The Student Room Group

Why such a hugh rise in UK Tuition fees?

Im sorry if I missed a thread with tthe same topic. Pls direct me if I did. Its my first time in this section of TSR because I am really curious on why such a high rise in UK Tuition Fees.

Was it a £5000 increment? If so, it is such a shocking change. Im an international so Im not sure whether Britons are feeling the same. Do you?

Im guessing this is happening because of the Economic crisis EU is facing? However, Im also wondering how does this tremendous change can help the country to survive from it's current economic problem?

Do share your opinion. Im also looking forward to would-be Economist view. Also, direct me to articles or sites if u feel that is more convenient.

Thanks.



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Reply 1
Original post by jskely

Was it a £5000 increment? If so, it is such a shocking change. Im an international so Im not sure whether Britons are feeling the same. Do you?


Six thousand increase, for most universities (was 3k, now 9k). The previous fee increase, which took place in 2006, was a similar percentage rise. Tuition fees were trebled from just over 1k a year to 3k.

And, yes, there are many British students who feel the same which is why we had the student protests in 2010.
Some of these protests got a bit out of hand and led to vandalism and riots, resulting in a small number being arrested and given prison sentences.

http://en.wikipedia.org/wiki/2010_UK_student_protest

It's not the result of the Eurozone crises, if that's what you mean. The Eurozone crises is something separate and the UK is not part of the Eurozone though it still affects the UK - as the Eurozone countries are major trading partners.

The financial crisis of recent years has been worldwide, and isn't limited to the Eurozone or wider European Union.

The free increase was the result of the Browne review, a study commissioned by the (then) Labour government. In late 2010 it published its findings which included a recommendation that the cap on tuition fees be removed. Effectively this would create a market system, whereby universities could chose whatever they felt they could. This was partially rejected by the Conservative-Lib Dem coalition government, which took over from Labour after the 2010 General Election. Although they didn't agree with uncapped fees, they did raise the cap from just over 3k to 9k.

It should also be said that those resident in Scotland can study at Scottish universities for free. Also those living in NI (and go to Northern Irish universities), or those in Wales (going to Welsh universities) don't pay the full 9k.

Students from the other EU countries will pay whatever a person from that country pays. So will also pay no fees in Scotland, and the lower fees in Wales and Northern Ireland. Only in England will EU students face fees of up to 9k.
Reply 2
Original post by River85
Six thousand increase, for most universities (was 3k, now 9k). The previous fee increase, which took place in 2006, was a similar percentage rise. Tuition fees were trebled from just over 1k a year to 3k.

And, yes, there are many British students who feel the same which is why we had the student protests in 2010.
Some of these protests got a bit out of hand and led to vandalism and riots, resulting in a small number being arrested and given prison sentences.

http://en.wikipedia.org/wiki/2010_UK_student_protest

It's not the result of the Eurozone crises, if that's what you mean. The Eurozone crises is something separate and the UK is not part of the Eurozone though it still affects the UK - as the Eurozone countries are major trading partners.

The financial crisis of recent years has been worldwide, and isn't limited to the Eurozone or wider European Union.

The free increase was the result of the Browne review, a study commissioned by the (then) Labour government. In late 2010 it published its findings which included a recommendation that the cap on tuition fees be removed. Effectively this would create a market system, whereby universities could chose whatever they felt they could. This was partially rejected by the Conservative-Lib Dem coalition government, which took over from Labour after the 2010 General Election. Although they didn't agree with uncapped fees, they did raise the cap from just over 3k to 9k.

It should also be said that those resident in Scotland can study at Scottish universities for free. Also those living in NI (and go to Northern Irish universities), or those in Wales (going to Welsh universities) don't pay the full 9k.

Students from the other EU countries will pay whatever a person from that country pays. So will also pay no fees in Scotland, and the lower fees in Wales and Northern Ireland. Only in England will EU students face fees of up to 9k.


i believe it doesn't matter where in the uk the welsh students go to university, they still pay the old fees
Reply 3
They are driven by the thought that English education is regarded to be the best one in the world. Due to fee increase throughout the world they decided to do the same.
Reply 4
The free increase was the result of the Browne review, a study commissioned by the (then) Labour government. In late 2010 it published its findings which included a recommendation that the cap on tuition fees be removed. Effectively this would create a market system, whereby universities could chose whatever they felt they could. This was partially rejected by the Conservative-Lib Dem coalition government, which took over from Labour after the 2010 General Election. Although they didn't agree with uncapped fees, they did raise the cap from just over 3k to 9k.


They are driven by the thought that English education is regarded to be the best one in the world. Due to fee increase throughout the world they decided to do the same.


Thank you River85. Very informative reply. If you don't mind, could you explain more on the cap? Only having A-levels Economics, I'm not sure what that means. I'm guessing a cap is equal to minimum market price for tuition fee. Is this true? So, the government had been subsidising students' tuition fee previously and would now wish to lessen their financial burden?

Referring to the second quote by Alexa8355, I am not convince the reason for this happening is to imitate universities worldwide by increasing tuition fees. There must be a substantial reason for the government to do this. Something that should benefit them and the uk economy. Something they do because they are forced to by the current economy or so.. Otherwise, this action is just weighting down students.
Original post by jskely
There must be a substantial reason for the government to do this. Something that should benefit them and the uk economy. Something they do because they are forced to by the current economy or so.. Otherwise, this action is just weighting down students.



