Commenting on the publication of the National Audit Office’s report on the delivery of student finance, South Norfolk MP Richard Bacon, a member of the Commons public accounts committee, said:

“The Department for Business, Innovation and Skills and the Student Loans Company were simply not ready to assume responsibility for the provision of student finance in 2009-10.

“As a result, thousands of students started the new term penniless.

“The extent of the Student Loans Company’s meltdown is quite extraordinary.  The Company didn’t tell students when they would get their money, its contact centre staff couldn’t answer queries and the Company’s electronic document scanning system didn’t work. 

“Then, as the volume of calls grew dramatically, the Company put frantic students and parents on hold.  At best, fewer than half of those phoning the company got through but at the height of the loans crisis, almost nine out of ten calls went unanswered.   

“This must never happen again.  The Department and the Student Loans Company should apologise to students and their families for failing them in such an abysmal manner.  The Company must also make sure that it has acted on the National Audit Office’s recommendations in good time for the start of the 2010-11 term”. 

18 March 2010

See also:
NAO REPORT: Delivery of student finance