Government clarifies 8% gap funding grant

The department of higher education and training has confirmed it will pay fee increases for all qualifying students who come from households with an income of R600‚000 or less - as a grant‚ not a loan.

The gap funding grant by the department aims to cover the increases for tuition fees and accommodation at university or college managed residences.

The department has clarified that the gap funding grant will not have to be repaid by qualifying students‚ as it isn't a loan but a grant.

• NSFAS to fund more than 400‚000 students on a R15bn budget in 2017The National Student Financial Aid Scheme will aid well over 400‚000 students on a budget of R15-billion this year. 

"Students from quintile 1‚ 2 and 3 schools (as determined by the Department of Basic Education)‚ and those who will be funded by NSFAS in 2017‚ will automatically qualify for the 8% DHET gap funding grant. Students from families with a gross income of up to R600‚000 per annum‚ “the missing middle students”‚ who fall outside of these two categories‚ must however apply for the 8% grant at their respective universities‚" the department said in a statement.

The department said the grant will benefit more than 75% of university and TVET college students‚ and in some institutions‚ more than 90% of students will benefit.

"Students from families with a gross combined income above R600‚000 per annum will be expected to pay the fee increase. All students who come from richer families must pay their full fees‚" the department said.