House of Commons Amendments

House of Commons

Session 2007 - 08
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Other Bills before Parliament

LORDS amendments to the
Sale of Student Loans Bill
[The page and line references are to HL Bill 24, the bill as first printed for the Lords.]
Clause 1
1
Page 2, line 9, at end insert—

“(6A)
The Secretary of State shall take reasonable steps to notify the borrower

within three months of transfer arrangements taking effect.”
Clause 2
2
Page 2, line 30, at end insert—

“(4A)
Transfer arrangements may include undertakings by the Secretary of State

about the power to make loan regulations; in particular—

(a)
the Secretary of State may undertake to exercise the power so as to

achieve a specified result,

(b)
the Secretary of State may undertake not to exercise the power so as

to achieve a specified result,

(c)
the Secretary of State may undertake to follow, or not to follow, a

specified procedure in connection with the power,

(d)
the Secretary of State may give undertakings about the indices,

information or other matters to be used or considered for the

purposes of section 22(4)(a)(i) of the Teaching and Higher

Education Act 1998 (c. 30) (interest rate to maintain real-terms value

of outstanding amounts), and

(e)
a loan purchaser may enforce an undertaking by way of legal

proceedings in public law, private law or both.”
3
Page 2, line 30, at end insert—

“(4B)
In subsection (4A) the reference to loan regulations includes a reference to

regulations under section 186 of the Education Act 2002.”

Bill 121 54/3

2

Clause 3
4
Page 3, line 6, leave out “and (4)(a) and (c)” and insert “, (4)(a) and (c) and (6A)”
5
Page 3, line 25, at end insert—

“(6A)
In entering into transfer arrangements the Secretary of State shall ensure

(whether by reliance on subsection (6)(b) or (c) or otherwise) that the

Secretary of State will be party to any further transfer arrangements.”
6
Page 3, line 27, at end insert—

“(8)
References in this section to the further transfer of transferred rights do not

include references to arrangements under which—

(a)
transferred rights become held on trust,

(b)
other equitable interests are created or transferred in relation to

transferred rights, or

(c)
securities are granted in respect of transferred rights.”
After Clause 3
7
Insert the following new Clause—

“Report

(1)
After entering into transfer arrangements the Secretary of State shall lay

before Parliament a report about the arrangements.

(2)
The report must include information about the extent to which the

arrangements give good value; and for that purpose the report must reflect

any guidance given by the Treasury about assessing value for money

(including guidance to the accounting officer of the Secretary of State’s

department).

(3)
The report must be laid during the period of 3 months beginning with the

date on which the Secretary of State enters into the transfer arrangements.

(4)
This section does not apply to further transfer arrangements (despite

section 3(2)).”
Clause 4
8
Page 3, line 43, at end insert—

“(6)
But in amending loan regulations the Secretary of State shall aim to ensure

that no borrower whose loan is transferred is in a worse position, as the

result of the amendment, than would have been the case had the loan not

been transferred.”
9
Page 3, line 43, at end insert—

“(7)
Subsection (6) also applies to making or amending regulations under

section 186 of the Education Act 2002.”
Clause 5
10
Page 4, line 13, leave out “2(2)” and insert “2”

3

Clause 6
11
Page 4, line 18, leave out “In relation to transferred loans,”
12
Page 4, line 22, leave out from “with” to end of line 23 and insert “loans that have

been or may be transferred (including onward disclosure by virtue of subsection

(4)).”
13
Page 4, line 32, leave out from “disclosure” to “, and” in line 33 and insert “for

purposes in connection with loans that have been or may be transferred”
14
Page 4, line 35, at end insert—

“(4A)
The reference in subsection (4)(b) to an agent includes an auditor.”
Clause 8
15
Page 5, line 40, after “2(4)(a),” insert—

“(aa)
section 2(4A) in so far as it has effect by virtue of section 2(4B),”
16
Page 6, line 2, at end insert—

“(6)
Section (Report) does not apply to Welsh transfer arrangements.”

4