WELSH students applying for university will benefit from a new student support package to help with living costs, Welsh Government have announced.

The new financial support package will be available to all eligible Welsh undergraduate students starting university in September this year and aims to help towards living costs.

Changes were proposed following a higher education funding review led by Prof Sir Ian Diamond that found living costs were the main barrier for those making the choice to go to university.

The scheme aims to offer stronger support for part-time students and aims to ensure undergraduate full-time and part-time students have the same opportunities.

This includes providing the equivalent to the National Living Wage through a mix of non-repayable grants and loans.

Wales will be the first country in Europe to provide equivalent living costs support in this way -including for postgraduates –with an aim of encouraging people from all backgrounds to enter higher education.

South Wales Argus:

Welsh Government's education secretary, Kirsty Williams, welcomed the scheme.

"Money is clearly a very important factor when deciding when to go to university, and for those who are already studying, money is found to be a major cause for stress," she said.

“With this in mind, we have designed a new package of support to alleviate these concerns that both parents and students share.

“This will allow students to focus on their studies without having to worry about how they are going to afford their day to day living costs.”

Every eligible student can claim a minimum grant of £1,000 they will not have to pay back, regardless of their household income.

This is part of an overall mix of grants and loans for living costs equivalent to receiving the National Living Wage, available to every eligible student while they study.

Grants will be means-tested to support those who need them most with students from homes with lower household income will receiving the highest grant – up to £10,124 in London and £8,100 in the rest of the UK.

While this is in addition to the £1,000 minimum grant it's also likely that around a third of full-time students will be eligible for the full grant.

Students who receive a smaller grant can access a loan to top up the amount they receive equivalent to the National Living Wage level.

The average household income for a dependent student in the current system is around £25,000.

Under the new system such a student will receive around £7,000 a year in a grant they won’t need to pay back.

The education secretary added:

“The support that Welsh students, studying anywhere in the UK, can apply for is now equivalent to the National Living Wage.

“In addition, most students will have no upfront costs to pay as a tuition fee loan can be taken out to cover their course.

“It is important to remember that student loans are only repayable when borrowers’ earn more than £25,000 per year.

"Repayments can start from as little as £30 a month.

“Living costs must not be a barrier to going to university. I want everyone who has the talent, potential and ambition to have that opportunity.

“Whether it’s studying full-time or combining it with your career and studying part-time, university should be an option for everyone, no matter what your background or income.”

The latest figures from Welsh Government show that students in Wales spent 46 per cent of their student income on their course and 37 per cent on living.

Housing came in at 18 per cent.

With National Student Money Week approaching (February 12-16), Welsh Government has also launched an awareness campaign to promote the benefits of the support package.

For more information, visit gov.wales/studentmoney