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The Family Credit (General) Regulations 1987

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[F1Treatment of student loansU.K.

42A—[F2(1) A student loan [F3, other than an additional loan on the grounds of hardship made under regulation 21 of the Education (Student Support) Regulations 2000 or regulation 12 of the Education (Student Loans) (Scotland) Regulations 1999,] shall be treated as income.]

(2) In calculating the weekly amount of the loan to be taken into account as income—

(a)except where sub-paragraph (b) applies, the loan shall be apportioned equally between the weeks in [F4the period of 52 weeks beginning with the start of] the academic year in respect of which the loan is payable;

(b)in the case of a loan which is payable in respect of the final academic year of the course or, if the course is only of one academic year’s duration, in respect of that year, the loan shall be apportioned equally between the weeks in the period beginning with the start of the final academic year or, as the case may be, the single academic year and ending with [F5the last day of the course],

and from the weekly amount so apportioned there shall be disregarded £10.]

[F6(3) A student shall be treated as possessing a student loan in respect of an academic year where—

(a)a student loan has been made to him in respect of that year; or

(b)he could acquire such a loan in respect of that year by taking reasonable steps to do so.

(4) Where a student is treated as possessing a student loan under paragraph (3), the amount of the student loan to be taken into account as income shall be, subject to paragraph (5)—

(a)in the case of a student to whom a student loan is made in respect of an academic year, a sum equal to—

(i)the maximum student loan he is able to acquire in respect of that year by taking reasonable steps to do so; and

(ii)any contribution whether or not it has been paid to him;

(b)in the case of a student to whom a student loan is not made in respect of an academic year, the maximum student loan that would be made to the student if—

(i)he took all reasonable steps to obtain the maximum student loan he is able to acquire in respect of that year; and

(ii)no deduction in that loan was made by virtue of the application of a means test.

(5) There shall be deducted from the amount of income taken into account under paragraph (4)—

(a)the sum of [F7£265] in respect of travel costs; and

(b)where no amount has been disregarded under regulation 38(2)(f), the sum of [F8£327] towards the cost of books and equipment,

whether or not any such costs are incurred.]

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F2Reg. 42A(1) substituted (with effect in accordance with reg. 1(1)(d) of the amending S.I., 31.8.1999 in so far as not already in force) by The Social Security Amendment (Students) Regulations 1999 (S.I. 1999/1935), regs. 1(1)(d), 6(5)(a)

F3Words in reg. 42A inserted (with effect in accordance with reg. 1(1)(3)) by The Tax Credits Schemes (Miscellaneous Amendments No. 3) Regulations 2000 (S.I. 2000/1807), regs. 1(1)(3), 7(a)

F4Words in reg. 42A(2)(a) inserted (with effect in accordance with reg. 1(1)(3)) by The Tax Credits Schemes (Miscellaneous Amendments No. 3) Regulations 2000 (S.I. 2000/1807), regs. 1(1)(3), 7(b)

F5Words in reg. 42A(2)(b) substituted (6.8.1991) by The Family Credit (General) Amendment Regulations 1991 (S.I. 1991/1520), reg. 1(1), 9(b)

F6Regs. 42A(3)-(5) substituted for reg. 42A(3) (with effect in accordance with reg. 1(1)(d) of the amending S.I., 31.8.1999 in so far as not already in force) by The Social Security Amendment (Students) Regulations 1999 (S.I. 1999/1935), regs. 1(1)(d), 6(5)(b)

F7Word in reg. 42A(5)(a) substituted (with effect in accordance with reg. 1(2) of the amending S.I.) by Tax Credits (Miscellaneous Amendments No.3) Regulations 2002 (S.I. 2002/1333), regs. 1(1)(a), 3(1), (2)(a)

F8Word in reg. 42A(5)(b) substituted (with effect in accordance with reg. 1(2) of the amending S.I.) by Tax Credits (Miscellaneous Amendments No.3) Regulations 2002 (S.I. 2002/1333), regs. 1(1)(a), 4(1), (2)(a)

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