92002E1906(01)

WRITTEN QUESTION E-1906/02

by Graham Watson (ELDR) to the Commission

(2 July 2002)

Subject: Settled status test for student loans in the UK

Does the Commission consider the test of settled status applied by the UK authorities in the determination of eligibility for student loans to be in conformity with the Treaties?

Supplementary answergiven by Mrs Reding on behalf of the Commission

(29 January 2003)

Under Community law, Union workers and their children have a right to equal treatment with nationals as regards any assistance, whether in the form of a grant or a loan, granted for access to education and/or for maintenance.

Students who are not workers nor children of workers have a right to equal treatment with nationals with regard to assistance given by a Member State to its nationals for the purpose of vocational training, including university studies, only in so far as assistance is intended to cover registration or other fees, in particular tuition fees charged for access to education. Assistance given to students for maintenance falls outside the scope of the EC Treaty for the purposes of article 12 of the EC Treaty (cases 39/86 Lair, C-357/89 Raulin, etc.). In application of this case law, article 3 of Council Directive 93/96/EEC of 29 october 1993 on the right of residence for students(1) provides that this Directive does not establish any entitlement to the payment of maintenance grants.

Following examination of the British legislation on financial support for students it appears that the settled status condition does not apply to Union nationals. The latter are only submitted to a condition of prior residence in the European Economic Area (EEA) of three years.

(1) OJ L 317, 18.12.1993.