next year's student loans delayed Next year's student loans delayed
(about 2 hours later)
The start of the applications process for next year's student loans for England is being delayed - following this year's widespread problems.The start of the applications process for next year's student loans for England is being delayed - following this year's widespread problems.
The launch of the loans and grants service for students starting in September 2010 should have been at the beginning of this week.The launch of the loans and grants service for students starting in September 2010 should have been at the beginning of this week.
But the Student Loans Company says that this has now been postponed.But the Student Loans Company says that this has now been postponed.
A review of loan delays for students who began courses this autumn found "conspicuous failures".A review of loan delays for students who began courses this autumn found "conspicuous failures".
The delays in payments facing tens of thousands of students, which have dragged on for months after the start of term, have now caused a knock-on effect for next year.The delays in payments facing tens of thousands of students, which have dragged on for months after the start of term, have now caused a knock-on effect for next year.
'Fiasco''Fiasco'
The intended starting date of December 7 has been withdrawn - with no new date so far set to replace it.The intended starting date of December 7 has been withdrawn - with no new date so far set to replace it.
The agency which administers student support for the government, the Student Loans Company, says it was postponed pending the review into delivery problems carried out by Professor Sir Deian Hopkin.The agency which administers student support for the government, the Student Loans Company, says it was postponed pending the review into delivery problems carried out by Professor Sir Deian Hopkin.
The review found problems with the processing system and a failure to provide information to students.The review found problems with the processing system and a failure to provide information to students.
It found that during the peak of delays only 5% of calls to a helpline were being answered.It found that during the peak of delays only 5% of calls to a helpline were being answered.
Universities have been forced to bail out students with emergency funding - with particular problems for mature students with children of their own.Universities have been forced to bail out students with emergency funding - with particular problems for mature students with children of their own.
Sally Hunt, leader of the UCU lecturers' union described it as "a total fiasco from start to finish" - with failures in service that "beggar belief".Sally Hunt, leader of the UCU lecturers' union described it as "a total fiasco from start to finish" - with failures in service that "beggar belief".
The Conservatives' university spokesman, David Willetts, accused ministers of failing to act despite clear warnings - and said students were "facing hardship or having to drop out of university" because they could not afford to keep themselves.The Conservatives' university spokesman, David Willetts, accused ministers of failing to act despite clear warnings - and said students were "facing hardship or having to drop out of university" because they could not afford to keep themselves.
In response, the Student Loans Company announced that it would undertake a "restructuring" of senior management. No date has yet been set for this to happen.In response, the Student Loans Company announced that it would undertake a "restructuring" of senior management. No date has yet been set for this to happen.
The problems with the processing system are also being investigated by the National Audit Office, which expects to report in the spring.The problems with the processing system are also being investigated by the National Audit Office, which expects to report in the spring.
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