Menu
21/05/2003
Hodge defends tiered college fees plan
Lifelong Learning, Further and Higher Education Minister Margaret Hodge today said that the government's plans for higher education "remain unchanged".
Ms Hodge was speaking following the publication of a Centre for the Economics of Education (CEE) paper entitled 'Does it pay to attend a prestigious university' which claims to prove that there is an added benefit of going to higher universities over modern universities.
The report finds that graduates from a top university earn on average between £9,000-£22,000 more after tax and over a lifetime compared to a 'similar' modern university graduate.
"This means that if we assume that a typical full time undergraduate course takes three years to complete, a representative student should be prepared to pay between £3000 and £7000 per annum more to attend a top university compared to the cost of attending a Modern university," said Ms Hodge.
"The wool has been pulled over peoples eyes for too long. By asking everyone to pay the same tuition fee regardless of the university they go to we have been implying the benefits of every university are the same. They are not. By enabling universities to charge differential fees we are lifting the wool from people's eyes, recognising difference, diversity and the premium that some universities can give you over others.
"This is an economic justification for allowing some universities to charge more than others. If potential students thought and acted rationally, then they would be willing to invest more in universities that offered them a better return on their investment."
The minister stressed that this was why the government proposed to scrap upfront fees, re-introduce the grant and pay the first £1100 of fees for the poorest students.
"We will also increase the threshold at which graduates repay their student loan to £15,000 which will save all students £450," she added.
(GMcG)
Ms Hodge was speaking following the publication of a Centre for the Economics of Education (CEE) paper entitled 'Does it pay to attend a prestigious university' which claims to prove that there is an added benefit of going to higher universities over modern universities.
The report finds that graduates from a top university earn on average between £9,000-£22,000 more after tax and over a lifetime compared to a 'similar' modern university graduate.
"This means that if we assume that a typical full time undergraduate course takes three years to complete, a representative student should be prepared to pay between £3000 and £7000 per annum more to attend a top university compared to the cost of attending a Modern university," said Ms Hodge.
"The wool has been pulled over peoples eyes for too long. By asking everyone to pay the same tuition fee regardless of the university they go to we have been implying the benefits of every university are the same. They are not. By enabling universities to charge differential fees we are lifting the wool from people's eyes, recognising difference, diversity and the premium that some universities can give you over others.
"This is an economic justification for allowing some universities to charge more than others. If potential students thought and acted rationally, then they would be willing to invest more in universities that offered them a better return on their investment."
The minister stressed that this was why the government proposed to scrap upfront fees, re-introduce the grant and pay the first £1100 of fees for the poorest students.
"We will also increase the threshold at which graduates repay their student loan to £15,000 which will save all students £450," she added.
(GMcG)
Related UK National News Stories
Click here for the latest headlines.
11 September 2008
Academic Standards Put At Risk By 'Meddling'
The vice-chancellor of Cambridge has said academic standards were being put at risk by "meddling", saying that universities existed to educate and lead research, not promote social justice.
Academic Standards Put At Risk By 'Meddling'
The vice-chancellor of Cambridge has said academic standards were being put at risk by "meddling", saying that universities existed to educate and lead research, not promote social justice.
28 February 2012
Report Calls For Universities To Be At Heart Of Economy
A report published today calls for universities to be at the heart of the economy to promote growth in the UK and improve the employability of our graduates.
Report Calls For Universities To Be At Heart Of Economy
A report published today calls for universities to be at the heart of the economy to promote growth in the UK and improve the employability of our graduates.
05 September 2003
Blair argues case for top-up fees as ‘fairest’ option
Prime minister Tony Blair yesterday stood by his proposals to push through university top-up fees, as the alternatives would either unfairly penalise ordinary taxpayers or result in cuts in the number of university places.
Blair argues case for top-up fees as ‘fairest’ option
Prime minister Tony Blair yesterday stood by his proposals to push through university top-up fees, as the alternatives would either unfairly penalise ordinary taxpayers or result in cuts in the number of university places.
13 May 2003
Tories pledge to scrap university tuition fees
In a gentle change of tack over the past few weeks, the Conservative Party has taken the initiative and published a clutch of policies pledges – the foremost of which is today's plans to scrap university tuition fees and abandon entrance targets.
Tories pledge to scrap university tuition fees
In a gentle change of tack over the past few weeks, the Conservative Party has taken the initiative and published a clutch of policies pledges – the foremost of which is today's plans to scrap university tuition fees and abandon entrance targets.
10 June 2013
NUS Calls On Uni's To Ban Payday Loan Advertising On Campus
As three universities announce they will no longer allow payday loan companies to advertise on the campuses, the National Union of Students (NUS) has called on all UK universities to do the same.
NUS Calls On Uni's To Ban Payday Loan Advertising On Campus
As three universities announce they will no longer allow payday loan companies to advertise on the campuses, the National Union of Students (NUS) has called on all UK universities to do the same.
-
Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.
