Career Development Loans

Business, Innovation and Skills written question – answered on 30th March 2010.

Alert me about debates like this

Photo of David Laws David Laws Shadow Secretary of State (Children, Schools and Families)

To ask the Minister of State, Department for Business, Innovation and Skills what the (a) cash cost and (b) resource cost is of career development loans in England for (i) 2009-10 and (ii) 2010-11.

Photo of David Lammy David Lammy Minister of State (Department for Business, Innovation and Skills) (Higher Education and Intellectual Property)

On 1 July 2009, Government began an enhanced version of Career Development Loans (CDLs) called Professional and Career Development Loans (PCDLs). For 2009-10, the cost of administering these programmes across the UK is expected to be £21.8 million. In 2010-11, as more loans are delivered, the programme is expected to cost around £30 million. England accounts for around 90 per cent. of the PCDL market.

These programme costs cover: interest payments made by Government to support the individual while in learning; liability as a result of defaulted repayments; administration costs associated with the devolved administrations and of small-value loans; and marketing.

Final costs are also dependent on a number of other factors, including the Bank of England base rate and the level of take-up of loans offered.

Does this answer the above question?

Yes0 people think so

No0 people think not

Would you like to ask a question like this yourself? Use our Freedom of Information site.