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Supporting our future NHS workforce: a consultation on the NHS Bursary Scheme Autumn 2009.

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Presentation on theme: "Supporting our future NHS workforce: a consultation on the NHS Bursary Scheme Autumn 2009."— Presentation transcript:

1 Supporting our future NHS workforce: a consultation on the NHS Bursary Scheme Autumn 2009

2 Supporting our future NHS workforce 2 Background to the NHS Bursary Scheme in England £518m spent in 2007/08 on bursaries, allowances and loans: –£363m on bursaries (to degree and diploma students) –£88m on allowances (to degree and diploma students) –£67m on loans (to degree students) 90,000 students awarded funding in 2007/08: –57,000 nursing students –4,000 midwifery students –11,000 medical and dental students –18,000 students in some of the allied health professions and other students

3 Supporting our future NHS workforce 3 Optional slide Background to the NHS Bursary Scheme – breakdown of the 18,000 AHP and other students 18,000 allied health professional and other students comprised of: –500 audiology –1,000 chiropody / podiatry –500 dental hygiene and therapy –1,000 dietetics –4,000 occupational therapy –1,500 operating department practice –< 500orthoptics –5,000physiotherapy –< 500prosthetic and orthotics –3,000 radiography –2,000 speech and language therapy

4 Supporting our future NHS workforce 4 The current arrangements for healthcare students Diploma students are entitled to: –A non means tested NHS bursary –Additional allowances to take account of their personal circumstances Degree students are entitled to: –A means tested NHS bursary –A loan from the Student Loans Company –Additional means tested bursary for extra weeks they are required to attend university, over 30 weeks –Additional allowances to take account of their personal circumstances Location of study/residence Bursary (2007/08 rates) London (in lodgings or own home) £7,443 Elsewhere or with parents £6,372 Location of study/ residence Maximum bursary (2007/08 rates) Loan (2007/08 rates) London (in lodgings or own home) £5,425 £3,100 Elsewhere (in lodgings or own home) £4,388 £2,210 At parental home £3,375£1,660

5 Supporting our future NHS workforce 5 The review of the NHS Bursary Scheme Announced June 2008 in A High Quality Workforce: NHS Next Stage Review Commitment to review the anomaly between diploma and degree nurses Opportunity to consider other changes to improve the scheme Consider the impact of the move of nursing programmes to degree level Led by key stakeholders on a Steering Group with representation from: –Trade unions (UNISON, RCN, BMA, RCM, Society of Radiographers and NUS) –Higher Education –NHS –Department for Business, Innovation and Skills Used evaluation criteria to assess options Commissioned new research and considered the available evidence

6 Supporting our future NHS workforce 6 The scope of the review Within the scope of the review basic bursary award and loans anomaly between diploma and degree nurses Not included in the review tuition fees (these will continue to be paid) eligibility for the NHS bursary other allowances and reimbursments

7 Supporting our future NHS workforce 7 Evaluation criteria It has been agreed that the proposed scheme should aim to meet the following criteria …… Legal requirement Is legally compliant Will have no adverse impact on equality Essential/shoul d do Removes the anomaly between diploma and degree Provides a reasonable level of support Does not create inappropriate student debt Provides value for money Is affordable Has robust administrative and infrastructure costs Encourages students from a wide range of backgrounds Is coherent with wider Government policy and funding Is sufficiently flexible to take account of forecast changes in workforce demand Attracts and retains students up to the point of qualification Desirable/would like to do Is easy to apply for and understand Addresses other anomalies – different arrangements for medical and dental students, different arrangements for reimbursing travel expenses and local top-ups of the bursary

8 Supporting our future NHS workforce 8 The options There are five main options: –Option 1 – retain the current scheme –Option 2 – provide a means tested bursary and a non-means tested loan to all students –Option 3 – provide a non-means tested bursary to all students –Option 4 – move to same scheme as other students (e.g. those taking a degree in Economics) –Option 5 – employ all students on the minimum wage And the options have been further broken down and split into two groups: –Group 1 (chapter 6) – options that could be implemented within the current bursary budget –Group 2 (chapter 7) – options that would require additional funding

9 Supporting our future NHS workforce 9 The questions The consultation asks you to consider: 1 Which three options, in priority order, would you support from chapters 6 and 7? (Including at least one options from each of chapter 6 and chapter 7) 2 What benefits you would expect to be achieved if your preferred option(s) were implemented? 3 Do any of the options have a significant negative impact on equality? 4 Do any of the options have a significant positive impact on equality?

