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Chapter H6: Students & Student Income

Contents
Students - General
H6001:Introduction

Definitions and meaning of terms
H6005:Meaning of long vacation
H6006:Student loan
H6008:Meaning of grant
H6025:Receiving education
H6026:Meaning of receiving education
H6029:Meaning of course
H6031:Meaning of course of advanced education
H6036:Meaning of undertaking a course
H6038:Modular course
H6040:Exceptions to being regarded as undertaking a course or training
H6041:Exceptions to the requirement not to be receiving education
H6042:Education maintenance allowance and the 16 - 19 Bursary Fund

Meaning of F/T course
H6047:General
H6054:Evidence from Educational Establishments
H6061:Other evidence
H6071:Number of hours involved
H6074:Community orders

Financial support - loans and grants
NHS funded students
H6077:Healthcare professionals
H6078:Return to practice courses
H6079:New entrepreneur scholarships
H6080:Social Work Bursaries

H6082:Additional graduate bursary
H6084:Teacher training bursary
H6087:Open University students
H6091:Loans - eligibility
H6092:Qualifying courses
H6096:Personal eligibility
H6097:Residence conditions
H6098:European Economic Area Nationals
H6099:Refugees
H6106:Sandwich courses
H6108:Periods of work experience
H6110:Student unable to find placement
H6116:Person treated as having student income

Calculation of student income
H6130:Student loans
H6137:Grants

Amount for an assessment period
H6141:Step 1
H6142:Step 2
H6143:Step 3
H6144:Step 4
H6145:Meaning of abandons
H6151:Meaning of dismissed
H6152:Abandons or Dismissed

Common courses of study...................................................................Appendix 1


Chapter H6: Students & Student Income

Contents
Students - General
H6001:Introduction
Definitions and meaning of terms
H6005:Meaning of long vacation
H6006:Student loan
H6008:Meaning of grant
H6025:Receiving education
H6026:Meaning of receiving education
H6029:Meaning of course
H6031:Meaning of course of advanced education
H6036:Meaning of undertaking a course
H6038:Modular course
H6040:Exceptions to being regarded as undertaking a course or training
H6041:Exceptions to the requirement not to be receiving education
H6042:Education maintenance allowance and the 16 - 19 Bursary Fund
Meaning of F/T course
H6047:General
H6054:Evidence from Educational Establishments
H6061:Other evidence
H6071:Number of hours involved
H6074:Community orders
Financial support - loans and grants
NHS funded students
H6077:Healthcare professionals
H6078:Return to practice courses
H6079:New entrepreneur scholarships
H6080:Social Work Bursaries
H6082:Additional graduate bursary
H6084:Teacher training bursary
H6087:Open University students
H6091:Loans - eligibility
H6092:Qualifying courses
Personal eligibility .............................................................................

H6096 H6095

H6097:Residence conditions
H6098:European Economic Area Nationals
H6099:Refugees
H6106:Sandwich courses
H6108:Periods of work experience
H6110:Student unable to find placement
H6116:Person treated as having student income
Calculation of student income
H6130:Student loans
H6137:Grants

Amount for an assessment period
H6141:Step 1
H6142:Step 2
H6143:Step 3
H6144:Step 4
H6145:Meaning of abandons
H6151:Meaning of dismissed
H6152:Abandons or Dismissed
Common courses of study...................................................................Appendix 1

Chapter H6: Students & Student Income

Students - general

H6001 Introduction

This Chapter deals with students claiming UC in respect of
1. receiving education (see H6025)
2. the meaning of F/T courses (see H6047)
3. financial support - loans and grants, including the calculation and treatment of
student income (see H6077 et seq).

[H6002-H6004]

Definitions and meaning of terms

H6005 Meaning of the long vacation H6116

The long vacation is the period of no less than one month which, in the opinion of the
DM, is the longest vacation during a course which is intended to last for two or more
years.
1 UC Regs, reg 68 (7)

H6006 Student loan

A student loan (1) is a loan towards a student's maintenance under specified law (2). The
Student Loans Company administers student loans (in Scotland, it is the Student
Awards Agency for Scotland). The DM should ignore any loan paid in respect of
tuition fees or fee loans.
1 UC Regs, reg 68(7); 2 T & HE Act 98, s 22; Ed (Scot) Act 80, s 73;

Ed (Student Support) (NI) Order 98, Article 3

H6007

In Scotland only, a `Young Student's Bursary' may be paid under specified law (1). The
DM should treat such a payment in the same way as a student loan.
1 UC Regs, reg 68(7); SA (Scot) Regs 07, reg 4(1)(c)

H6008 Meaning of grant

Grant means any kind of educational grant or award, other than
1. a student loan or
2. a payment made under a scheme to enable persons under the age of 21 to
complete courses of education or training which are non-advanced education (1).
DMs should note that grant income does not include any payment derived from
Access Funds or any payment of Education Maintenance Allowance (or equivalent).
1 UC Regs, reg 68 (7)

[H6009-H6024]

H6025 Receiving education H6001

A basic entitlement condition (see ADM chapter E1008 for full list of conditions) for
receiving UC is that the person is not receiving education.

