DCC suggests ways to cut student grants

‘Every little thing helps’ seems to be one of the statements made by the 13 new suggestions from the Danish Chamber of Commerce on how politicians can trim the expenses of the state education grant scheme.

“If a reform of the student grant scheme is to succeed, it’s vital to look at every detail, large and small. For instance, we could change the system to provide grants throughout the year while the students have classes, but cut back in July when classes are over,” said political consultant Morten Jarlbæk Pedersen of the Danish Chamber of Commerce.

He encourages politicians to think out of the box rather than focusing solely on the so-called “café allowance” or on whether students are merely faffing about and wasting time.

“We have to consider every option and stay open-minded if we want to create a system that enables Danish students to complete their education more rapidly,” said Pedersen.

Danish students are spoiled

The government recently announced planned cutbacks of the education grant scheme by DKK 2 billion through a reform to be negotiated this spring.

The Danish Chamber of Commerce has been only too ready to offer suggestions on where to make the cuts. One possibility is to limit student grants to people under 30.

“The way the system is today, Danish students are far too spoiled. Compared to other countries, there is a discrepancy between education grants and grant loans. We have no problem making demands of the students without worsening their conditions compared to other countries,” said Pedersen.

The 13 suggestions from the Danish Chamber of Commerce are:

1: Abolition of the “faffing year” (the sixth year of student grants)

2: Loans to cover postgraduate education instead of grants (to be repaid once the individual enters the top tax bracket)

3: Abolition of the “café allowance” (grants for students living with their parents)

4: Tightening of the student activity conditions from 12 to 6 months maximum delay (connected to item 12)

5: Abolition of education grants during the month of July

6: Abolition of the possibility to receive education grants for more than one programme

7: Differentiated education grants (amount to be determined according to the programme’s employment prospects)

8: Age limit for receiving education grants set at 30 years

9: Abolition of the current rate regulation in favour of letting the grant rate follow the general price trend

10: Starting bonus for students who transfer directly from upper secondary education to a higher education programme

11: One year’s extra grants awarded to students who finish their BA within the prescribed time

12: Abolition of the maximum earning limit on student jobs

13: Higher grant rate for students studying abroad.