A Tynwald committee is calling for a review of the student awards policy - claiming the system makes it unaffordable for some to access higher education.

Around £10m a year is provided to support Manx students.

The Public Accounts Committee report, which will be debated at next month’s Tynwald sitting, notes that generally speaking, the island’s approach to tuition fees makes higher education cheaper and more accessible than for those in the UK.

But it concludes that while the hybrid grant and loan support available to students studying off-island is sufficient to make tuition fees affordable in most cases, maintenance grants do not cover enough of the costs of living away from home.

The committee said it was worrying to note that in order for a student to receive a full maintenance grant, parents (or other contributors) must be earning less than the minimum wage.

Currently, the lower end of the maintenance grant income threshold is £21,547 and has not kept pace with inflation.

Where contributors earn more than this, students will receive less than the usual maximum grant of £8,100, which is likely to make higher education unaffordable even if topped up by the student working part-time.

The report says the student awards scheme needs to demonstrate that it provides value for money.

It notes: ‘The fewer the number of graduates who return to work on-island following completion of their studies, the lower the return on the investment being made.

‘It is not currently possible to ascertain whether resourcing is focused into the right areas with the most positive impact and this needs to be addressed.’

The committee also found that those learning part time or via distance learning appear to be disadvantaged compared to full-time students.

It outlines no fewer than 13 recommendations including that the student awards system should continue to provide tuition fee and maintenance support through a combination of means-tested grants and access to loans.

The report recommends that Department of Education, Sport and Culture should review the student awards policy - and analyse data on outcomes to understand whether the resources invested are delivering the most positive impact.

The report calls for the minimum income threshold at which a full maintenance grant will be awarded should be uplifted to at least £30,388 and the thresholds should then be adjusted annually, in line with inflation.

It says disability support levels should increase to at least £2,600 per annum for the annual allowance, £19,760 for a medical helper and £7,800 for the one-off payment - and that these should be adjusted annually, in line with inflation.

The report also recommends that government should ensure a formal investigation and debt collection process is in place to maximise the recovery of student loan debt.

It suggests that not providing financial support for additional study at the same level, particularly to address skills gaps, is a ‘missed opportunity’.

And the report says the current residency regulations may be a disincentive to families wishing to relocate to the island.