H6026 Meaning of Receiving education H6047

A qualifying young person (see ADM chapter E2091) is to be treated as receiving
education (1), for the basic condition under specified legislation (2).

1 UC Regs, reg 12(1); 2 WR Act 12, s 4(1)(d)

H6027 H6028

In any other case, receiving education means undertaking
1. a F/T course of advanced education or
2. any other F/T course of study or training at an educational establishment for
which a student loan or grant is provided for a person's maintenance (1).

1 UC Regs, reg 12(2)

H6028 H6047

A claimant who is not
1. a qualifying young person and
2. undertaking a course as described within H6027 1. or 2.
is still to be treated as receiving education if they are undertaking any course of
study or training that is not compatible with any work-related requirement imposed
on them (1).
1 UC Regs, reg 12(4)

H6029 Meaning of course

A course is an arrangement of study, tuition or training. It can be academic,
practical, or a combination of both. It is usually done at, or by arrangement with, an
education or training establishment.

H6030

It will often lead to a qualification when it is completed. Some non-advanced study,
tuition or training, may not lead to a qualification. This does not mean that it is not a
course.

H6031 Meaning of course of advanced education

A course of advanced education (1) means
1. a course of study leading to a
1.1 postgraduate degree or comparable qualification
1.2 first degree or comparable qualification
1.3 diploma of higher education
1.4 higher national diploma or
2. any other course of study of a standard above that of
2.1 advanced GNVQ or equivalent
2.2 GCE advanced level (A level)
2.3 a Scottish national qualification (higher or advanced higher).
1 UC Regs, reg 12(3)

[H6032-H6035]

H6036 Meaning of undertaking a course H6037 H6037 H6038 H6040 H6116

A person is regarded as undertaking a course of education, study or training (1)
1. throughout the period
1.1 beginning on the date on which the person starts undertaking the
course and
1.2 ending on the last day of the course or on such an earlier date (if any)
as the person finally abandons or is dismissed from it or
2. where the person is undertaking a part of a modular course, for the period
2.1 beginning on the day on which that part of the course starts and
2.2 ending
2.2.a
on the last day on which the person is registered as
undertaking that part or
2.2.b on such earlier date (if any) as the person finally abandons the
course or is dismissed from it.

1 UC Regs, reg 13(1)

H6037 H6038

The period referred to in H6036 includes (1)
1. where a person has failed
1.1 examinations or
1.2 to successfully complete a module relating to a period when the person
was undertaking a part of the course
any period in respect of which the person undertakes the course for the
purpose of retaking those examinations or completing that module and
2. any period of vacation
2.1 within the period specified in H6036 or
2.2 immediately following that period except where the person has
registered to attend or undertake the final module in the course and
2.3 the vacation immediately follows the last day on which the person is to
attend or undertake the course.
1 UC Regs, reg 13(2)

H6038 Modular course

For the purposes of H6036 and H6037, "modular course" means a course which
consists of two or more modules. For the person to be considered by the educational
establishment to have completed the course, all of the modules specified for that
course have to be successfully completed (1).
1 UC Regs, reg 13(3)

H6039

H6040 Exceptions to being regarded as undertaking a course or training H6116

A person is not regarded as undertaking a course or training for any part of the
period described in H6036 if the person
1. has, with the consent of the relevant educational establishment, ceased to
attend or undertake the course because they are ill or caring for another
person and
2. has recovered from that illness or ceased caring for that person within the
past year but has not yet resumed the course and
3. is not eligible for a student grant or student loan (1).
1 UC Regs, reg 13(4)

H6041 Exceptions to the requirement not to be receiving education

A person does not have to meet the basic condition to not be receiving education (1) if
1. the person
1.1 is undertaking a F/T course of study or training which is not a course of
advanced education and
1.2 is under age 21 or is 21 and attained that age whilst undertaking the
course and
1.3 is without parental support (as in ADM chapter E1021) or
2. the person is entitled to "AA"2, DLA or PIP and has LCW or
3. the person is responsible for a child or a qualifying young person or
4. the person is a member of a couple, both of whom are receiving education
and the other member is
4.1 responsible for a child or qualifying young person or
4.2 a foster parent with whom a child is placed or
5. the person is a single person and a foster parent with whom a child is placed
or
6. the person has reached the qualifying age for SPC and is a member of a
couple and the other member of that couple has not reached that age (3).
1 WR Act 12, s 4(1)(d); 2 UC Regs, reg 2; 3 UC Regs, reg 14

H6042 Education maintenance allowance and the 16 - 19 Bursary Fund H6044

Education maintenance allowance consists of means-tested payments paid under
specific law (1) to support young people who remain in non-advanced education after
the age of 16. Payments can be made for up to two years to support young people
between the ages of 16 and 19, but in some cases an allowance may continue to be
paid for up to three years between the ages of 16 and 20.
1 Education Act 1996, s 518; Ed (Scot) Act 80, s 49 & 73(f);

F & HE (Scot) Act 92, s 12(2)(c) & 21; Education Act 2002, s 14 & 181

H6043 H6044

From September 2011 education maintenance allowance was replaced in England
by payments from the 16 - 19 Bursary Fund (1).

