University tuition fees set to rise by £285 for first time in eight years
Labour's announcement marks the first time tuition fees have been raised since 2017, ITV News' Political Correspondent Harry Horton reports
University tuition fees are set to rise in England by £285 for the first time in eight years to "secure the future of higher education," the government has announced.
The university fee cap will now be £9,535 from April 2025, Education Secretary Bridget Phillipson said on Monday.
The maximum maintenance loan will also be raised by £414 per year, starting in the 2025/26 academic year.
She added that a lower fee limit of £5,760 will be introduced for foundation degrees.
Speaking in the Commons, Phillipson said: “Increasing the fee cap has not been an easy decision, but I want to be crystal clear that this will not cost graduates more each month as they start to repay their loans.
“Universities are responsible for managing their own finances and must act to remain sustainable. But members across this house will agree that it is no use keeping tuition fees down for future students if the universities are not there for them to attend."
In England, fees for home students have been capped at £9,250 since 2017.
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There was no sign of the increase in Labour's manifesto, the Tories say
Labour has “declared war” on students, Tory shadow education secretary Laura Trott has said on Monday.
Trott told the Commons after the announcement: "We had a Budget last week which declared war on business, private-sector workers and farmers. It seems today that the Secretary of State (Bridget Phillipson) wants to add students to that list.“Not content with pushing up the cost of living for everyone with an inflationary Budget and pushing down wages with the national insurance increase, we are now in a situation whereby students will suffer from the first inflationary increase in a number of years at a time when students can least afford it.
'It's the right thing to do' Universities say
University leaders have warned of serious financial concerns due to frozen tuition fees paid by domestic students and a drop in international students.
Universities UK (UUK), representing 141 universities, said the increase in tuition fees “is the right thing to do”.
UUK chief executive Vivienne Stern said: “Thriving universities are essential to a thriving UK... University leaders and government must work together to ensure that our universities are able to fire on all cylinders.
“A decade-long freeze in England has seen inflation erode the real value of student fees and maintenance loans by around a third, which is completely unsustainable for both students and universities. Keeping pace with inflation stops the value of fees going down year after year.
“Importantly, this change will not see students paying more to study upfront; repayments are linked to earnings above a £25,000 threshold. The increase in maintenance loans is also very welcome and important.”
Unions say the increase is 'morally wrong'
The University and College Union (UCU) described the tuition fee cap increase as “economically and morally wrong”.
General secretary Jo Grady said: “Taking more money from debt-ridden students and handing it to overpaid, underperforming vice-chancellors is ill-conceived and won’t come close to addressing the sector’s core issues.
“As Keir Starmer himself said last year, the current fees system doesn’t work for students and doesn’t work for universities.
“Labour accepts the issues facing higher education are systemic yet has only applied a sticking plaster. Its principles are vague and could be exploited by vice-chancellors, while higher fees mean even more graduates will fail to pay back their loans, ultimately costing the exchequer.
“The Chancellor says ‘invest, invest, invest’: it is time to do that in higher education, especially if Labour is serious about delivering a decade of national renewal.”
The Policy Exchange find it hard to justify increasing debt for young people
Iain Mansfield, head of education at Policy Exchange, a right-wing conservative think tank said: “It is hard to justify heaping additional debt upon young people before requiring corresponding reforms on teaching quality, high standards and contact hours, to ensure every student gets the high quality experience they deserve.
“Today’s decision simply reinforces the current debt-fuelled system that neither supports young people nor delivers the skills that the economy needs.”
What has Labour previously said about tuition fees?
Prime Minister Keir Starmer pledged to abolish tuition fees while campaigning to succeed Jeremy Corbyn as Labour leader in 2020.
However, in May 2023, he scrapped the pledge, saying: "We are likely to move on from that commitment because we find ourselves in a different financial situation".
How much are current university fees?
For UK students, the maximum annual tuition cost depends on where they live and study. They are as follows:
England: £9,250
Wales: £9,250
Northern Ireland: £4,750 for Northern Irish students or £9,250 for other British students
Scotland: Free for the majority of Scottish students and £9,250 for other British students
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