Universities call for students to pay higher fees to solve funding issues

Some of England's leading universities are calling for student tuition fees to be ramped up even higher, to tackle a funding black hole, ITV News' Correspondent Stacey Foster reports

A group representing dozens of UK universities has called for higher student fees and more government funding to tackle a financial black hole.

Universities UK (UUK) said government grants and fees have not kept pace with rising costs, causing budget deficits.

Tuition fees for home students in England have been capped at £9,250 since 2017.

UUK said any increase in fees should be accompanied by additional support for students, to help with the cost of studying through maintenance loans and grants.

UUK president Professor Dame Sally Mapstone said: “The major problem with university finance is that for the past eight to nine years, direct government grants and fees haven’t kept up with the cost of teaching and with inflation, so more and more institutions are facing a budget deficit overall.

“We are alert to the fact, of course, that when you say fees should go up, people are alarmed at the consequences for students, which is why we also think that it’s very important that the support that students get in terms of maintenance loans and grants also be looked at.”

UUK’s proposals suggest that if investment in teaching students had kept up with inflation, funding per student would be in the region of £12,000-£13,000.

A Department for Education spokesperson said: “We will create a secure future for our world-leading universities as engines of growth and opportunity so they can deliver for students, local communities and the economy.

"We have inherited a challenging set of circumstances in higher education.

“The Education Secretary has taken the crucial first step of refocusing the role of the Office for Students on key areas such as monitoring financial sustainability, to ensure universities can secure their financial health in the longer term.

“By bringing economic stability and growth, we can fix the foundations of our economy, strengthen our higher education system and rebuild Britain.”

Asked whether Sir Keir Starmer was against tuition fee increases, a Number 10 spokeswoman said: “The focus has been on ensuring that the Office for Students has greater flexibility so it can work closely with the universities on this and when it comes to fees there is an annual process for that.

“They are, as I understand, set for this year, there’s a process, but the focus is very much on working with universities, recognising they are independent and responsible for the decisions that ensure their long-term financial sustainability.

“But we think it’s right that the Office for Students has a greater remit so it can monitor that financial sustainability.”

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