Thur, 25 Aug 2005

There are over fifteen thousand EU students studying in England. The Tories believe millions of pounds of UK taxpayers' money is being misused in funding for students from EU countries, excluding the UK.

The Conservatives say the number of students coming to the UK are proving greater than the government ever forecast.

Subsidising the student loans to which students are entitled to, regardless of EU location will cost about £40m a year, officials estimate.

The government says the amount EU students spend on living expenses including accommodation puts over £270m a year into the UK economy.