Student Finance and Wellbeing Study (SFWS) Scotland 2023-2024: main report

15. Adequacy of student support

The survey asked all students 'Do you think that the financial support that is available to you as a student is sufficient?' with the answer options 'yes' or 'no'. Students were also asked 'If additional support was available to you in the form of a loan, how concerned would you be about taking out a loan?', with answer options 'very concerned', 'fairly concerned', 'not very concerned', 'not at all concerned'. This second question asked students to consider loan support over and above what they were already entitled to. The interviews and focus groups explored student views on adequacy of student financial support.

15.1. Key findings

• FE students were the most likely to report that the financial support available to them was sufficient (52%), compared with fewer than half of HN/undergraduate students (45%), postgraduate students (40%) and students from under-represented groups (41%) who said the financial support was sufficient.
• HN/undergraduate, postgraduate and under-represented students who were male, were more likely to consider funding to be sufficient than their female peers. There was no difference by sex for FE students.
• HN/undergraduate and postgraduate students from the 80% most deprived areas were more likely to consider funding to be sufficient than those from the 20% most deprived areas. There was no difference by area deprivation for FE and under-represented students.
• HN/undergraduate and students from under-represented groups aged 16 to 19 were more likely to consider funding to be sufficient than those aged 20 and over. The was no difference by age for FE and postgraduate students.
• Sixty-five percent of both FE and HN/undergraduate students, and 70% of postgraduate students and students from under-represented groups reported that they would be 'very' or 'fairly concerned' about taking out a loan as an additional form of student support, over and above any student loans they were already eligible for.
• Students in the qualitative research expressed varying opinions as to whether their government funded education-related income was adequate to cover their student living costs.
• Some students in receipt of the maximum level of bursaries (including FEB, CESB and PNMSB) were struggling to make ends meet and were having to supplement their income with paid work.
• The combined funding offered by the Independent Student Bursary, Young Student Bursary or Estranged Student Bursary in combination with a student loan, was often viewed as lacking, especially by those who received little or no financial contributions from their parents.
• Estranged students expressed concern at the levels of student loan debt they faced in order to study.
• Among Masters students, the fact that the tuition fee loan does not always cover the full fee charged by the university was said to impact on students' abilities to undertake postgraduate study and have implications for students from under-represented groups.
• Managing finances during holidays was a particular challenge for students from the most financially vulnerable backgrounds who did not receive financial support from their parents and relied on funding from their college, university or SAAS.

A more detailed account of perceptions of student support is outlined below.

15.2. FE students

Around half (52%) of FE students thought that the financial support available was sufficient. Around three-fifths (62%) of those living with their parents felt the financial support available was sufficient, compared with just over two-fifths (44%) of those living independently (renting or with a mortgage).

There were no statistically significant differences by sex, age, area deprivation or accommodation type.

15.2.1. Concern about taking out a student loan as an additional form of support

Around two-thirds (65%) of FE students reported that they would feel 'very' or 'fairly concerned' about taking out a loan as an additional form of student support over and above any loan they were already entitled to. There were no significant differences by sex, age, accommodation type, or area deprivation in levels of concern about taking out a loan as additional support to study.

15.3. HN/undergraduate students

Just under half (46%) of HN/undergraduate students thought that the student financial support available was sufficient. HN/undergraduate students who were more likely to report that the available financial support was sufficient were (Figure 15.1):

• Male students (51% compared with female students, 43%)
• Part-time students (52% compared with full-time students, 44%)
• Students aged 16 to 19 (55% compared with those aged 25 or over, 40%)
• Students from the 80% least deprived areas (48% compared with student from the 20% most deprived areas, 36%)

15.3.1. Concern about taking out a student loan as an additional form of support

As with FE students, around two-thirds (65%) of HN/undergraduate students stated that they would feel 'very' or 'fairly concerned' about taking out a loan as an additional form of student support over and above any loan they were already eligible for. Levels of concern were higher among female students (67%) than among their male peers (60%), and higher among students from the 20% most deprived areas (74%) compared with those from the 80% least deprived areas (63%).