1 Education Act 2002, s 14

H6044

Payments made under H6042 or H6043 are excluded from within the definition of a
grant. For UC purposes, the DM should disregard such payments as being treated
as student income.

[H6045-H6046]

Meaning of F/T course

H6047 General H6001

Within the definition of receiving education (see H6026 - H6028) the word F/T
precedes the reference to courses. Therefore, the DM has to consider whether the
person receiving education is undertaking a F/T course.

H6048

The term F/T applies to the course itself and not to a person's attendance on it (1). It is
the time spent by a notional reasonable student that is considered. A person who
attends a F/T course on a P/T basis is still a student.

1 R(SB) 40/83; R(SB) 41/83

H6049

Each case must be decided on its facts (1). The DM must look at the sequence of
studies and activities that make up the course itself. The nature of the course is not
affected by (2)
1. a person's reasons for attending it or
2. a person's readiness to abandon it, for example, to accept an offer of employment or
3. what a particular person happens to be doing.

1 R(SB) 40/83; R(SB) 41/83; 2 R(SB) 2/91

H6050

In modular courses a sequence of studies is established once a person has decided
which modules to take. This sequence can be distinguished from the work that the
person is putting in at any given time.

H6051

When deciding whether a course is F/T, all of the studies and activities involved in it
should be taken into account. This includes both supervised and unsupervised study
and activity, whether done on or off educational premises.

H6052

Do not compare the total hours involved with what may be regarded as a full working
week. One approach is to look at the total time the course might require of an
average person receiving that same education. It may take up a substantial part of a
week, after allowing for reasonable rest and recreation. The course might then be
regarded as F/T.

H6053

H6054 Evidence from Educational Establishments

The term "educational establishment" is not defined, so must be given its ordinary
everyday meaning. Schools, colleges and universities are clearly such places. But
other less obvious places may also be included. For example, the training division of
a large organisation specially set up for that purpose.

H6055

A person is attending an educational establishment if they are receiving
1. training
2. instruction or
3. schooling
in an organisation, or at an establishment, set up for any of those purposes.

H6056

The way educational establishments are funded may mean that they no longer
classify courses as
1. F/T or
2. P/T.

H6057

Educational establishments may still classify courses or may be able to give an
opinion on their nature. Accept evidence from the education establishment as
conclusive, unless there is strong relevant evidence to the contrary (1).
1 R(SB) 40/83; R(SB) 41/83

[H6058-H6060]

H6061 Other evidence

Educational establishments may be unable or unwilling to say whether a course is
F/T or P/T. Or where a classification is provided the DM may consider it to be
implausible or unreliable. DMs will then have to decide whether the course is F/T.

H6062

The DM should consider other evidence, including
1. the type of qualification aimed for
2. the number of hours a week normally required for successful completion of
the course, including
2.1 supervised study
2.2 unsupervised study
2.3 homework
2.4 other work carried out on or off the college premises
3. the claimant's own hours of attendance and recommended hours of private study
4. the length of time normally required for successful completion of the course
(for example three years)
5. how long the claimant will take to complete the course
6. how the course is funded
7. the course classification for other purposes, for example, grant or student loan awards
8. how the same course has been classified by the college in the past.

H6063

If the claimant is taking longer than normal to complete the course, it is an indication
that the course is P/T1.

1 R(SB) 41/83

H6064

A course may be designed for students to attend as and when they can. With such a
course the DM should consider what is actually happening. If the course is F/T it is of
no consequence that the student could have attended it P/T.

H6065

The course being taken may be new, or the nature of it may have changed. It may
then be helpful to compare a similar course that is F/T, with the claimant's
1. length of study and
2. eventual qualification.

H6066

Do not give weight to the classification of the other course unless it is very similar to
the claimant's course. Also, a classification given by the claimant's own educational
establishment should normally be preferred to that given on similar courses by
different educational establishment.

H6067

A list of the more common courses and their qualifications is included at Appendix 1
to this Chapter. Do not rely on it as evidence of the nature of a particular course. It is
provided for information only.

[H6068-H6070]

H6071 Number of hours involved

The DM must have regard to the hours involved. This includes both time spent
1. in receiving instruction or being supervised and
2. in private study.

H6072

The level of a course may affect the number of hours of attendance in supervised
instruction or study. For example, a F/T advanced course may involve less
attendance than a F/T non-advanced course.

