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| More students to receive grants | More students to receive grants |
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| More students from poorer families in England are to receive full grants for university living costs. | More students from poorer families in England are to receive full grants for university living costs. |
| Students whose families earn less than £25,000 a year will get a full grant - up from the present level of £18,000. | Students whose families earn less than £25,000 a year will get a full grant - up from the present level of £18,000. |
| Those in families earning up to £60,000 a year will now get some form of maintenance grant. | Those in families earning up to £60,000 a year will now get some form of maintenance grant. |
| The Secretary of State for Innovations, Universities and Skills, John Denham, said the changes meant a "major increase in support to students". | The Secretary of State for Innovations, Universities and Skills, John Denham, said the changes meant a "major increase in support to students". |
| Students in England and Northern Ireland have been liable for tuition fees of £3,000 a year since last September. | Students in England and Northern Ireland have been liable for tuition fees of £3,000 a year since last September. |
| The fees are not paid up front by the students, but are covered by a student loan which is paid back once a graduate's earnings reach £15,000 a year. | The fees are not paid up front by the students, but are covered by a student loan which is paid back once a graduate's earnings reach £15,000 a year. |
| Hard-working families on modest incomes have concerns about the affordability of university study John Denham, Universities Secretary | Hard-working families on modest incomes have concerns about the affordability of university study John Denham, Universities Secretary |
| Although tuition fees themselves are not directly affected by the announcement, Mr Denham also said students starting in 2008 would be entitled to a holiday from their repayments of up to five years - once they graduated. | Although tuition fees themselves are not directly affected by the announcement, Mr Denham also said students starting in 2008 would be entitled to a holiday from their repayments of up to five years - once they graduated. |
| He said the changes would mean that the number of students eligible for a full grant would rise from the present level of 29% to one third. | He said the changes would mean that the number of students eligible for a full grant would rise from the present level of 29% to one third. |
| And two thirds of all students would be entitled to some kind of maintenance grant, up from the present level of half. | And two thirds of all students would be entitled to some kind of maintenance grant, up from the present level of half. |
| "We are wasting the talents of too many young people for whom university study should be a realistic ambition, not out of reach," he said. | "We are wasting the talents of too many young people for whom university study should be a realistic ambition, not out of reach," he said. |
| Key changes Full maintenance grant threshold up to £25,000 family income Partial grants threshold up to £60,000 family income£400m per year cost to government | Key changes Full maintenance grant threshold up to £25,000 family income Partial grants threshold up to £60,000 family income£400m per year cost to government |
| "Hard-working families on modest incomes have concerns about the affordability of university study. | "Hard-working families on modest incomes have concerns about the affordability of university study. |
| "We need to be willing to change," he said. | "We need to be willing to change," he said. |
| Mr Denham said the changes to grants would cost an extra £400m a year and would mean that about 50,000 more students every year would benefit from full maintenance grants worth over £2,800. | Mr Denham said the changes to grants would cost an extra £400m a year and would mean that about 50,000 more students every year would benefit from full maintenance grants worth over £2,800. |
| Tony Blair's government faced a back-bench rebellion when it brought in variable tuition fees of up to £3,000 a year. They had previously been pegged at about £1,000 a year. | Tony Blair's government faced a back-bench rebellion when it brought in variable tuition fees of up to £3,000 a year. They had previously been pegged at about £1,000 a year. |
| MPs were concerned that students from low-income families would be deterred from going to university because they feared getting into debt. | MPs were concerned that students from low-income families would be deterred from going to university because they feared getting into debt. |
| The government has made a commitment to get half of young people into higher education by 2010. | The government has made a commitment to get half of young people into higher education by 2010. |
| Student hardship | |
| The changes have been welcomed by students and university leaders. | |
| Professor Drummond Bone, president of Universities UK, said: "This is excellent news - for students, for graduates, and for the whole higher education sector. | |
| "This extra money will tackle head-on any perception that financial barriers make it impossible to go into higher education. | "This extra money will tackle head-on any perception that financial barriers make it impossible to go into higher education. |
| "Raising the threshold will mean many more students will be eligible for non-repayable grants - and will go some way to ensuring that all students with the ability to succeed in higher education are given the opportunity, and the means, to do so." | "Raising the threshold will mean many more students will be eligible for non-repayable grants - and will go some way to ensuring that all students with the ability to succeed in higher education are given the opportunity, and the means, to do so." |
| National Union of Students President Gemma Tumelty said she was pleased ministers had listened to her concerns about student hardship. | |
| She added: "It is absolutely right that very poor students and students from modest and middle income families feel confident in adequate financial support from the state and we are encouraged that thousands more students will be eligible for support and that thousands who struggle on the current package will be given access to a funding boost." | |
| UK picture | |
| The fees situation varies across the UK. The Scottish government recently announced plans to scrap the £2,000 fee paid by students after graduation. Draft legislation is expected in the autumn, with the aim of the move coming into force by April. | |
| The Assembly in Cardiff has responsibility for education in Wales. Welsh universities can charge £3,000, but students living in Wales will pay only £1,200 and the rest will come from the Assembly government. | The Assembly in Cardiff has responsibility for education in Wales. Welsh universities can charge £3,000, but students living in Wales will pay only £1,200 and the rest will come from the Assembly government. |
| Students from other parts of the UK will pay the full £3,000. Welsh students who go to colleges outside Wales will also usually pay £3,000 - although they will be subsidised for some courses, such as veterinary science, which are not available in Wales. | Students from other parts of the UK will pay the full £3,000. Welsh students who go to colleges outside Wales will also usually pay £3,000 - although they will be subsidised for some courses, such as veterinary science, which are not available in Wales. |
| The Northern Ireland Assembly - before it was suspended - approved scrapping up-front fees, as Cardiff had, but said this would be too expensive and would contravene equality measures because offering free tuition to all would benefit the wealthy more than the disadvantaged. | The Northern Ireland Assembly - before it was suspended - approved scrapping up-front fees, as Cardiff had, but said this would be too expensive and would contravene equality measures because offering free tuition to all would benefit the wealthy more than the disadvantaged. |
| The Department of Education and Learning then said it saw no alternative but to match the proposed system for England. | The Department of Education and Learning then said it saw no alternative but to match the proposed system for England. |