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EDUCATION

Backlash over student loan crackdown

Swedish students are being forced to pay back tens of thousands of kronor at short notice because universities and the student loan authority can't agree on how to define a full-time student.

Backlash over student loan crackdown
Photo: Gösta Wendelius/Image Bank Sweden

As The Local reported on Thursday, Sweden’s student loan body CSN is cracking down on students who have received funding for full time studies but who have not been studying full time.

The dispute centres on the fact that some courses classed as full time by universities are not classed as full time by CSN. Universities say honest students are being caught in a bureacratic trap, and have been given just days to pay back money they don’t have.

A full-time student must obtain 60 academic points per year, which in most universities equals 30 points a term. Some colleges, like the Royal Institute of Technology, distribute their 60 points a year differently over the two terms, with 40 points completed one term and 20 the next. As far as CSN is concerned, the student has not been studying full time during the second term.

The student union at the Royal Institute of Technology estimates that 400 students have been sent letters demanding money back. Student union chairman Tobias Porserud says one student has been told to repay 23,000 kronor by May 31st.

“At first the letters the students received said that if they didn’t pay the money back before May 31st, the student loan body would be forced to notify the police. They later apologized for this, but it still absurd,” Porserud told The Local.  

Peter Gudmundsson, principal at the Royal Institute of Technology, said the demands were unacceptable:

“We are trying to help the students as much as we can through a dialogue with the student loan body,” Gudmundsson told The Local.

Officials at the student loan body were unrepentant:

“We have our rules to follow, and in this aspect they clash with certain schools point systems, but our laws are set by the government and we need to follow them,” Klas Elfing, press secretary at the student loan body tells The Local.

“According to our policies the students who only complete 20 points a term, but 60 points per year, do not qualify for full time support and yes, we will be demanding money back from them,” says Elfing.

The government says it understands the students position and knows it is not their fault, but claims that there is nothing they can do about it:

“This is a case of two authorities who haven’t been communicating with each other,” Eva-Maria Byberg, spokeswoman for the minister of higher education Tobias Krantz, told The Local.

A meeting between universities and the student loan body is scheduled for the middle of June – long after many students are being required to repay the money.

Porserud says the meeting with the parties involved is set too late, when there are students who are meant to pay back their money two weeks before the meeting is even held.

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EDUCATION

Sweden’s Social Democrats call for ban on new free schools

Sweden's opposition Social Democrats have called for a total ban on the establishment of new profit-making free schools, in a sign the party may be toughening its policies on profit-making in the welfare sector.

Sweden's Social Democrats call for ban on new free schools

“We want the state to slam on the emergency brakes and bring in a ban on establishing [new schools],” the party’s leader, Magdalena Andersson, said at a press conference.

“We think the Swedish people should be making the decisions on the Swedish school system, and not big school corporations whose main driver is making a profit.” 

Almost a fifth of pupils in Sweden attend one of the country’s 3,900 primary and secondary “free schools”, first introduced in the country in the early 1990s. 

Even though three quarters of the schools are run by private companies on a for-profit basis, they are 100 percent state funded, with schools given money for each pupil. 

This system has come in for criticism in recent years, with profit-making schools blamed for increasing segregation, contributing to declining educational standards and for grade inflation. 

In the run-up to the 2022 election, Andersson called for a ban on the companies being able to distribute profits to their owners in the form of dividends, calling for all profits to be reinvested in the school system.  

READ ALSO: Sweden’s pioneering for-profit ‘free schools’ under fire 

Andersson said that the new ban on establishing free schools could be achieved by extending a law banning the establishment of religious free schools, brought in while they were in power, to cover all free schools. 

“It’s possible to use that legislation as a base and so develop this new law quite rapidly,” Andersson said, adding that this law would be the first step along the way to a total ban on profit-making schools in Sweden. 

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