The Spectator

The cost of learning

The Spectator on university tuition fees

issue 21 March 2009

A momentous shift occurred in British politics this week: the National Union of Students accepted the principle that graduates should contribute to the cost of their degrees. This U-turn is proof that the argument that graduates should pay for their tuition has at last been won, 11 years after the introduction of fees in 1998.

The system that existed before then, though routinely described as a badge on civilisation, was, in practice, deeply immoral. University education was paid for out of general taxation: the poorest in society were subsidising the education of those who would go on to be the richest. With the median male graduate earning £325,000 more in a lifetime than a non-graduate male (and a female £430,000), there is no justification for those who benefit from this experience not paying for it.

Despite the apocalyptic predictions that accompanied the introduction of fees and top-up fees (which allow universities to charge students total fees of £3,000 a year), the social spread of participation has not narrowed. After the 2006 introduction of top-up fees there were a record number of UCAS applications with an increase among the children of parents from every single occupational group.

Two thirds of vice-chancellors want to raise fees. Even including the government funding that universities receive on top of student fees, they are still losing money on teaching undergraduates.

With financial services and property extremely unlikely to drive growth as they did in the last decade — at least for the foreseeable future — bright, inventive, well-educated graduates and top-flight research are crucial to the country’s economic recovery. There is no way Britain’s universities can maintain their world class status — in the Times Higher Educational Supplement rankings, four of the world’s top ten universities are British, the other six American and there is no university from another EU country in the top 20 — if they have to bear such a burden for each undergraduate student they accept.

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