The Education (Student Loans) (Repayment) (Amendment) (No. 2) Regulations (Northern Ireland) 2006

Amendment of the Education (Student Loans) (Repayment) Regulations (Northern Ireland) 2000

8.  For Part 5 there shall be substituted—

“PART 5 Repayment by Overseas Borrowers

Interpretation

53.   In this Part—

“gross income” means income from all sources before deductions for or relief from tax or other statutory charge;

“residence” in or outside the United Kingdom has the same meaning as it has in the Taxes Acts;

“Eurostat” means the Statistical Office for the European Communities.

Notice of overseas residence

54.— (1) A borrower shall notify the Department of any period of residence outside the United Kingdom which exceeds three months.

(2) A borrower shall provide such information about his income during any such period of residence as the Department may require.

Notice of liability to make repayments

55.— (1) Subject to regulation 57, where the Department is satisfied that a borrower is resident outside the United Kingdom he may serve a notice on the borrower requiring the borrower to repay his student loan in accordance with regulation 56.

(2) In a notice served under paragraph (1) the Department may require a borrower who has failed to—

(a) give the notice required by regulation 54(1); or

(b) provide any information required by the Department under regulation 54(2)

to repay immediately such part of his student loan as well reduce the amount outstanding to the amount which the Department considers would have been outstanding if the borrower had given the notice or provided the information required of him.

Repayment by fixed instalments

56.   A borrower shall not later than the day specified in a notice served under regulation 55 and not later than the same day of each subsequent month pay the Department a fixed instalment, calculated in accordance with regulation 58.

Repayment by income-related instalments

57.— (1) Where the Department is satisfied that a borrower to whom regulation 55 applies has complied with a requirement to provide information under regulation 54, he may determine that the borrower may repay his loan by income-related instalments, in accordance with this regulation.

(2) The first such instalment must be paid on a date determined by the Department, being a date not more than two months later than the date of the determination, and subsequent instalments shall be paid not later than the same date in each subsequent month for up to twelve months.

(3) Each instalment shall be one twelfth of the relevant amount.

(4) The relevant amount shall be 9% of the gross income which the Department considers the borrower is likely to receive during the twelve month period following the date of the determination referred to in paragraph (2), disregarding—

(a) income up to the applicable threshold, calculated in accordance with regulation 58; and

(b) income in respect of which the Department is satisfied that repayments are likely to be made under Part 3 or 4.

(5) The amount of the instalment shall be stated in the determination.

(6) At the end of the period for payment of instalments referred to in paragraph (2), the borrower shall pay fixed instalments under regulation 56, subject to a further determination under paragraph (1).

(7) At any time during the period for payment of instalments referred to in paragraph (2) the Department may make a re-determination under paragraph (1).

Calculation of fixed instalment and applicable threshold

58.— (1) The fixed instalment in regulation 56 and the applicable threshold in regulation 57 shall be determined by reference to the most recent price level index for the borrower’s country of residence and in accordance with the following tables—

Band	Price Level Index	Fixed Instalment
A	0<30	£49.20
B	30<50	£98.40
C	50<70	£147.60
D	70<90	£196.80
E	90<110	£246
F	110<130	£295.20
G	130+	£344.40

Band	Price Level Index	Applicable Threshold
A	0<30	£3,000
B	30<50	£6,000
C	50<70	£9,000
D	70<90	£12,000
E	90<110	£15,000
F	110<130	£18,000
G	130+	£21,000

(2) The price level index for the United Kingdom is 100.

(3) Price level indices shall be calculated using the most recent provisional comparative price level indices measured in gross domestic product produced by Eurostat.

(4) Where a price level index cannot be calculated because Eurostat does not hold the necessary data, it shall be calculated using the most recent provisional comparative price level indices measured in gross domestic product produced by the World Bank’s World Development Indicators.

(5) Where a price level index cannot be calculated under paragraph (3) or (4), the applicable threshold and fixed instalment shall be those for band A.

(6) The Department may determine that the applicable threshold or fixed instalment for a borrower shall be that for a country other than his country of residence.

Application to cease repayment by instalments

59.— (1) A borrower who—

(a) is required to make repayments under this Part; and

(b) who has not been required to repay his student loan in full immediately under regulation 60

may apply to the Department for a determination that he shall no longer be required to make such repayments.

(2) Where the Department is satisfied that —

(a) the borrower is resident in the United Kingdom; and

(b) he is likely to be resident in the United Kingdom for the year of assessment during which the date specified in his determination will fall

he may determine that a borrower who has applied under paragraph (1) shall not be required to make repayments under this Part from a date specified in his determination, being a date not more than two months later than the date of the determination.

(3) A determination under paragraph (2) shall have effect until the borrower again becomes liable to repay his loan under regulation 56 or 57.

Penalties

60.   If borrower does not pay an instalment or other amount when it is due the Department may require him to repay his loan in full immediately.”