There were no significant differences by age, or accommodation type.

15.4. Postgraduate students

Postgraduate students (40%) were the least likely to report that the available student finance was sufficient, with students from the 80% least deprived areas more likely than those from the 20% most deprived areas to consider student finance to be sufficient (43% compared with 21%). There were no significant differences by sex, age, or accommodation type.

15.4.1. Concern about taking out a student loan as an additional form of support

Among postgraduate students, 70% felt 'very' or 'fairly concerned' about taking out a loan as an additional form of student support over and above any loan they were already entitled to. There were no significant differences by sex, age, accommodation type or area deprivation.

15.5. Students from under-represented groups

As with postgraduate students, a relatively low proportion students from under-represented groups (41%) reported that the student finance available to them was sufficient. Male students (47%) were more likely than female students (39%) to think funding was sufficient. As with HN/undergraduate students, younger students from under-represented groups were more likely to consider funding to be sufficient: around half (51%) of those aged 16 to 19 compared with 42% of students aged 20 to 24 and 37% of those aged 25 or over.

Around half (53%) of those living with their parents considered student finance to be sufficient compared with 38% of those living independently (renting or with a mortgage). There were no significant differences by area deprivation in the proportion of students from under-represented groups who thought that the student finance available was sufficient.

15.5.1. Concern about taking out a student loan as an additional form of support

As with postgraduate students, 70% of students from under-represented groups felt 'very' or 'fairly concerned' about taking out a loan as additional financial support over and above any loan they were already eligible for. There were no statistically significant differences by any of the subgroups explored for this report.

15.6. Student experiences of the adequacy of student funding

Students who participated in an interview or focus group had varying opinions on whether their government funded education-related income was adequate to cover their student living costs. Students' views as to their preferred ratio of loans to bursary were also mixed.

15.6.1. Adequacy of student support for students in receipt of full bursaries

Some students were receiving higher amounts of non-repayable education-related income than others based on their eligibility for the financial support available. This was the case for those on maximum levels of the Further Education Bursary (FEB) (some of whom were also having their accommodation costs paid by their college), and for those in receipt of FE/HE Care Experienced Student Bursary (CESB) and Paramedic, Nursing and Midwifery Student Bursary (PNMSB) with bursaries of £9,000 and £10,000 per annum respectively. However, students in receipt of these higher bursaries nonetheless said they were struggling to make ends meet and were having to supplement their income with other sources such as paid work and scholarships. Few of those on bursaries were receiving regular financial support from their families.

"I'm on the maximum you can get at least for our college because I'm classed as a mature student and I'm not with my parents and earn my own money and that sort of thing and it has been tough at times which is why I had to go and get a job and have some extra income but it does take away time from studying which is a bit of a nightmare. (FE student focus group)"

"The way I budget the money is it's £200 a week, which is actually not a lot to live off. Food prices have went up. Gas and electricity has went up. I don't know if anyone else has kids but me personally, I have a child so there's a lot more expense there. I don't really treat myself to luxury stuff or anything because I'm very focused on what needs to be paid for and I'm still left short by [chuckles] the end of the month, really. (Care experienced student focus group)"

Student nurses, paramedics and midwives receive some of the highest levels of non-repayable education-related income via the PNMSB. However, student nurses who took part in both the focus groups and the interviews argued that the bursary was insufficient to cover their needs. This was partly related to the fact that some were also parents, and they highlighted the additional costs associated with this and the need to also work part-time.

