The proposal for an overall reform of student financial aid is disappointing

AYY is disappointed with the legislative proposal of the Ministry of Education and Culture concerning the comprehensive reform of student financial aid. The Finnish Government’s policy on implementing the reform in a cost-neutral manner, without additional investments, prevents the actual development of student financial aid and the improvement of the livelihoods of students.

The proposed legislative proposal mainly consists of minor corrections that do not solve the core problems of student financial aid: the insufficient level of aid, the insufficient duration of aid, and the weakening of the purchasing power of aid. Overall, the proposal does not support a sustainable and fair student financial aid model.

In its statement to the Ministry, AYY demands that the student housing supplement be tied to the National Pensions Index, that the student housing supplement be increased to better correspond to the rent level of the areas and that the number of degree-specific student financial aid months be increased.

AYY is concerned about the steep increase in the amount of loans for university students, which is a direct consequence of the reductions in student financial aid and the increased emphasis on loans as the share of cash-based benefits decreases. The purpose of a state-guaranteed student loan is to be an additional source of income, but it is not part of support that covers the costs of living. In addition, the student loan compensation model in the proposal only favours those students who are already doing well and who are able to graduate on time and does not encourage students whose studies have slowed down to continue their studies.

AYY has submitted a longer statement to Lausuntopalvelu. The statement is attached.

The legislative proposal will be discussed in the Parliament in the autumn of 2026, and the reform is scheduled to enter into force at the beginning of 2027.