Hard-up students in England, who are struggling to pay their rent and bills as the cost of living soars, will lose out on as much as £1,500 a year if maintenance loans fail to keep up with inflation, university leaders have said.
The warning from the Russell Group of universities came as the government prepared to announce loan increases for 2023-24, amid fears that growing numbers of students will drop out because they cannot afford to stay in higher education.
Maintenance loans are taken out by students, in addition to loans for tuition fees, to cover their living costs while they study, though many take on part-time work alongside their degree to supplement their loans.
The reason for the shortfall, the Russell Group says, is that the Department for Education (DfE) calculates annual increases to maintenance loans using out-of-date projections, which do not take into account sudden increases in inflation from factors such as the pandemic and war in Ukraine.
