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Student Loans
Mr. Bryan Davies: To ask the Secretary of State for Education and Employment what is the expected total income from the sale of student loan debt; and what is the estimated effect on public sector borrowing requirement in (a) 1997-98, (b) 1998-99 and (c) 1999-2000. [7133]
Mr. Forth: The total income is dependent on the outcome of the forthcoming competition and negotiations. The Government's plans assume that some £1,500 million of debt will be sold in each of the three years. The effect on the public sector borrowing requirement and the exact quantum sold will depend on the final structure of the sale.
Mr. Davies: To ask the Secretary of State for Education and Employment what percentage of total outstanding student loan debt will be sold to the private sector in 1997-98 and in each subsequent year. [7132]
Mr. Forth: The total to be sold will depend on the forthcoming competition. Current plans assume that about half the debt then outstanding will be sold by the end of 1997-98 and about 80 per cent. of total accrued debt by 1999-2000.
Mr. Davies: To ask the Secretary of State for Education and Employment what estimates she has made of the (a) gross outlay on student loans and (b) repayment of student loans in 1997-98, 1998-99 and 1999-2000. [7130]
Mr. Forth: The estimated England and Wales, rounded, figures are:
| £millions | |||
|---|---|---|---|
| Financial year | 1997-98 | 1998-99 | 1999-2000 |
| Gross loan outlay | 895.8 | 973.2 | 994.5 |
| Repayments of principal | 93.8 | 144.1 | 211.2 |
Mr. Davies: To ask the Secretary of State for Education and Employment what provision will be made in her plans for the sale of student loan debt for (a) default and (b) deferment rates on repayments. [7131]
Mr. Forth: The financial impact of projected default and deferment rates will be subject to negotiation with prospective bidders.
Teachers (New Entrants)
Ms Walley: To ask the Secretary of State for Education and Employment how many new entrants to teaching posts there were in (a) primary or (b) secondary schools in each of the last five years. [7179]
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Mr. Forth: The numbers of new entrants to teaching, in the maintained nursery, primary and secondary sector in England and Wales, are given in the following table.
| New entrants(22) to | March 1991 | March 1992 | March 1993 | March 1994 | March 1995(21) |
|---|---|---|---|---|---|
| Nursery, primary sector | 8,266 | 8,481 | 8,684 | 9,444 | 10,100 |
| Secondary sector(23) | 6,472 | 6,810 | 7,800 | 9,196 | 9,900 |
(21) Provisional data.
(22) Those in the maintained nursery, primary, secondary sector at 31 March of the year shown who first entered teaching in the preceding year.
(23) Excludes sixth form colleges.
Further Education Colleges
Mr. Bryan Davies: To ask the Secretary of State for Education and Employment what is the annual efficiency gain required of colleges of further education in (a) 1997-98, (b) 1998-99 and (c) 1999-2000. [7134]
Mr. Paice: The efficiency gains implied in the spending plans for the further education sector announced in last week's Budget are estimated at 5.6 per cent. in 1997-98, 4.9 per cent. in 1998-99, and 5.3 per cent. in 1999-2000.
Further Education Funding Council
Mr. Bryan Davies: To ask the Secretary of State for Education and Employment what is the projected total grant to the Further Education Funding Council in 1996-97, 1997-98, 1998-99 and 1999-2000 in (a) cash terms and (b) real terms, using the current GDP deflator; and what is the percentage change from year to year in each case. [7135]
Mr. Paice: The information requested on the projected total grant to the FEFC for each year from 1996-97 to 1999-2000 is set out in the following table:
| 1996-97 | 1997-98 | 1998-99 | 1999-2000 | |
|---|---|---|---|---|
| Total grant (cash terms) | 3,070.5 | 3,072.2 | 3,053.3 | 3,010.9 |
| Percentage change | -- | +0.06 | -0.6 | -1.4 |
| Total grant (real terms) | 3,070.5 | 3,012.0 | 2,934.7 | 2,837.2 |
| Percentage change | - | -1.9 | -2.6 | -3.3 |
(24) At 1996-97 prices. The figures for 1998-99 and beyond are subject to review in future public expenditure surveys.
Teachers (Early Retirement)
Ms Walley: To ask the Secretary of State for Education and Employment what assessment she has made of the number of teachers likely to apply for early retirement in 1996-97 and 1997-98 in (a) primary and (b) secondary schools. [7181]
Mrs. Gillan: None. The Department collects data on the number of premature retirements granted by teachers' employers, but not on the number of applications made by teachers to their employers. Premature retirement is at the discretion of the employer.