"It's not a substantial amount to live properly. It's very much on the breadline of being poor, especially considering that we've got three children here. […] Yes, it's really, really hard and me and my husband are certainly seeing a massive difference now. (Student parent focus group)"

15.6.2. FE students

A key theme discussed by FE students was the interaction between Universal Credit and FEB top-ups, that is the provision of £28 per week rate for FE students who are in receipt of Universal Credit. FE students outlined their understanding that the amount of FEB top-up received from their college stayed the same regardless of the amount of Universal Credit they received. As some said they were receiving small amounts of Universal Credit, the bursary top up was not considered enough to live off. In response, a couple of students said they chose to decline Universal Credit so as to maximise their income from FEB.

"Actually, from Universal Credit - my partner works normal [hours]. He got normal salary but because of his salary, we didn't get nothing. For example, £30 or £50 per month Universal Credit, which is not help [to] us at all. So I then, after one year, just decided I wanted to speak to college about this. […] They just say, 'This is the rules. That's all.' So I said, 'Okay, I will stop my Universal Credit and just apply only for bursary accommodation.' [It] is different amount, which I needed, actually. I just stopped my Universal Credit and just applied for funding from college. (Full-time FE student parent)"

15.6.3. Student parents

Student parents said it was difficult to cover all the costs associated with raising a family with the education-related income they received. Parents participating in the study argued that the funding available to parents is not enough, given the higher costs they face. Both single parents and those from dual-parent households highlighted the impact of factors, such as: increased mortgage costs, childcare fees, school uniforms, school dinner payments, and recreation. Some FE and HE student parents spoke critically of what they viewed as a perceived unfairness in education-related income, whereby student parents are entitled to similar funding as those without the same responsibilities or costs.

"Adults with responsibilities and kids and rent and mortgages and cars and everything under the sun to pay. We're treated exactly the same as the 18-year-old that still lives at home with mum and dad and doesn't actually have any bills, you know? Sometimes they won't even have to pay digs, what we always had to pay, and I don't see how they can say that we can live on the same as what they can live on. (Student parent focus group)"

15.6.4. Combined funding from loans and bursaries for HN/undergraduate students

Among students who received the Independent Student Bursary, Young Student Bursary or Estranged Student Bursary in combination with a loan (often referred to by students as their "SAAS"), the combined funding was also often viewed as lacking. This was particularly the case for those who received little or no financial contributions from their parents, and had to rely on alternative sources of income such as paid work and scholarships. Students who were able to draw upon large, regular, financial contributions from their parents found it easier to cover their costs with the income they received from their student loan. Students from middle to lower income households whose parents could not afford to provide regular financial support also found it more challenging.

"If I didn't have my […] scholarship, this year would be hell, you can imagine, without - with just SAAS. I know people who didn't get scholarships who have been really struggling with their SAAS payments just because they only have SAAS. So, they have been working every other moment that they can, so personally I think I'm doing fine but if I wasn't in the situation that I am, I would struggle. (Full-time undergraduate student)"

"I think for lower income families, it's not quite enough. […] I think £8,000 or even £9,000 is cutting it quite close if there's no support from a family, if they can't afford that. I think for me, £5,000 is absolutely fine. Most of my friends that I know who are from good income families, they don't worry about it too much. (Full-time undergraduate student)"

15.6.5. Mature students aged 25 and over

Mature students studying at all qualification levels highlighted the stark difference between their levels of income before they returned to study, and their income as a student. The difficulty of making the transition from having a full-time wage to relying on bursaries and student loans was raised by several mature students and student parents who had returned to study later in life.

"I was a stay-at-home mum and then I managed to get into a [job] in the next county. Then I had to leave the job because obviously it was during COVID, so there was less opportunity available for me, so that's why I decided to give a complete 160 in my career choice. That was pretty much it, very daunting and it's taken quite a substantial hit financially from, obviously, a full-time job to now losing over £900 in a month - just for myself- so yes, it's been quite hard. (Student parent focus group)"

15.6.6. Part-time students

Part-time HE students who participated in the qualitative research were in highly varied financial situations. Most were mature students who funded their studies through paid work, either full-time or part-hours hours. While some earned sufficient funds from their work to feel comfortable financially in their studies, others noted the lack of government-funded education-related income for part-time students, and argued more support via student loans and/or bursaries should be made available to students enrolled on part-time courses.

