Tuition fees in the United Kingdom
In practice, higher education (HE) remains free at the point of entry in England for a high minority of students.
[6] This National Committee of Inquiry into Higher Education reported to the new Labour Government, in the summer of 1997, stating additional billions of funding would be needed over the period, including £350 million in 1998–99 and £565 million in 1999–2000, in order to expand student enrolment, provide more support for part-time students and ensure adequate infrastructure.
A detailed assessment of the issues has, however, convinced us that the arguments in favour of a contribution to tuition costs from graduates in work are strong, if not widely appreciated.
In response to the findings, the Teaching and Higher Education Act 1998 was published on 26 November 1997, and enacted on 16 July 1998, part of which introduced tuition fees in all the countries of the United Kingdom.
[10] The act introduced a means-tested method of payment for students based on the amount of money their families earned.
[11] Starting with 1999–2000, maintenance grants for living expenses would also be replaced with loans and paid back at a rate of 9% of a graduate's income above £10,000.
[20] Further adjustments were put forth in the 2015 budget, with a proposed fee increase in line with inflation from the 2017–18 academic year onwards, and the planned scrapping of maintenance grants from September 2016.
[24] The move was designed to appeal to students,[25] who had voted in large numbers against the government in the 2017 general election and caused the Conservative Party to lose their majority.
[38] The National Union of Students described the rise as a "sticking plaster", with the government stating they would announce 'major reform' at a later date.
Due to Brexit, starting in autumn 2021, EU, other EEA and Swiss nationals are no longer eligible for the home fee status, meaning higher fees and no access to UK government loans unless they have been granted a settled or pre-settled status under the EU Settlement Scheme.
[48][49] Many commentators suggested that the 2012 rise in tuition fees in England would put poorer students off applying to university.
[52] In 2016, The Guardian noted that the number of disadvantaged students applying to university had increased by 72% from 2006 to 2015, a bigger rise than in Scotland, Wales or Northern Ireland.
[53] A study by Murphy, Scott-Clayton, and Wyness found that the introduction of tuition fees had "increased funding per head, rising enrolments, and a narrowing of the participation gap between advantaged and disadvantaged students".
[54] Tuition fees are currently capped at £4,030 in Northern Ireland, with loans of the same size available from Student Finance NI.
[55] Loan repayments are made when income rises above £17,335 a year, with graduates paying back a percentage of their earnings above this threshold.
Young Students are defined as those under 25, without dependent children, marriage, civil partnership or cohabiting partner, who have not been outside of full-time education for more than three years.
[64] Labour's education spokesperson Rhona Brankin criticised the Scottish system for failing to address student poverty.
The Welsh Government argued this would allow for higher maintenance loans and grants and these costs are the biggest barrier for poorer students to attend University.
[75] In August 2019, government figures uncovered by the Labour Party showed that "students will owe a staggering £8.6bn in interest alone on their loans within five years ... almost double the current debt".
Tuition is paid for by general taxation in Germany, although only around 30% of young people gain higher education qualification there, whereas in the UK the comparable figure is 48%.
[80] Jeremy Corbyn, former Labour leader, stated that he would have removed tuition fees and would have instead funded higher education by increasing national insurance and corporation tax.
[82] In July 2017, Lord Adonis, former Number 10 Policy Unit staffer and education minister largely responsible for introducing tuition fees, said that the system had become a "Frankenstein's monster" putting many students over £50,000 in debt.