H6073

In non-advanced courses, hours of supervised instruction or study usually form a
larger part of the course. F/T advanced courses may involve only a few such hours.
Do not consider that in isolation. Students may also have to put in many hours of
private study.
H6074 - H6076
Financial support - loans and grants
NHS funded students

H6077 Healthcare professionals H6001

NHS students may be undertaking a variety of healthcare professional courses e.g.
nursing, midwifery, physiotherapy etc. Funding for such courses is dependant upon
the type of qualification being completed and at which education establishment the
course is being undertaken. Funding for NHS students is administered
1. in England, by the NHS Business Services Authority and
2. in Wales, by NHS Wales (Health in Wales) and
3. in Scotland, by the Student Awards Agency for Scotland.

H6078 Return to practice courses

Those taking part in refresher training known as `return to practice' are students if
they are undergoing a course of study at an educational establishment. Any
allowances paid to such students over the duration of the course should be treated
as grant income and taken into account as such (see H6141 et seq).

H6079 New entrepreneur scholarships

These scholarships have been developed to address the issue of entrepreneurs
from deprived areas being given the chance to gain business management skills.
Participants receive no funding for their business through the scholarships.

H6080 Social Work Bursaries H6081

The funding for social work bursaries may differ according to the type of qualification
being completed and at which education establishment the course is being
undertaken. Social work bursaries are administered
1. in England, by the General Social Care Council and
2. in Wales, by the Care Council for Wales and
3. in Scotland, by the Scottish Social Services Council.

H6081

This is a non-income assessed grant which is paid as an incentive to train. It
consists of three elements: basic maintenance grant, tuition fees and a fixed amount
towards practice learning opportunity (i.e. travelling expenses). The grant element is
calculated by the relevant Authority (see H6080).

H6082 Additional graduate bursary

This is paid to post- graduates who are in receipt of the social work bursary. It is an
income assessed grant available to F/T and P/T students and consists of a
maintenance grant and allowances to assist with certain costs for living. Extra
allowances may also be payable with the additional graduate bursary e.g. Adult
Dependant's Allowance, Parent's Learning Allowance and Childcare Allowance.
Further funding may also be available if there is a need for the student to extend or
defer their placement.

[H6083]

H6084 Teacher training bursary

A person undertaking or attending teacher training is a student where a course of
study is being undertaken at an educational establishment. Any award made as a
direct result of their participation on the course should be treated as student income
in the normal way (see H6141 - H6144).

[H6085-H6086]

H6087 Open University students

Open University courses are not F/T and are normally followed at times that would fit
in with employment. Most of the course material is studied and undertaken in the
person's home and not at an educational establishment. However they are still
undertaking a course of study (1). The DM should have regard to whether the course is
compatible with the individual's expected hours of work (see ADM chapter J3050)
and their work search requirement (see ADM chapter J3040). Any award made as a
direct result of their participation on the course should be treated as student income
in the normal way (see H6141 - H6144).
1 R(IS) 1/96

[H6088-H6090]

H6091 Loans - eligibility

Loans are generally available to students on courses of higher/advanced education.

H6092 Qualifying courses

Courses must (1)
1. last for at least one academic year or at least six weeks in the case of flexible
postgraduate courses for teacher training and
2. be designated and
3. be at institutions receiving support from public funds.

1 Support Regs, reg 5(1); Education (Student Loans)(Scotland) Regs 07, reg 4(1)

H6093

A course is designated (1) if it is a
1. first degree course
2. course for the Diploma of Higher Education
3. course for the Certificate of Higher Education
4. course for the further training of youth and community workers
5. course for the Higher National Diploma or Higher National Certificate of BTEC
or Scottish Qualifications Authority
6. course leading to an initial teacher qualification
7. course for which entry does not normally require a first degree (or equivalent) that
7.1 is in preparation for a professional examination of a standard higher than
7.1.a
GCE A levels
7.1.b Scottish highers
7.1.c
BTEC and Scottish Qualifications Authority National Awards
(as distinct from Higher National Certificate and Higher
National Diploma) or
7.2 provide education of a standard higher than courses in 7.1 but not
higher than a first degree course.

1 Support Regs, Sch 2; Education (Student Loans)(Scotland) Regs 07, Sch 2

H6094

Institutions receiving support from public funds means (1) that the monies are provided
by Parliament. The exception to this is where the funds have been provided by a
local council.