15.6.7. Postgraduate students

Among postgraduate students who took part in the qualitative interviews and focus groups, similar concerns were raised in relation to the perceived inadequacy of government-funded financial support. Students (postgraduate diploma and Masters) noted that the postgraduate tuition fee loan (£7,000 per academic year in 2023 to 2024 and £5,500 in 2022 to 2023) does not always cover the full fee charged by the university, leaving students with the responsibility to cover the remainder. This was said to impact on students' abilities to undertake postgraduate study and have major implications for under-represented groups.

"I know a lot of friends from undergrad that really wanted to do a Masters programme, and couldn't afford the excess that SAAS doesn't cover. […] For example, one of the Masters programmes at our university is £19,000 and the SAAS loan only covers £5,000 of that, so you would owe the rest out of your own pocket. That deters a full social class of people from accessing postgraduate study. (Postgraduate student focus group)"

There was a view among postgraduate students that the financial challenges they faced were greater than those they had experienced when studying at undergraduate level. Postgraduates noted that the living cost loan they received as Masters students was lower than that received as undergraduates, leaving a gap between their funding and their costs, which had to be filled with paid work or applications for discretionary funding to the university where they were studying. At the same time, students felt that their costs as postgraduate students are higher. This was partly as a result of rising housing costs and the cost of parenting, but also due to a view that postgraduate study is more demanding, requiring greater hours of study, which impacts on the ability to take on additional paid work.

"The postgraduate, the only money you can get through SAAS [Masters living cost loan] is about £4,500 for the entire year, which is barely enough to make ends meet. So, I also had to have a job on top of that. I had to apply for the discretionary fund I think about four times during my Masters, which ended up with… I think they basically ended up paying back the money that I had given them from my savings, for my tuition fees. (Full-time postgraduate (PhD) student)"

"When I was doing my undergraduate, I had a lot more availability and a lot more time to work, because the course was just less demanding, and I was also of an age where I was still living at my parents' house. I still had the ability to move back in with them without it being too much of a jolt to my system. […] I've never actually had to do - well, I don't have to, it's a choice - but I've never done this level of academic work before. I haven't left the house for about two weeks [chuckles], because I've just been doing essay after essay after essay, trying to make sure it was really good. Given that you're paying a bit more, and a lot more weighted on your future, a Masters degree, I would think that there would be slightly more funding, just to make it a bit easier for you, because it is harder, at least compared to undergrad. (Full-time postgraduate (Masters) student)"

15.6.8. Distribution of student loan debt

Some students in the qualitative research also discussed the distribution of student loan debt, whereby those with higher levels of financial need – for example, from lower income households or estranged from their parents – were said to accrue the highest levels of debt. A student described this as 'unfair', arguing that bursaries should be used more than loans to ensure a more even distribution of debt among all students.

"I think the bursary…I think what's a bit unfair with SAAS is the less income your family has the bigger the loan it is. I think that's…because then it gets more poorer working class students in bigger debt. I think it should be the same amount of loan as anybody else but a larger bursary to balance it out. The bursary you don't have to pay back and I think it's kind of unfair for poorer students that they have to pay back so much more because I know people that earn even less than me and their loan is substantially bigger and that's just getting them into even more debt you know. […] that's the last thing you want, is somebody who's come from a working class family to end up in a huge amount of student debt. I know you don't have to pay it back straightaway but you've still got that student debt you know. (Full-time undergraduate student)"

15.6.9. Estranged students

This view was echoed by estranged students, who highlighted the impact on their finances from not being able to rely on the financial support of their parents, legal guardians or carers. Estranged students suggested that they would graduate with considerable student loan debt. While appreciating the combined bursary and loan support, it was recognised by students that the loan made up a bigger proportion of their funding, and that there may be benefits to increasing the bursary and reducing the loan for estranged students.

