Opposition Education spokesman Carmelo Abela yesterday said the new stipends system, just announced by the government, would reduce stipends by 27 per cent and discourage students from furthering their education.

Mr Abela told reporters at MLP headquarters that the new system was a government U-turn and betrayed the PN's promise that students would continue to enjoy "the full stipend".

The government's decision also went against the consensus that Malta needed to raise the number of people opting to continue their studies at post-secondary and tertiary level. A drop of more than 27 per cent in stipends would decrease the number of students who choose to go to University.

Mr Abela said the reduction of the stipends was more significant since, according to the University Students' Council (KSU), student life in 2005 was 50 per cent more expensive than in 1998, given the spiralling cost of books and the introduction of an 18 per cent VAT rate.

Mr Abela added that the decision announced by Education Minister Louis Galea on Thursday also contradicted what had been stated in the Government's pre-Budget document, namely that Malta was committed to increase student participation in tertiary education by "sustaining the present system".

Under the new stipends regime, which distinguishes between standard grants and special grants, students going to University for the first time will receive Lm40 instead of Lm60 a month as was the case up to last year. A Lm200 yearly grant will remain but a one-time grant at the beginning of the course will be cut from Lm400 to Lm200.

Mr Abela said a student reading for a four-year degree used to receive a total of Lm3,360 under the old system, while students enrolling this year would receive Lm2,440 after four years.

The Labour spokesman observed that the government had identified a number of courses, which were particularly useful to the country, and students in those courses would get Lm70 a month and higher yearly grants.

No explanation had been given on the criteria used to identify these courses, and the government had left out courses, which led to social work, for example.

"Will the government guarantee that the money saved on stipends will be reinvested in the University?" Mr Abela asked.

He said that while focusing just on the financial aspect of educational reform, the Government was overlooking important issues such as quality, accountability and the dire need the University had to invest in new research material and tools.

Mr Abela lambasted the government for the timing of the reform - with the new system having been announced after students had already chosen their courses and just four days before the start of the new academic year.

He said that the KSU's reaction to this reform was very different from the way the student body had reacted to the stipends' reforms put in place by the Labour government in 1997.

The Gozitan University Group has welcomed the allowance introduced in the stipends system for Gozitans studying in Malta.

Gozitan students will be benefiting from an allowance of Lm50 a month, Lm35 more than they did to date, to cover their expenses.

The group informed students that application forms for the scheme can be picked up at its stand on campus during Freshers' Week or from the Gozo Ministry.

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