Yes, students with higher fees and higher thresholds for repayment, alongside higher interest rates, will end up paying more and for longer. It targets graduates who go into graduate jobs, most of which will eventually end up paying above the threshold. Ie. it targets the high earners. Obviously those who graduate and go into not well paid jobs might end up having their loan wiped eventually. So, in theory, more money will go back to the Treasury. Whether this is fair on students is another matter!
Reply 6
Before 1998 students received maintenance grants for their studies and staff were paid by the local county councils. From 1998 rising costs were estimated due to the expansion of HE in terms of student numbers and new buildings. The way of paying for this was to introduce from 1998 tuition fees of £1000 per annum combined with setting up the Student Loans Company to replace the maintenance grant. Staff were then on the payroll of their university hence another reason for introducing fees. The country went from a time when it was difficult and competitive to get into university to a situation of mass higher education whereby entry standards dropped (well they had to if the government was to achieve the level of income from student fees) to allow more students in who were not really university material, combined with the big push to increase overseas students who had to pay more than UK students.(now outside the European Union). I cannot understand why there has not been a revolution!
Reply 7
Original post by sultony
Before 1998 students received maintenance grants for their studies and staff were paid by the local county councils. From 1998 rising costs were estimated due to the expansion of HE in terms of student numbers and new buildings. The way of paying for this was to introduce from 1998 tuition fees of £1000 per annum combined with setting up the Student Loans Company to replace the maintenance grant. Staff were then on the payroll of their university hence another reason for introducing fees. The country went from a time when it was difficult and competitive to get into university to a situation of mass higher education whereby entry standards dropped (well they had to if the government was to achieve the level of income from student fees) to allow more students in who were not really university material, combined with the big push to increase overseas students who had to pay more than UK students.(now outside the European Union). I cannot understand why there has not been a revolution!

Students can't start a revolution because they don't contribute much to society. The average working man can because he can go on strike from his job and bring the country down. Also students are a small proportion of society. Best students can do is spread dissident ideas to everybody else.
Reply 8
The avarage student debt on graduation will soon be approaching £40,000 and it is estimated that only 15% of graduates will be able to pay this off in their lifetime. How can this be right? With the increasing costs of living, this extra burden upon future generations of graduates paints a very gloomy future indeed.
Original post by jskely
Thank you River85. Very informative reply. If you don't mind, could you explain more on the cap? Only having A-levels Economics, I'm not sure what that means. I'm guessing a cap is equal to minimum market price for tuition fee. Is this true? So, the government had been subsidising students' tuition fee previously and would now wish to lessen their financial burden?

Referring to the second quote by Alexa8355, I am not convince the reason for this happening is to imitate universities worldwide by increasing tuition fees. There must be a substantial reason for the government to do this. Something that should benefit them and the uk economy. Something they do because they are forced to by the current economy or so.. Otherwise, this action is just weighting down students.


As far as I am aware, yes - the aim of this was to generate more income in return from students; or to move more of financing of degrees from the government to the student (although the costs for students are still deferred under student loans).
Original post by sultony
The avarage student debt on graduation will soon be approaching £40,000 and it is estimated that only 15% of graduates will be able to pay this off in their lifetime. How can this be right? With the increasing costs of living, this extra burden upon future generations of graduates paints a very gloomy future indeed.


I will be graduating with £35k in fees (under the old fee system, but my course is 5 years long). However, I don't necessarily think it is a major burden for me as it will open up jobs that are better paid and allows me to do a job I have always wanted to do. This is probably true for a lot of Science grads or more vocational degrees, but might not be the case for humanities/arts students who have had to turn to non-graduate jobs. Previously the only jobs I could find (with GCSEs and A levels) were either minimum wage, or higher than this but evening work only and not something I would do long term. So the burden of paying a % of my wage is well worth it for me.

With the increased threshold, if you earn £35k which is above the average UK salary, you'll only be paying £105/year which is equal to 3.6% of your entire annual pay - this isn't very much!
Reply 11
Original post by SilverstarDJ
I will be graduating with £35k in fees (under the old fee system, but my course is 5 years long). However, I don't necessarily think it is a major burden for me as it will open up jobs that are better paid and allows me to do a job I have always wanted to do. This is probably true for a lot of Science grads or more vocational degrees, but might not be the case for humanities/arts students who have had to turn to non-graduate jobs. Previously the only jobs I could find (with GCSEs and A levels) were either minimum wage, or higher than this but evening work only and not something I would do long term. So the burden of paying a % of my wage is well worth it for me.

With the increased threshold, if you earn £35k which is above the average UK salary, you'll only be paying £105/year which is equal to 3.6% of your entire annual pay - this isn't very much!

Sorry, but you must mean £105 per month according to the Student Loans website. If you deduct income tax and all other living expenses you will find this is a millstone round your neck, especially when trying to pay a mortgage at the same time.
Original post by sultony
Sorry, but you must mean £105 per month according to the Student Loans website. If you deduct income tax and all other living expenses you will find this is a millstone round your neck, especially when trying to pay a mortgage at the same time.


It would be £105/month, yes - but your take home pay (after tax and NI) is around £2246 - so it is only 5% of your net pay.
Original post by sultony
Sorry, but you must mean £105 per month according to the Student Loans website. If you deduct income tax and all other living expenses you will find this is a millstone round your neck, especially when trying to pay a mortgage at the same time.


Ooops, sorry, yes my mistake!

Well if I am honest, if you are earning £35k a year and pay £1260 a year in loans, you are still better off than someone earning minimum wage at £15-17k a year. Your take home salary is still greater than a non-graduate job. For me, it's a price I'll happy to pay for a higher earning job and one that I enjoy rather than stacking shelves at Tesco....

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