EMA & Student Finance

Any parent or carer will realise that there are often financial implications if your child wishes to continue learning.  You may be entitled to access financial support to help you.

Education Maintenance Allowance (EMA)

If your child stays at school, sixth form or college after they turn 16 they could be eligible for Education Maintenance Allowance (EMA).  This could mean your child receives up to £30 per week!  For more information, and to find out if your child is eligible, then visit the Dfes - Financial Help website

Student Finance (Higher Education)

The good news is that the student finance system is changing.  Many students are pleasantly surprised by the amount of financial help they are entitled to whilst studying for a full time higher education qualification such as a degree or Higher National Diploma (HND).

Getting a loan

No student will be asked to pay any money up front.  Instead, the students local authority will provide a tuition fee loan to cover the full cost of the fee.  Students can also apply for a maintenance loan of up to £4,405 (£6,170 if studying in London) per year to help with living and course costs whilst studying.  Both the tuition fee loan and the student loan do not have to be repaid until the student has left University or College and is earning £15,000 per year or more. 

The interest rate on both loans is very low, rising only in line with inflation.  Therefore, as a graduate, students will only repay the same, in real terms, as they borrowed.  A graduate earning £16,000 per year would only be expected to contribute just £7 per month towards repaying both loans.  If the students income falls below the threshold or they stop working altogether at any time, the repayments are put on hold.  After 25 years any outstanding balance is cleared.

Low income households

Students from low-income households can now apply for a Government Grant of up to £2,700 per year.  This money is paid directly into the students bank account and will never have to be repaid.  In addition, Higher Education Institutions are offering their own grants of at least £300 per year (although often significantly more) for students from low income households which will never have to be repaid.  For more information, and to find out what your child could be entitled to, visit the following websites:

• Student Support Direct
  
• Aimhigher - Student_Finance
  
• DFES Financial Help Section

This page was last updated on the 16th of May 2008 and is scheduled for review on or before the 16th of May 2009