10 Supporting our future NHS workforce 10 The options – Group 1, Chapter 6 (can be implemented within the existing budget) Option 1 – retaining the current scheme –Diploma students would continue to be eligible for a non-means tested bursary, and degree students for a means tested bursary Location of study/residenceBursary London (in lodgings or own home)£7,443 Elsewhere or with parents£6,372 Location of study/residenceMaximum bursaryLoan London (in lodgings or own home)£5,425£3,100 Elsewhere (in lodgings or own home) £4,388 £2,210 At parental home£3,375£1,660 Diploma students Degree students

11 Supporting our future NHS workforce 11 The options – Group 1, Chapter 6 (can be implemented within the existing budget) Option 2 – providing a means tested bursary and a non-means tested loan –Option 2a – the loan would be set at the current rate for NHS funded students and the balance of the funding would be used to provide a means tested bursary –Option 2b – the loan would be set at the current rate for NHS funded students and a non- means tested bursary of £1,000 provided for all students. The remaining balance of the funding would be used to provide a means tested bursary. –Option 2c – the loan would be set at the current rate for non-NHS funded students and the balance of funding would be used to provide a means tested bursary. Option 2aOption 2bOption 2c Location of study/ residence Max bursary Loan Max bursary* Loan Max bursary Loan London (in lodgings or own home) £6,450£3,100£5,950£3,100£3,950£6,315 Elsewhere (in lodgings or own home) £5,250£2,210£5,000£2,210£3,150£4,510 At parental home£4,100£1,660£4,050£1,660£2,350£3,495 * Includes the £1,000 bursary provided to all students

12 Supporting our future NHS workforce 12 Option 3 – providing a non-means tested bursary to all students –Option 3a - All students would be eligible to a non-means tested bursary, the rate of which would be set on the basis of the funding available in the existing bursary budget Location of study/residenceBursary London (in lodgings or own home)£7,300 Elsewhere (in lodgings or own home)£5,950 At parental home£4,700 The options – Group 1, Chapter 6 (can be implemented within the existing budget)

13 Supporting our future NHS workforce 13 Group 1, The options so far – case studies Option 1Option 2aOption 2bOption 2cOption 3a Bursary each year£4,325£5,350£4,850£2,850£6,200 Loan each year£3,100 £6,315N/A Total annual funding£7,425£8,450£7,950£9,165£6,200 Max. level of student debt at end of course£9,300 £18,945N/A Vivienne is 25 and studying for a nursing degree in London. She is independent of her parents and has no income of her own whilst studying. Her course lasts for 41 weeks. The table below shows how much funding would be available to Vivienne under each option.

14 Supporting our future NHS workforce 14 Option 1Option 2aOption 2bOption 2cOption 3 Bursary each year£185£1,063£1,000£0£4,640 Loan each year£2,210 £4,510N/A Total annual funding£2,395£3,273£3,210£4,510£4,640 Max. level of student debt at end of course£6,630 £13,530N/A Group 1, The options so far – case studies Simeon is 21 and studying for a physiotherapy degree in Northumbria. He is dependent on his parents who have a combined income of £50,000. His course lasts for 35 weeks. The table below shows how much funding would be available to Simeon under each option.

15 Supporting our future NHS workforce 15 The options – Group 2, Chapter 7 (would require additional funding) Option 2 – providing a means tested bursary and a non-means tested loan –Option 2d – the loan would be set at the current rate for non-NHS funded students with a maximum means tested bursary to provide sufficient funding to bring student income up to a defined level – additional cost of £220m. –Option 2e – the loan would be set at the current rate for NHS funded students with a maximum means tested bursary to provide sufficient funding to bring student income up to a defined level – additional cost of £240m. Option 2dOption 2e Location of study/ residence Max bursaryLoanMax bursaryLoan London (in lodgings or own home) £6,900£6,315£10,100£3,100 Elsewhere (in lodgings or own home) £6,400£4,510£8,700£2,210 At parental home£5,600£3,495£7,450£1,660

16 Supporting our future NHS workforce 16 The options – Group 2, Chapter 7 (would require additional funding) Option 3 – providing a non-means tested bursary to all students –Option 3b – the bursary would be set at the current rate for diploma students – additional cost of £30m. –Option 3c – the bursary would be set at a level sufficient to bring student income up to a defined level – additional cost of £340m. Location of study/residence Option 3b Bursary Option 3c Bursary London (in lodgings or own home)£7,450£13,200 Elsewhere (in lodgings or own home)£6,350£10,950 At parental home£5,300£9,100

17 Supporting our future NHS workforce 17 The options – Group 2, Chapter 7 (would require additional funding) Option 4 – moving all students to the same scheme as other students (e.g. those taking a degree in Economics) –All students would be treated in the same way as other students in higher education and be eligible for a means tested grant and loan which is partly means tested (28%) – additional cost of £260m. Household incomeGrant £17,910 or less£2,765 Between £17,911 and £38,330Partial grant Over £38,330No grant Location of study/residenceMax Loan London (in lodgings or own home)£7,285 Elsewhere (in lodgings or own home)£6,248 At parental home£4,639 From 1 September 2009, students with a household income of up to £25,000 will receive a maximum grant and those with an income of between £25,000 and £50,000 a partial grant. In 2007/08, 25% of the loan was means tested. Students who are awarded a grant will have their loan reduced by that amount, up to a total reduction of £1,230.