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Ms Walley: To ask the Secretary of State for Education and Employment how many (a) primary and (b) secondary school teachers have accepted early retirement in each of the last five years. [7178]
Mrs. Gillan: The following table shows the numbers of teachers who have been granted premature and ill health retirement in England and Wales from 1991-92 to 1995-96.
| 1991-92 | 1992-93 | 1993-94 | 1994-95 | 1995-96 | |
|---|---|---|---|---|---|
| Infirmity | |||||
| Maintained nursery and primary | 2,167 | 2,117 | 2,347 | 2,668 | 2,505 |
| Maintained secondary | 1,581 | 1,689 | 2,154 | 2,225 | 2,112 |
| Total | 3,748 | 3,806 | 4,501 | 4,893 | 4,617 |
| Premature | |||||
| Maintained nursery and primary | 3,199 | 3,356 | 3,472 | 3,443 | 3,794 |
| Maintained secondary | 3,477 | 3,883 | 4,633 | 3,780 | 4,745 |
| Total | 6,676 | 7,239 | 8,105 | 7,223 | 8,539 |
| Total | |||||
| Maintained nursery and primary | 5,366 | 5,473 | 5,819 | 6,111 | 6,299 |
| Maintained secondary | 5,058 | 5,572 | 6,787 | 6,005 | 6,857 |
| Total | 10,424 | 11,045 | 12,606 | 12,116 | 13,156 |
The secondary sector does not include sixth form colleges throughout.
Ms Walley: To ask the Secretary of State for Education and Employment what assessment she has made of the impact on (a) class sizes and (b) school budgets of the proposed changes to the early retirement provisions for teachers; and if she will make a statement. [7104]
Mr. William O'Brien: To ask the Secretary of State for Education and Employment if she will make a statement on the estimated salary costs to school budgets from the withdrawal of the premature retirement scheme for teachers. [7261]
Mrs. Gillan: My right hon. Friend does not expect these proposals to alter the overall size of the teaching force, and she does not expect them to affect class sizes. The local government finance settlement allows for the effect of the proposals, so that the effect on school budgets will be broadly neutral.
Ms Walley: To ask the Secretary of State for Education and Employment what representations she has received in respect of the proposed changes to early retirement provisions for teachers. [7100]
Mrs. Gillan: In the last few weeks my right hon. Friend has received a large number of representations in respect
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of the proposed changes to early retirement provisions for teachers.
Ms Walley: To ask the Secretary of State for Education and Employment if she will reject the proposal to transfer funding of early retirement pensions contributions for teachers to schools; and if she will make a statement. [7102]
Mrs. Gillan: The proposals have been issued for consultation, with a closing date for responses of 17 January 1997. My right hon. Friend will take final decisions after that date.
Ms Walley: To ask the Secretary of State for Education and Employment what arrangements govern the contributions to the cost of the early retirement of teachers by teachers' employers; and if she will make a statement. [7101]
Mr. O'Brien: To ask the Secretary of State for Education and Employment if she will make a statement on the future of the teachers' premature retirement scheme. [7263]
Mrs. Gillan: Under current arrangements, the cost of early retirement for teachers is met by employers' contributions to the teachers' superannuation scheme, so that all employers pay for premature retirement at the same rate, irrespective of the rate at which they grant premature retirement. Under the proposed arrangements, employers will pay only for those premature retirements that they have granted, and will do so as and when they grant them.
Mr. O'Brien: To ask the Secretary of State for Education and Employment when she last met teacher representatives to discuss the premature retirement scheme; and if she will make a statement. [7262]
Mrs. Gillan: My right hon. Friend has not met teacher representatives to discuss the premature retirement arrangements for teachers.
Mr. O'Brien: To ask the Secretary of State for Education and Employment what assessment she has made of the non-financial consequences for older teachers of the withdrawal of the premature retirement scheme; and if she will make a statement. [7256]
Mrs. Gillan: None. The premature retirement scheme for teachers is not being withdrawn.
Mr. Jim Cunningham: To ask the Secretary of State for Education and Employment what recent representations she has received from teaching unions regarding early retirement amongst teachers. [6960]
Mrs. Gillan: In the last few weeks my right hon. Friend has received a number of written representations from teachers' unions regarding early retirement amongst teachers.
3 Dec 1996 : Column: 615
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