1 Support Regs, reg 2

H6095

A course is provided by an institution (1) if it supplies the teaching and supervision that
makes up the course.
1 Support Regs, reg 5(4); Education (Student Loans)(Scotland) Regs 07, reg 4(5)
H6096 Personal eligibility A student must be personally eligible as well as attending or undertaking a qualifying
course. A student is eligible for a loan if
1. they meet the residence conditions (1) (see H6097) and
2. they have not received an award under certain NHS regulations (2) and
3. they are not eligible to receive an allowance under certain regulations (3) and
4. they are not in breach of any obligation contained in a loan agreement (4) and
5. after reaching age 18 they confirmed any loan agreement that was made
while under that age (5) and
6. they are not, in the opinion of the Secretary of State for Business, Innovation
and Skills, unfit to receive support (6).
Note:
A student is only eligible for a loan on a single designated course, whether F/T
or P/T, in any one academic year (7).
1 Support Regs, reg 4(2); Education (Student Loans) (Scotland) Regs 07, reg 3(2)(a);
2 Support Regs, reg 4(3)(c); Education (Student Loans) (Scotland) Regs 07, reg 3(2)(d);
3 Education (Student Loans) Act 1990; Education (Student Loans) (NI) Order 1990;
4 Support Regs, reg 4(3)(d); Education (Student Loans) (Scotland) Regs 07, reg 3(2)(e);
5 Support Regs, reg 4(3)(e); 6 Support Regs, reg 4(3)(f);
Education (Student Loans) (Scotland) Regs 07, reg 3(3)(a);
7 Support Regs, reg 4(6); Education (Student Loans) (Scotland) Regs 07, reg 3(5)

H6097 Residence conditions H6096 H6096 H6095 H6098 H6099

To satisfy the residence conditions a student must (1)
1. be ordinarily resident in England, Wales or Scotland on the first day of their
course and
2. throughout the three years before the first day of the course have been
ordinarily resident in the
2.1 UK if
2.1.a
the student is settled in the UK or
2.1.b the student, their spouse, civil partner or their parent have been
granted leave to remain by the HO.
2.2 EEA if the student, their spouse, or their partner have established
migrant worker status and their stay is not wholly or mainly to receive
FTE.
1 Support Regs, Sch 1; Education (Student Loans) (Scotland) Regs 07, Sch 1

H6098 European Economic Area Nationals H6096 H6096

A student, who is an EEA national or the child of an EEA national, may be eligible for
a student loan if (1)
1. the conditions at H6097 2. are satisfied and
2. the course in
2.1 England and Wales, is provided wholly or partly by an institution in
England or Wales or
2.2 Scotland, is at a Scottish establishment.
1 Support Regs, Sch 1; Education (Student Loans) (Scotland) Regs 07, Sch 1

H6099 Refugees H6096 H6096

A student may be eligible for a student loan if (1)
1. they, their spouse, civil partner or parent are granted refugee status and
2. from the time they are recognised as a refugee they are ordinarily resident in
the UK and
3. they satisfy the conditions at H6097 1..
1 Support Regs, Sch 1; Education (Student Loans) (Scotland) Regs 07, Sch 1

[H6100-H6105]

H6106 Sandwich course H6096 H6096

Maintenance loans are generally available for sandwich courses. They are available
for the whole of the course, although may be paid at a reduced rate. Some students
on unpaid placements may also be eligible for an element of maintenance grant, but
this is income assessed.

H6107

A sandwich course is a course, other than a course of initial teacher training, or an
academic year of a designated course that is an Erasmus year, made up of
alternative periods of F/T study in an educational establishment and periods of work
experience. The F/T study must be for an average of not less than 18 weeks a year (1).
The average is worked out by dividing the total number of weeks of attendance by
the number of years in the course. For this purpose, the course starts with the first
period of F/T study and ends with the last period of F/T study.
Note: Erasmus is part of the European Union action programme.
1 Support Regs, reg 2(10); Education (Student Loans) (Scotland) Regs 07, reg 4(2) & 4(3)

H6108 Periods of work experience H6096 H6096

Periods of work experience are associated with the F/T study but are done outside
an educational establishment. The experience has to be
1. industrial or
2. professional or
3. commercial (1).

1 Support Regs, reg 2(1); Education (Student Loans) (Scotland) Regs 07, reg 4(4)(a)

H6109

If the course includes (1)
1. the study of one or more modern languages for at least half the time spent
studying and
2. periods of residence in a country whose language is a part of the course
then periods of work experience means any periods of overseas residence when the
student is in gainful employment.
1 Support Regs, reg 2(1); Education (Student Loans) (Scotland) Regs 07, reg 4(4)(b)

H6110 Student unable to find placement H6096 H6096

A student may not be able to find a placement in the period of work experience. This
does not automatically mean that they have stopped being a student. The DM
should consider whether the student has abandoned or been dismissed from the
course (see H6145 et seq).

[H6111-H6115]

H6116 Person treated as having student income H6096 H6096 H6117 H6140 H6142 H6142 H6142 H6142

A person who is undertaking a course of education, study or training (within the
meaning of H6036 to H6040) and has a student loan or a grant in respect of that
course, is to be treated as having student income (1) in respect of
1. an assessment period in which the course begins or
2. in the case of a course which lasts for two or more years, an assessment
period in which the second or subsequent year begins or
3. any other assessment period in which, or in any part of which the person is
undertaking the course, excluding an assessment period
3.1 in which the long vacation (see H6005) begins, or which falls within the
long vacation or
3.2 in which the course ends.
1 UC Regs, reg 68(1)