"I am on the loan and bursary. I'm lucky to be but I think, as I said earlier, there is more to pay back at the end of it. […] As great as it is that we have the support during this, I think what would be good for folks in the position of estrangement or anything else would be to know or to have support for maybe even just the summer after graduation - or however many months after - so that we can support ourselves and get into a position where we can pay those loans back. Otherwise we're just sat with a tonne of debt and possibly not even a roof over our heads. (Estranged student focus group)"

"So, I think when it comes to estranged students and applying for the funding, I think it's almost like - they're not asking you to prove it, but I think all of the funding is geared around, the applications are mostly geared around people who would have parents that would support them. […] It maybe doesn't consider people who aren't from the more typical backgrounds as much. […] It would maybe mean that I think rather than the loan being such a big chunk, if it was maybe reduced and the bursary was larger, I feel like that would consider somebody with a different experience more. Then we're not all gonna have this huge financial bit of debt at the end. (Full-time undergraduate estranged student)"

15.6.10. The use of non-repayable bursaries as an incentive to recruitment

Student nurses who participated in the qualitative research were appreciative of the full bursary, noting the benefits of graduating debt-free. However, it was also felt that the PNMSB was insufficient to cover the current costs of student nurses and to incentivise people to study as paramedics, nurses and midwives. Other students who were working in allied health professions not covered by the PNMSB, or those enrolled in teaching courses, questioned why similar debt-free bursaries were not extended as an incentive to train in professions where positions can be hard to fill.

"I would like it [the PNMSB] to be more. I think it's a difficult one to balance, because I think they want nurses, they need nurses to come up. It's not enough to live on, on its own. I think people struggle with it. (Full-time undergraduate student parent and carer)"

"There are a lot of 'sectors' of the economy, whatever that is, where people say, 'Oh, we really need X, Y and Z then, we really need nurses, we really need doctors, we really need teachers, we really need,' whatever it is. Yet it's not necessarily being addressed, it's not necessarily easy for people to get into these things or for them to - the realities to be helped or taken care of. It's the thing that I'm doing teaching because I really care about it and I think that it's an important thing to do and it's something that I think that I'm good at. But to then have this much debt and it not be incentivised to be taken care of in some way, then it's a bit demoralising, to say the least. (Full-time postgraduate (Masters) student)"

15.6.11. Managing finances during holidays

As part of the qualitative research, students were asked to reflect on their financial experiences during the holidays, and consider whether and how their finances changed outwith the academic year. Discussion of holidays also often came up spontaneously when students were responding to questions about managing their finances. The findings suggest that managing finances during holidays was a particular challenge for students from the most financially vulnerable backgrounds.

Students funded predominantly through their parents' financial contributions or through full-time employment (e.g. those who were enrolled on part-time courses), tended to report little difference in their financial experiences during the holidays. Students receiving regular financial payments from their parents tended to be able to save enough to allow them to consider travel or internship opportunities in the summer months. Those who received funding via benefits noted that their finances changed little over the summer as benefit payments continued during this time.

However, students whose income was reliant on funding from their college or SAAS said they often encountered difficulties during the holidays. This was particularly the case during the summer vacation as a result of not being able to access bursaries and student loans at this time. Students reported a range of different approaches to compensate for the loss of their loan/bursary instalments in the summer, including selling possessions or returning home to live with their families, where that was possible for them. The most common approach was to seek paid work – either by extending the hours of an existing part-time job or by seeking a new position. However, students noted some of the challenges associated with this, explaining that it could be difficult to move from a part-time to a full-time contract, and that they were limited by the number of extra hours their employers were able to offer. This meant some students were unable to earn enough to cover all their costs and struggled to get by during the summer. Students who were carers faced additional challenges in finding paid work during the holidays as they had to be on hand to support family members as and when needed.

