Raising tuition fees to halt university decline

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【Summary】A think tank director suggests raising tuition fees to prevent the decline of the higher education sector. He argues that universities are increasingly relying on international students who pay higher fees, and proposes restoring tuition fees to their 2017 value. He also suggests introducing a stepped rate of loan repayment and encouraging a market in degrees. He believes that higher education needs more funding from graduates rather than taxpayers.

FutureCar Staff Aug 17, 2023 12:54 AM PT

Raising tuition fees to halt university decline

The director of the Social Market Foundation is advocating for an increase in university tuition fees to address the decline of the higher education sector. This comes as students across the UK receive their A-level results, which will determine their admission into universities.

It has been suggested that this year, students may face more competition for university places due to a rise in the number of 18-year-olds in the population and international demand. James Kirkup, writing in the Times, claims that universities are admitting more international students because they pay higher tuition fees.

Kirkup argues that higher education needs more funding, and this should be sourced from graduates rather than taxpayers as a whole. He highlights that international students typically pay £20,000 in tuition fees compared to the £9,000 paid by domestic students.

According to Kirkup, if current trends continue, British universities will soon receive more tuition-fee revenue from foreign students than from British ones. This poses a serious risk for universities and the country as a whole, as their income would become dependent on geopolitics and UK immigration policy, both of which are unpredictable.

To address this issue, Kirkup suggests raising tuition fees to their 2017 value, which would mean students paying £11,765 per year. This would add nearly £3 billion to each year's cohort. However, this would require changes to the loan repayment scheme, and one idea is to introduce a stepped rate of loan repayments.

Kirkup also proposes a higher cap on fees, accompanied by efforts to encourage a market in degrees. This would involve making courses that are cheaper to provide or lead to lower-paid careers more affordable for students. He acknowledges that these changes are not easy, but believes they are necessary to ensure the financial stability of higher education.

In conclusion, Kirkup argues that the alternative to raising tuition fees is the decline of a sector that should be one of the best things about Britain. He emphasizes the importance of providing adequate funding to higher education and believes that graduates should bear the responsibility of contributing to this funding.