Welcome and Introduction

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Welcome and Introduction Jed ONeill,
Director, Aimhigher South Yorkshire
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The Case for Higher Education
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Aimhigher

• Government funded initiative to raise
  aspirations, awareness and attainment of
  currently under - represented groups in Higher
  Education
• Contributes to target of 50 HE participation by
  2010
• BUT Aimhigher is about widening participation,
  not just increasing participation
• Aim is to remove barriers to participation
  cultural, HE provision, finance, information,
  advice guidance etc
• Aimhigher is a national initiative, delivered at
  sub-regional and local authority levels
• A wide variety of projects

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The Arguments

• Rational, utilitarian
• Economic - knowledge based economy
• - develop human resources
• Society - graduates cost the community
  lesshealthier, employed etc.
• Individual - rate of return 100-400K over a
  lifetime
• Ideological
• Social Justice - access to what you pay for
  benefits, opportunities for all
• "Education is a public investment, a private good
  and a human right" (Howard Newby)

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Strange Liaisons in the Search for Community
Learning Tony Jowitt, Principal, Northern College
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Money Matters Jane Woodford Rotherham Credit
Union Development Agency
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Outline

• Debt in the UK
• Financial capability
• Lessons from credit union/Aimhigher work
• Challenges for now way forward in South
  Yorkshire

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Current Situation in UK

• Cultural shift
• UK most indebted country in Europe
• Total consumer lending 192.6 billion
• Average household debt 7,796

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Young People and Debt

• Total student debt in UK 5 billion
• Average student debt 12,000
• Projected debt by 2010 33,708

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Financial Inclusion

• 14 million (35) rely on overdrafts
• 70 of people have no provision for unexpected
  drop in income
• 2 million households live on a knife edge
• FSA Financial Capability Establishing a
  Baseline

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Who Cares?

• Financial
• Health
• Active citizenship

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What Works

• Practical relevant
• Belief shared philosophy
• Self help
• Community champions
• Starting early
• Joint working mutual benefits
• Long term impact

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Building Financial Futures

• RCUDA/Aimhigher
• Initial project
• Schools project
• CU collection points
• Money/debt advice
• Financial literacy work in schools

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FSA Delivering Change

• Schools
• Young adults
• Workplace
• Consumer communications
• Online tools
• New parents
• Money advice

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Other Projects

• Money Doctors
• Young Scot Infoline
• LASA CU Swansea
• Little Dearne
• Northcliffe School
• Financial Inclusion - Sheffield
• Kendray

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. . . and so, what now?

• Connections
• Collaboration
• Communities

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Credit Due Ray Hearne, Workers Educational
Association
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Finance as a Barrier to HE Progression and
Widening Participation Jed ONeill,
Director Aimhigher South Yorkshire
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Knowledge

• 29 of 16-24 year olds said they wouldn't know
  how to prepare and manage a weekly budget
• 19 of 22-24 year olds have short-term debts over
  5,000
• 62 of young people said if they got into money
  trouble or debt they would not be able to name
  any advice or support services they could turn to
  for advice
• Of undergraduates who considered dropping out,
  34 cited financial difficulties as a strong
  factor
• (Financial Services Authority)

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The Finance Barrier

• Debt aversion "Student funding policies,
  predicated on the accumulation of debt, will
  deter HE entry amongst those with no other
  financial resource to call upon to fund their
  Higher Education." (Claire Callender)
• Insufficient rate of return for many potential
  applicants the returns are perceived as not worth
  the costs, unless a 'good institution' has been
  attended
• Desire to earn money
• "Higher Education not for the likes of us"

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The Costs of HE

• Average student expenditure 2004-05 10,273
• Average student income, 8,333
• Average final year debt, 7,918 but those from
  low income families, 9,842 average
• 56 of students do paid work average of 13.5 hrs
  per week at 6.10 per hour
• 50 of students have overdrafts
• Tuition fees rise from 2006 to 3,000 p.a. for
  most courses at most universities (not colleges)
• A complex system of student financial support
  comes into effect in 2006 grants/loans/bursaries
  /scholarships

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Implications

• Need for financial literacy starting early
• Need for clear and timely information and advice
• see www.direct.gov.uk/studentfinance

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Refreshment Break
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Workshop SessionsInvesting in the Future or
Problem Debt? Room 19Saving 4 LifeRoom
17Aim for Tomorrow Conference SuiteThe
Perspectives of Young People at UniversityRoom 20
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Workshop SessionsInvesting in the Future or
Problem Debt? Room 19Saving 4 LifeRoom
17Aim for Tomorrow Conference SuiteThe
Perspectives of Young People at UniversityRoom 20
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Refreshments
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Workshop Feedback
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Closing Speech Jed ONeill, Director Aimhigher
South Yorkshire
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