18 Supporting our future NHS workforce 18 The options – Group2, Chapter 7 (would require additional funding) Option 5 – employing all students on the minimum wage –All students would be employed whilst they were studying and paid the minimum wage – additional cost of £840m (reduces to £780m if students under 21 are paid at a lower rate). Location of study18 – 21 year old ratesOver 21 rates London (inner)£12,218£14,660 London (outer)£11,723£14,066 London (fringe)£9,743£11,690 Elsewhere in the UK£9,005£10,805 Salaries are based on the NHS standard 37.5 hour week. From 1 October 2008 the rates increased to £9,337 (national) for 18 – 21 year olds and £11,216 (national) for those over 21.

19 Supporting our future NHS workforce 19 The remaining options – Group 2 case studies Option 2d Option 2eOption 3bOption 3cOption 4Option 5 Bursary each year£5,800£9,000£6,350£10,397£2,765N/A Loan each year£6,315£3,100N/A £7,415N/A Total annual funding£12,115£12,100£6,350£10,397£10,180£14,660 Max. level of student debt at end of course£18,945£9,300N/A £21,550£0 Vivienne is 25 and studying for a nursing degree in London. She is independent of her parents and has no income of her own whilst studying. Her course lasts for 41 weeks. The table below shows how much funding would be available to Vivienne under each option.

20 Supporting our future NHS workforce 20 The remaining options – Group 2 case studies Option 2d Option 2eOption 3bOption 3cOption 4Option 5 Bursary each year£2,213£4,513£5,040£7,351£0N/A Loan each year£4,510£2,210N/A £3,727N/A Total annual funding£6,723 £5,040£7,351£3,727£10,805 Max. level of student debt at end of course £13,530£6,630N/A £10,846£0 Simeon is 21 and studying for a physiotherapy degree in Northumbria He is dependent on his parents who have a combined income of £50,000. His course lasts for 35 weeks. The table below shows how much funding would be available to Simeon under each option.

21 Supporting our future NHS workforce 21 Additional issues for consideration 1 Should medical and dental students from less well off backgrounds be transferred into the NHS Bursary Scheme for the duration of their degree? 2 What should be taken into account when considering whether new professions are added into the scheme? 3 Should different levels of support be provided to students depending on where they are studying and living? 4 How can the information about financial support that is provided to students be improved?

22 Supporting our future NHS workforce 22 Optional slide Including medical and dental students from less well off backgrounds Current arrangements Eligible for an NHS bursary from year 5, or year 2 of the accelerated degree. In early years, eligible for support from the Student Loans Company and are required to pay their tuition fees Evidence Students from lower socio-economic classifications are under-represented in medicine and dentistry Medical and dental students tend to leave university with higher levels of debt than those reported for other students circa £20,000 Doctors in their first two years of employment are currently earning, on average, between £31,000 and £42,000 per year Proposal Students from lowest socio-economic classifications would be able to access the NHS bursary from their first year –could reduce the amount of funding available to some students in these classifications but would significantly reduce the amount of debt for all students included and would pay their tuition fees Would initially save £2m - £3m per year but costs would rise to £4m - £9m per year within 9 years as the money received from students repaying loans declines

23 Supporting our future NHS workforce 23 Optional slide Mechanism for adding new professions to the NHS Bursary Scheme A number of professions are not included within the scheme Propose a mechanism is established to assess whether new professions should be accepted Proposed that the assessment would normally consider: –The problems of recruiting students to the profession or role –The costs associated with including the students within the scheme –The availability of support from other sources –Whether there are any particular groups that are likely to be under-represented within the profession and whether financial reasons are a factor in this –The need for a consistent national approach

24 Supporting our future NHS workforce 24 Optional slide Different levels of support depending on where students are studying and living In recognition of the different costs associated where students choose to live whilst they are studying, it is proposed that there are three different rates of NHS bursary support for both the maintenance award and the extra weeks allowance. They are: –Students living in London in rented accommodation or their own home (highest rate) –Students living outside London in rented accommodation or their own home (higher rate) –Students living with their parents (lowest rate)

25 Supporting our future NHS workforce 25 Optional slide Provision of financial information to students Need to improve the information for students so they are better informed about the support available and the rewards they can expect if they choose an NHS career Views are sought on: –What the gaps are in the information currently provided? –Who should provide the information? –How and where should the information be made available?

26 Supporting our future NHS workforce 26 How to respond Read the full consultation document at http://www.dh.gov.uk/en/Consultations/Liveconsultations/DH_105110 http://www.dh.gov.uk/en/Consultations/Liveconsultations/DH_105110 Complete the questionnaire that has been published alongside the consultation Return the questionnaire to bursaryconsultation@dh.gsi.gov.uk by 11 Decemberbursaryconsultation@dh.gsi.gov.uk


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