Example

Aisha is a single foster parent who has a foster child placed with her. She is
undertaking a 2 year course. The relevant course dates are
Commencement date of Year 1 - 14.10.13
Commencement date of the long vacation - 18.07.14
Commencement date of Year 2 (final year) - 15.10.14
End date of Year 2 - 16.07.15.
Aisha is treated as having student income for the assessment periods as shown in
the table below:
Aisha makes a claim to UC 10.10.13
Assessment period
Treated as having
student income
10.10.13 to 09.11.13
First assessment period Includes course start Yes
date of 14.10.13
Throughout the period whilst undertaking
Yes
year 1
10.06.14 to 09.07.14
Last assessment period prior to start of long
Yes vacation
10.7.14 to 09.08.14
Includes start date of long vacation 18.07.14
No
10.08.14 to 09.09.14
Assessment periods during long vacation
No
10.09.14 to 09.10.14
No
10.10.14 - 9.11.14
Start date of year 2 15.10.14
Yes
Throughout the period whilst undertaking
Yes
year 2
10.6.15 - 9.7.15
Last assessment period prior to end of yes
course
10.7.15 - 9.8.15
Includes course end date of 16.07.15
No

H6117 H6118 H6119 H6131 H6141

Where a person has a student loan, for any assessment period referred to in H6116,
their student income is to be based on the amount of that loan (1).

1 UC Regs, reg 68(2)

H6118 H6141

Where the circumstances in H6117 apply, any grant in relation to the period to which
the loan applies, is to be disregarded, except for
1. any specific amount included in the grant to cover payments which are rent
payments, included as an amount of housing costs element in the award of
UC (1) or
2. any amount intended for the maintenance of another person in respect of
whom an amount is included in the award (2).
1 UC Regs, reg 68(3)(a); 2 reg 68(3)(b)

Example

George is a student with two children who starts his course in September 2013. He
receives a maintenance loan. He is also entitled to an extra amount for the
maintenance of his children, which is a non-repayable grant. As George receives
both a student loan and a grant, the DM has to determine whether the conditions at
1. or 2. apply to George's grant. The DM determines the amount of the grant which
is for the maintenance of his children (who are included within George's award of
UC) and takes this amount into account along with George's student loan. George
has no housing cost element included in his award of UC. Consequently the DM
disregards any remainder of George's grant.

H6119 H6137 H6141

Where the circumstances in H6117 do not apply, the person's student income, for
any assessment period in which they are treated as having that income, is to be
based on the amount of their grant (1).
1 UC Regs, reg 68(4)

Example

Nina is a single parent with a disabled child. Nina receives a teaching bursary of
9000 payable for her course which lasts 36 weeks from 14.10.13 to 20.06.14. In
this case, no student loan is awarded. After allowing the appropriate grant disregards
in accordance with H6137, 6760 remains as the grant income to be taken into
account. Step 1 of the calculation (see H6141) states that where the period of the
course is less than a year, the amount to be determined is the amount of the grant in
relation to the course i.e. 6760. Under step 2 (see H6142), there are 8 assessment
periods in respect of the period of the course (excluding the assessment period in
which the course ends (H6116)). Under step 3, the amount of the grant income
6760 is divided by the 8 assessment periods determined at step 2, providing a
figure of 845. From this amount, the set disregard of 110 is deducted (step 4).
This produces student income of 735, which is the amount to be taken into account
within each assessment period.

H6120

A person is to be treated as having a student loan where they could have acquired
such a loan by taking reasonable steps to do so (1).
1 UC Regs, reg 68(5)

Example

Alice did not apply for a student loan because she did not wish to repay the interest
on such a loan. Instead she borrowed some money from a family friend who agreed
to lend her the money interest-free. Alice could have received a student loan had
she taken reasonable steps to do so. Therefore the full amount of what she could
have acquired as a student loan would be the amount taken into account.

H6121

A training allowance is not student income (1).
1 UC Regs, reg 68(6) & reg 66(1)(f); E & T Act 73, s 2; Enterprise and New Towns (Scotland) Act 1990, s 2

[H6122-H6129]

Calculation of student income

H6130 Student loans H6096 H6096

The maximum amount that can be advanced to a student depends on
1. where the student is studying and
2. whether the student has reached the final year of the course and
3. whether the student lives in the parental home.

H6131 H6132

In accordance with H6117, a person's student income (1) is to be based on the amount
of the student loan for a year. The amount to be taken into account is the maximum
amount of student loan that the person could acquire in respect of that year, by
taking reasonable steps to do so. This includes any increases for additional weeks.

1 UC Regs, reg 69(1)

H6132

For the purposes of calculating the maximum student loan (1) in H6131, it is to be
assumed that no reduction has been made on account of
1. the person's means or the means of their partner, parent, or any other person
or
2. any grant made to the person.
1 UC Regs, reg 69(2)

Example

Joyce receives a maintenance loan of 3875. This amount has been reduced by
1625 because she also receives a maintenance grant of 3250. The DM
determines that the maximum student loan that Joyce could have received is the
amount of the loan awarded and the amount of the reduction i.e. 3875 + 1625 =
5500.

