LABOUR "HANDCUFFING STUDENTS TO DECADES OF DEBT" - WILLOTT AND BLACK

12.00.00am BST (GMT +0100) Mon 18th Sep 2006

The Welsh Liberal Democrats warned today that because of policies introduced by Tony Blair's Labour Government, by 2010 the average student will leave University with debts of over £33,000.

At their conference in Brighton, Welsh Liberal Democrat Education Spokesperson Peter Black AM and Youth Spokesperson Jenny Willott MP warned that the changes to the way higher education is funded, introduced by the Labour Government, are likely to leave undergraduates with debts that could take decades to pay off.

Commenting, Jenny Willott, MP for Cardiff Central, said: sen;p

"The Labour Party is handcuffing students to decades of debt. At present students are likely to owe £15,000 when they graduate - a huge burden for someone entering the job and housing market for the first time.

"But by 2010, average student debt is expected to be over £33,000! This will take many students much of their working life to pay off.

"It is no wonder that we saw over 4,000 students declare bankruptcy earlier this year. This figure will undoubtedly rise as students get more and more financially squeezed over the next few years."

Peter Black, AM for South Wales West, said:

"Because the Welsh Liberal Democrats led the way in ensuring that Welsh students studying at Welsh Universities will not have to pay top-up fees we are able to reduce the level of debt with which they will graduate.

"If Labour had got its way in Wales, all Welsh students would leave University handicapped by these huge debts. I am challenging all the other Welsh parties to guarantee that they will not seek to introduce top-up fees in Wales if elected next May.

"We have a debt crisis in this country. The British public now owes more than a trillion pounds in debt in total, and the UK Government is actually making the problem worse. This is an economic timebomb that will affect student's studies, put many people off from going into higher education, and leave the vast majority of graduates with mortgage size debts that they will take the rest of their working life to pay off. If we are to invest in our country's future then we need to reintroduce the principle of a free education service."

ENDS

Notes to Editors

According to predictions by Natwest, average student debt will reach £33,000 by 2010.