54.—(1) Subject to paragraph (4), an amount equal to the contribution or the remainder of the contribution, as the case may be, calculated under Schedule 5, is to be applied until it is extinguished against the amount of the particular grants and loans for which the eligible student qualifies as follows—
(a)first, to reduce GFF;
(b)second, to reduce ADG;
(c)third, to reduce CCG;
(d)fourth, to reduce PLA;
(e)fifth, to reduce LLC to no less than the minimum level for the academic year;
(f)sixth, to reduce GFT.
(2) In the case of an old system eligible student, subject to paragraph (4), where the basic amount of the grant for fees has been calculated in accordance with regulation 16(1) and 16(7), to determine the actual amount of grant for fees that is payable, the Welsh Ministers must apply the contribution in accordance with paragraph (1).
(3) In the case of an old system eligible student where the basic amount of the grant for fees has been calculated in accordance with regulation 16(2) or 16(8) and one of the cases set out in regulation 16(4)(b) or (d) applies, to determine the actual amount of fees payable the Welsh Ministers must—
(a)first, apply the contribution to reduce the basic amount of the grant for fees;
(b)second, if the contribution is not extinguished, deduct an amount equal to the basic amount of the grant for fees from what is left of the contribution reducing the remainder of the contribution to no less than nil; and
(c)third, if the contribution is still not extinguished, apply the remainder first to reduce ADG in accordance with paragraph (1).
(4) Where the course is a course for the initial training of teachers (other than a course for a first degree), there is no deduction from the basic amount of the grant for fees under this regulation and the contribution is first applied to reduce ADG in accordance with paragraph (1).
(5) In the case of an Erasmus year, the Welsh Ministers must apply the amount by which the contribution exceeds £1,288, first to reduce ADG in accordance with paragraph (1).
(6) Where the student does not qualify for a grant for fees for any other reason, GFF is nil and the contribution is applied first to reduce ADG.
(7) In the case of a new system eligible student, GFF is nil and the contribution is applied first to reduce ADG.
(8) In this regulation—
(a)ADG is the amount, if any, of the adult dependants' grant calculated in accordance with regulation 29;
(b)CCG is the amount, if any, of the childcare grant calculated in accordance with regulation 29;
(c)GFF is the amount, if any, of grant for fees for which the eligible student qualifies under Part 4;
(d)GFT is the amount of the grant for travel for which the eligible student qualifies under regulation 31, if any;
(e)LLC is the amount of loan for living costs, if any, for which the eligible student (other than a student with reduced entitlement) qualifies under Part 6 to no less than the minimum level for the academic year specified in paragraph (9);
(f)PLA is the amount, if any, of the parents' learning allowance calculated under regulation 29 (except the first £50 of the allowance).
(9) Subject to paragraphs (10) and (11), the “minimum level for the academic year” (“lefel isaf am y flwyddyn academaidd”) in regulation 54 (1)(e) is—
(a)£2,755, in the case of a student in category 1;
(b)£4,986, in the case of a student in category 2;
(c)£4,244, in the case of a student in category 3;
(d)£4,244, in the case of a student in category 4;
(e)£3,559, in the case of a student in category 5.
(10) Subject to paragraph (11), where the academic year in question is the final year of a course other than an intensive course, the “minimum level for the academic year” (“lefel isaf am y flwyddyn academaidd”) is—
(a)£2,493, in the case of a student in category 1;
(b)£4,540, in the case of a student in category 2;
(c)£3,690, in the case of a student in category 3;
(d)£3,690, in the case of a student in category 4;
(e)£3,297, in the case of a student in category 5.
(11) Where different categories apply for different quarters of the academic year, the minimum levels in paragraphs (9) and (10) are the aggregate of the amounts determined under paragraph (12) for each of the three quarters in respect of which a loan is payable.
(12) The amount determined for each quarter is one third of the amount in paragraph (9) or (10) which corresponds to the rate applicable for the quarter.
(13) The loan for living costs payable in respect of an academic year to a type 1 teacher training student who has a household income exceeding £39,793 is the amount left after deducting £644 from the amount of loan for living costs left after applying the contribution in accordance with this regulation.
(14) This paragraph applies to type 1 and type 2 teacher training students who qualify for a maintenance grant and whose contribution exceeds nil.
(15) The loan for living costs payable in respect of an academic year to a student to whom paragraph (14) applies is calculated as follows—
A - B
where—
A is the amount of loan for living costs left after applying the contribution in accordance with this Part; and
B is the amount of maintenance grant payable to the student.
(16) Categories 1 to 5 have the meaning given in regulation 49.