1. These Regulations may be cited as the Education (Student Loans) (Amendment) Regulations 1998 and shall come into force on 1st August 1998.

2. The Education (Student Loans) Regulations 1998(2) shall be amended as follows.

3. In regulation 3(1) in the definition of "accelerated course" delete the words following the words "of two academic years' duration".

4. In regulation 4 insert the following paragraph after paragraph (4):

"(5) For the purposes of paragraph (2)(a) and Schedule 1 if with the agreement of the institution or institutions in question a student withdraws from a designated course without completing it and disregarding any intervening vacation immediately commences attending another designated course provided by the same or by a different institution the first day of the first course shall be regarded as the first day of the second course; or as the first day of a third or further course which the student has commenced attending in the same fashion.".

5. In regulation 6(1) to (4) for each of the figures in the first column below substitute the corresponding figure in the second column below wherever it appears:

6. In paragraph 15 of Schedule 2 for the word "lender's" substitute the word "borrower's".

Explanatory Note

(This note is not part of the Regulations)

These Regulations, which come into force on 1st August 1998, amend the Education (Student Loans) Regulations 1998 ("the principal Regulations"). The principal Regulations govern student loans made under the Education (Student Loans) Act 1990, which are mortgage style repayment loans. It is the intention that after 1st September 1998 such loans will be made primarily to students who started their courses before that date, and certain other students. New style loans repayable through the tax system will be made to students starting courses after that date.

A reference to a course provided by St Martin's College, Lancaster has been removed, as it is no longer offered (regulation 3).

Provision has been made to ensure that the eligibility of students who transfer from one course to another before completing the first course is determined by reference to the date of the beginning of the first course rather than the second course (regulation 4). For example, an eligible student who was under 50 before starting his first course will continue to be eligible for a loan even if he transfers to another course at another institution after reaching the age of 50.

The maximum amounts which may be lent in relation to an academic year have been increased in line with inflation (regulation 5).

A minor error in the terms of loan agreements governing the acceleration of loans has been corrected (regulation 6).