[H6133-H6136]

H6137 Grants H6096 H6096 H6119

Where in accordance with H6119, a person's student income is to be based on the
amount of a grant, the amount that is to be taken into account is the whole of the
grant, but excluding any payment
1. intended to meet tuition or examination fees (1),
2. in respect of the person's disability (2)
3. intended to meet additional expenditure connected with term time residential
study away from the person's educational establishment (3)
4. intended to meet the cost of the person maintaining a home at a place other
than where they live during their course, except where the award of UC
includes an amount for the housing costs element in respect of those costs (4)
5. intended for the maintenance of another person, but only if an award of UC
does not include any amount in respect of that person (5)
6. intended to meet the cost of books and equipment (6)
7. intended to meet travel expenses incurred as a result of the person's
attendance on the course (7) or
8. intended to meet childcare costs (8)
1 UC Regs, reg 70(a); 2 reg 70(b); 3 reg 70(c);
4 reg 70(d); 5 reg 70(e); 6 reg 70(f); 7 reg 70(g); 8 reg 70(h)

Example

Molly is on a F/T PGCE course. She claims UC for herself and her 6 year old twins
Lewis and Lorna, who both have special educational needs. In respect of her course,
Molly receives the following awards
Tuition fee loan
9000
Bursary
15000
Parents' Learning Allowance 1508
Childcare Grant
255 per week
In order to determine the amount of Molly's grant income that is to be taken into
account, the DM applies any disregards listed. The award of 9000 tuition fee is
disregarded at sub-paragraph 1. The childcare grant is disregarded at sub-
paragraph 8. Parents' Learning Allowance is to help with the cost of books, materials
and travel expenses and is therefore disregarded under sub-paragraphs 6. and 7.
Molly's children are included in her award of UC, consequently the disregard at sub-
paragraph 5. does not apply to any dependants' allowance paid within the bursary.
The DM therefore determines that 15000 is the amount to be taken into account
when calculating Molly's amount of student income as in accordance with H6140 et
seq.

[H6138-H6139]

H6140 Amount for an assessment period H6137

The amount of a person's student income in relation to each assessment period, in
which the person is to be treated as having student income in accordance with
H6116, is calculated by using the following steps in H6141 to H6144.

H6141 Step 1 H6096 H6096 H6078 H6084 H6087 H6119 H6140 H6143

The first step is to determine
1. if the person has a student loan under H6117, the amount of the loan (and if
applicable the amount of any grant) in relation to the year of the course in
which the assessment period falls or
2. if the person has a grant under H6119, but no student loan, the amount of the
grant in relation to the year of the course in which the assessment period
falls (1).
Where the period of the course is less than a year, determine the amount of the
grant or loan in relation to the course.
1 UC Regs, reg 71, Step 1
Example 1 - Indira
Indira is a lone parent who is undertaking a two year course from 8.10.13 to 10.7.15.
She receives a student loan and grant for maintenance for herself and child. Indira
claims UC on 10.9.13. Step 1 is to determine the amount of the loan in relation to the
relevant year of the course in which the assessment period falls. Indira's first
assessment period is 10.9.13 - 9.10.13. This assessment period falls within year 1
of the course, commencing 8.10.13. The DM calculates that 9000 is the full amount
of student loan and grant that has been awarded to Indira in respect of year 1.
Example 2 - Imelda
Imelda is a disabled student. She receives a student loan of 8250 and a grant for
3000. She also receives 2 bursaries of 300 and 800 from the university where
she studies, which are described as special support bursaries, to help with the cost
of books, equipment, travel, study aids and other course related costs. As a loan is
in payment as well as a grant, the DM must determine whether any of the grant is to
be taken into account as income. The DM determines that neither of the conditions
set out in H6118 apply to the grant payments and therefore disregards the grant of
3000 and the 2 bursary payments of 300 and 800. Imelda is undertaking a 1 year
course which commences 16.9.13 and ends 4.7.14. Imelda makes a claim to UC on
10.4.14. As the period of the course is less than a year, the DM determines that the
full amount of loan in relation to the course is 8250.