"The summer is the hardest definitely because there's no SAAS or anything coming in over the summer. I know uni's not on over the summer but even if I am picking up overtime at work and things, overtime is still limited you know. I can't go to my manager and say I want you to give me X amount of hours so I can make X amount of money. It doesn't work like that. I can only pick up what's available in the shop. (Full-time undergraduate student)"

"When I was on SAAS it was really difficult because you had no other income coming in, well you had no income during the holidays, and if you went to like say the Citizens Advice Bureau they would turnaround and say, 'yeah, you have to go and get a job because we can't offer any support'. […] I couldn't go and get a job as they suggested, because 90% of my time…well during the holidays 99% of my time was spent with mum. (Full-time undergraduate estranged student carer)"

For student nurses and those studying allied health professions, mandatory university work placements were said to act as a barrier to finding paid work, given the difficulty of finding flexible employment alongside their work placement. Student parents who had work placements noted that the cost of covering childcare during the summer holidays was an additional burden.

"So, between July and September I'll have absolutely no funding. Again, can't really go out and work because I'll be in placement. I'll also still have classes that I need to attend during the summer holidays. I'll also have kids off in the summer holidays. So, it's not convenient for me to really kindae go into work because then I need to go and look for a childminder to look after my kids. (Student parent focus group)"

More broadly, student parents on a wide range of courses, and at FE, HN/undergraduate and postgraduate level, reported how much harder it was to manage their finances during the holidays when their children were not in school. The cost of childcare, food bills, energy bills, paying for days out, and providing entertainment all meant student parents' finances had to stretch further; as one student parent put it, it was 'more of a pinch over the summer holidays'.

Among the students who took part in the qualitative research, estranged students were particularly badly affected by the lack of bursary and student loan summer instalments, with some anxious as to how they would cope financially during this time. This was confounded by worries about where they would live, with some estranged students experiencing difficulties finding accommodation due to not having a rent guarantor. More broadly, the lack of summer funding instalments placed significant pressure on estranged students to bring in income to ensure they could afford to pay for their accommodation. Students who succeeded in increasing their hours of paid work during the holidays reported that this could be physically and mentally exhausting. Estranged students suggested they had missed out on other opportunities their peers were able to access as a result of having to work long hours. They called for those in receipt of the estranged student bursary to be given summer instalments in order to provide estranged students with a safety net of funding to help them access the same opportunities as others during the summer holidays.

"I do think it'd be beneficial for - even if the estranged students bursary - we need that through the year, sure, but even if we got something through the summer because that's the period where we struggle the most. That's the period where - SAAS is such a big, fixed source of income through the academic year for those of us who use it. It takes away a hell of a lifeline when we don't have it in the summer. In my case - and presumably others' - it means we are working extra hours. We're not getting to take opportunities like internships or anything like that, that could actually get us these jobs after we've done our education because we have to work to live. So it puts us at a disadvantage on the playing field, the fact that we don't get financial support through the summer. (Estranged student focus group)"

Since the qualitative research was undertaken, the Scottish Government have announced that all students will have the option of receiving their bursaries and loans in 12 instalments rather than 10 so they can receive payments over the summer months. Some of the care experienced students participating in the qualitative research already received their CESB over the course of the whole year and talked of the benefits of receiving the bursary in this way. Care experienced students also highlighted the benefit of receiving the summer accommodation bursary from SAAS as it was one less expense they needed to worry about covering.

"Obviously, like other students, we don't get a loan during that month. I know now though, with the Care Experienced Bursary, I think you can split it into nine or 12 payments, which they didnae have when I received it. So that would have probably been a help. I also know that when I did receive the Care Experienced Bursary, SAAS covered my whole rent for the summer. That was a big help because obviously I've always had to work during the summers but no' having to worry about the rent at that time was a huge help. (Care experienced student focus group)"

Finally, it should also be noted that students' challenges relating to the vacation time were not limited only to the summer holidays. The interviews and focus groups were undertaken close to Christmas, and the difficulty of additional spending pressures during this time was mentioned frequently by students who were struggling, for example, to pay for presents.