Student loans scam, perpetrated by.. (you guessed it!)

[-:Undertaker:-]

http://eureferendum.blogspot.com/

Official figures, we are told, show that 45 percent of students from EU countries who were liable to start repaying loans had disappeared or were in arrears as of last April. Thus, the total outstanding debt liable to be repaid by EU borrowers at the end of 2009/10 was £47.4 million, according to the Department for Business (BIS), which published the figures.

But that means, according to Failygraph education correspondent Julie Henry, "If the thousands of students missing or in arrears never pay, more than £20 million would be lost to the Treasury". I am not sure I follow that line of reasoning. At the moment, the debt is already at £47.4 million and, if no more payments are made, more than £20 million will be lost? Technically, that may be correct, but it is an odd way of putting it.

However, flash back to February 2009 – nearly three years ago, and you will get a much better idea of what is going on from The Daily Mail. It correctly predicted this insult, then telling us that tens of thousands more from the EU were currently at university, having borrowed £124million to cover tuition fees, which then stood at £3,145-a-year.

With 45 percent of EU students who were liable to start repaying loans having now disappeared or in arrears as of last April, therefore, we are exposed to a sum well in excess of £60 million and, as the fees go up to £9,000 a year and more EU students are processed through the system, that sum can only increase.

Back in 2009, though, the Student Loans Company insisted that measures to identify and trace EU students would be in place by April 2010, when large numbers of EU students began to graduate.

Compare and contrast this with the statement today from Bahram Bekhradnia, director of the Higher Education Policy Institute, who says that non-repayment by overseas students is "inherent in the system." "Many EU students will never pay back their loans. We were never going to be able to recover loan debts from EU students to the same level as domestic students.

Back in 2009, we were remarking: "The real question, though, is why we are giving foreign students loans in the first place. And the answer is … EU rules. Under the non-discrimination provisions of the Treaties, whatever applies to UK nationals must also be given to any Jacques, Fritz or Toni who happens on these shores".

The writing was on the wall ever since the ECJ made a judgement on the issue in 2004, and now we are well and truly stuck.

Then, a spokesman for the Department for Universities, Innovation and Skills said trace agents are being used to hunt down students who failed to repay their loans. So, in the darkest regions of Naples, we suggested that, amid the mounds of rubbish, "we can be assured that British interests are being looked after".

Yeah, right! And so the pigs flew over in squadrons.

A government not even fully in control of its student loans policy, what a disgrace.

Go on, tell me the EU doesn't matter and that i'm a paranoid and/or delusional.

Thoughts?

[Chippiewill]

the EU doesn't matter and you're paranoid and/or delusional

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This seems like less of an EU problem and more of the students living in the EU being complete ***** and running off with our money because their countries about to go bankrupt.

[Adam]

the EU doesn't matter and you're paranoid and/or delusional

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This seems like less of an EU problem and more of the students living in the EU being complete ***** and running off with our money because their countries about to go bankrupt.

Of course it's an EU problem. It's about people freely emigrating between countries. We have to let EU residents in to our country (especially those pursuing education) and we give them money and they **** off. Stupid EU laws.

The EU is an awful, awful thing.

[cocaine]

the EU doesn't matter and you're paranoid and/or delusional

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This seems like less of an EU problem and more of the students living in the EU being complete ***** and running off with our money because their countries about to go bankrupt.

i'm not sure whether it's dan posting eurosceptic stuff in this forum, me doing a degree in economics or a combination of both, but it's definitely an EU problem. as adam (quite rightly) above me describes the free movement of labour within a customs union (this being the EU), the european union is a bad thing for britain. we had to sacrifice the right to halt immigration in return for EU membership, and look where it's got us. i'm not too clear on how much control the Government has on this since brussels plays a large part in deciding our laws, but other countries need to sort themselves out. and since more eastern european countries want to join the union too, we can only expect more of this

[Chippiewill]

Britain is required to give university loans to EU students though? I hadn't realised that one. If that's correct then that's a broken system as the loaning should originate from the country which the person has nationality to that way when they return their government has a greater incentive to hunt them down.

[GommeInc]

I'm amazed there are no safeguards to stop this from happening. It's technically fraud. The EU/our Government should lock away these people, if they do not give each penny back as they clearly have no use for it if you drop out. You drop out, you surrender the cash. Simple.

[Adam]

Britain is required to give university loans to EU students though? I hadn't realised that one. If that's correct then that's a broken system as the loaning should originate from the country which the person has nationality to that way when they return their government has a greater incentive to hunt them down.

they have a better chance of getting a loan than us british students because foreigners persuing education are wanted by universities so they can show the government that they have diversity. that and anyone who is refused a loan would cry racism.

but yes, they pretty much go through the same process as british students regarding loans so they have as much (or more taking in my previous point) chance as anyone else even though they can, whenever they wish, move back to their country and not move back.

and they wouldn't extradite them for a measly £9k but they all add up. we should send the countries a bill to be honest.

[dbgtz]

I'd be more pissed off if I actually paid any form of tax myself, but it's still outrageous.

[Chippiewill]

You're VAT free / a hermit?

You'll be picking up the bill later regardless.

[-:Undertaker:-]

You're VAT free / a hermit?

You'll be picking up the bill later regardless.

VAT? ah yes! thats another thing we have thanks to our membership of the European Union.