IMPORTANT PLS SHARE. It's rumoured the English £9,250 tuition fee cap may be raised this pm for the 1st time in 8yrs, as University's finances are strained. As student finance misunderstandings abound, I've bashed out a few notes to help...
1. Higher tuition fees WON'T change what most pay each year. For most, they're paid for you by the student loans company and you repay afterwards only if you earn over the threshold. The amount you repay each year (9% over the threshold) solely depends on what you earn not on what you borrow.
2. Increasing tuition fees will only see those who clear the loan in full over the 40yrs pay more. That is generally mid-high to higher earning university leavers only, so the cost of increasing them will generally be born by the more affluent. Most lower and middle earning university leavers will simply pay 9% extra tax above the threshold for 40yrs (and higher tuition fees won't change that)
3. The rise is tuition fees is likely to be trivial compared to the changes the last govt made for 2023 starters. 2023 starters had their repayment thresholds dropped to £25,000 (from £27,295/yr) and had the time they had to keep repaying for (unless cleared) extended to 40years from 30years.
So these higher annual repayments for longer, increased by over 50% the amount many graduates will eventually have to pay back for going to university. Yet they were almost stealth changes because people can't intuitively feel the seismic impact.
Changing tuition fees is a more obvious rise, but in reality has far less of an impact on the amount most will repay (though combined with the 2023 changes it does certainly up the cost).
4. The biggest practical problem for students isnt tution fees (even if raised) its the fact maintenace loans aren't big enough. English maintenance loans have not kept pace with inflation. I'd urge the govt to couple the tuition fee loans with bigger living loans - if not it is a real risk to social mobility, with those from the poorest backgrounds likely to be worse affected.
I could write more, but will stop here, hopefully this gives an idea the issues are less straightforward than many feel.
A completely packed room for the @policyatkings#LabourConference event yesterday. Great to hear our VC reaffirm the sector’s commitment to collaborating and partnering with the new government.
“It’s not enough to say the war is over, we now need solutions to the very serious problems facing the higher education sector.” - Professor Sasha Roseneil at @HEPI_news event this morning, looking at the future of higher education under a Labour government.
🚨 #HigherEd policy wonks!
Party conference season is upon us and we have compiled listings for #HigherEd related fringe events for those of us who will be attending.
Please share it and add to it if you spot any missing events.
https://t.co/fpQjZ0cKxq
@TheO2 Hi, we have tickets for tonight’s show but the o2 app seems to be down so we cannot access our tickets. Please advise how to access our tickets. @TicketmasterUK
“Be in no doubt, international students are welcome in the UK.”
It was fantastic to welcome the Education Secretary @bphillipsonMP to King’s today, and to hear recognition for the valuable contributions international students make to our universities, communities, and country.
As the election draws to a close, shout out to @uklabourdigital who have run an amazing campaign. @CaseyNCalista and co absolutely smashed it. Looking forward to celebrating at conference this year!!! ❤️❤️❤️❤️
Remarkably bad grace from a lot of Tory MPs today on the MAC review.
The govt set the terms of reference.
The govt set the timetable.
The govt provided the data.
If it comes back with answers to your questions that you don’t like, you don’t claim foul and shout at the ref.