H6142 Step 2 H6096 H6096 H6119 H6143

The second step is to determine, in relation to
1. the year of the course in which the assessment period falls or
2. if the period of the course is less than a year, the period of the course
the number of assessment periods for which the person is to be treated as having
student income under H6116 (1).
1 UC Regs, reg 71, Step 2
Example 1 - Indira
Under step 2, the DM now calculates the number of assessment periods for which
Indira is treated as having student income in respect of year 1. Under H6116,
Indira's first assessment period 10.9.13 - 9.10.13 includes the course start date.
Indira is therefore treated as having student income from that assessment period
and throughout the period that she is undertaking year 1, until the assessment
period 10.6.14 - 9.7.14. The next assessment period 10.7.14 - 9.8.14 is excluded
as it contains the start date of the long vacation. The assessment period 10.8.14 -
9.9.14 is also excluded as this period falls within the long vacation (see H6116 3.1).
Under step 2, the DM determines that Indira is treated as having student income for
10 assessment periods.
Example 2 - Imelda
Under step 2, the DM has to determine the number of assessment periods in
relation to Imelda's period of the course. This is because the course duration is less
than a year. The period of the course is 16.9.13 to 4.7.14. Imelda claims UC on
10.4.14, so the DM determines that Imelda's first assessment period is 10.4.14 -
9.5.14. By applying the criteria in H6116, the DM has to calculate the relevant
assessment period which includes the start date of the course i.e. 16.9.13. The DM
determines that the assessment period which includes this course start date is
10.9.13 - 9.10.13. Imelda is treated as having student income from that assessment
period until the assessment period 10.5.14 - 9.6.14. Imelda is not treated as having
student income for the assessment period 10.6.14 - 9.7.14 as this includes the
course end date of 4.7.14. Under step 2, the DM determines that Imelda is treated
as having student income for 9 assessment periods.

H6143 Step 3 H6096 H6096

The third step is to divide the amount produced in H6141 by the number of
assessment periods produced in H6142 (1).
1 UC Regs, reg 71, Step 3
Example 1 - Indira
Under step 3, the DM divides the amount resulting from step 1 example 1 i.e. 9000
by the number of assessment periods resulting from step 2 example 1 i.e. 10. This
provides a figure of 900
Example 2 - Imelda
Under step 3, the DM divides the amount resulting from step 1 example 2 i.e. 8250
by the number of assessment periods resulting from step 2 example 2 i.e. 9. This
provides a figure of 916.67 (rounded up)

H6144 Step 4 H6096 H6096 H6084 H6087 H6140

The fourth step is to deduct 1101 for expenses.
Note: This figure is a set disregard to cover any expense.
1 UC Regs, reg 71, Step 4
Example 1 - Indira
Under step 4, the DM deducts 110 for expenses, leaving Indira with an amount of
student income of 900 - 110 = 790, which is in relation to each assessment period
in which Indira is to be treated as having student income.
Example 2 - Imelda
Under step 4, the DM deducts 110 for expenses, leaving Imelda with an amount of
student income of 916.67 - 110 = 806.67, which is in relation to each assessment
period in which Imelda is to be treated as having student income.

H6145 Meaning of abandons H6096 H6096 H6110

Abandons means total, final and permanent abandonment (1).

1 R(IS) 25/95

H6146

Merely deciding to give up a course is not enough. The claimant must have actually
taken enough steps to ensure that their connection with the course is permanently
severed. In cases of doubt ask for documentary evidence from the educational
establishment.

H6147

A student may change from a F/T to a P/T course at the same educational
establishment. This can be an abandonment of the F/T course. However the P/T
course may be very similar to the old course.

H6148

Make sure that the course itself has changed and not simply the student's
attendance on it. When considering whether one course has been abandoned in
favour of another compare
1. the course as it was at the time the student started on it and
2. the course as it is now.

H6149

The DM should consider whether there has been any change in the
1. number of modules accessed or subjects taken
2. qualification being pursued
3. number of hours of tuition and study
4. length of the course
5. fees payable by the student.

H6150

The DM should also take into account
1. whether the course could be attended F/T or P/T under arrangements made
originally with the educational establishment and
2. any information that may be gained from the prospectus of the educational
establishment.

H6151 Meaning of dismissed H6096 H6096

Dismissed means total, final and permanent ending of a person's participation on a
course by the educational authorities. In cases of doubt ask for documentary
evidence from the educational establishment.

H6152 Abandons or Dismissed H6096 H6096

Where a student abandons or is dismissed from the course, they are no longer a
student from that date. Student income will cease to be taken into account from the
date of abandonment.

[H6153-H6160]

Appendix 1
Common courses of study
BTECs
BTEC First Certificates and Diplomas
This is normally a one year programme and is considered equivalent to several
GCSEs - the Certificate is usually studied P/T and the Diploma F/T.
BTEC National Certificates and Diplomas
This is normally a two year course and is considered equivalent to 2 or 3 A levels
the Certificate is usually studied P/T and the Diploma F/T.
BTEC Higher National Certificates and Diplomas
This is normally a two year course and is considered equivalent to a degree - the
Certificate is usually studied P/T and the Diploma F/T.
GNVQs and NVQs
These are work-related qualifications introduced in 1993. They are gradually
replacing existing BTEC qualifications in selected subjects. BTEC Firsts will be
replaced by BTEC Intermediate, GNVQs and BTEC Nationals by BTEC Advanced
GNVQs. NVQs/SVQs relate to existing qualifications as shown below
SVQ/NVQ level 2 = Intermediate GNVQ, BTEC and GCSEs
SVQ/NVQ level 3 = Advanced GNVQ, BTEC Nationals and A levels
SVQ/NVQ level 4 = BTEC Higher Nationals and Degrees.