Rising tuition fees must not impact student prospects, further student finance reforms crucial

The government’s plan to increase tuition fees in England to £9,535 per year presents a mixture of welcome changes and disappointing omissions for the fortunes of under-resourced young people across the country.

We wholly welcome the decision to increase maintenance loans in line with inflation. This increase—which averages £317 per year for students studying outside of London—is desperately needed to address the widening gap between support available and the rising cost of living. Increased maintenance loans are particularly necessary for students from under-resourced backgrounds, who have been hit the hardest by the unmanageable costs of university study, and often forego essentials to attend university.

We are also pleased to see the government taking necessary steps to stabilise the university sector and begin to financially future-proof higher education institutions. We are optimistic that this change will help protect widening participation funds, which are crucial to closing the access gap.

However, students should not be footing this bill. Further reform is needed to lift the financial burden on young people striving to continue their education.

Cost of Living crisis impacting student university choices

The Access Project’s Cost of Living and University Choices report highlights the extent of the financial pressures facing many under-resourced students aspiring to attend university.  

Even before university, students’ decisions about university are being shaped by money. Some students actively choose subjects they don’t excel in or enjoy due to future pressures to earn well, and students from less advantaged areas are twice as likely to live at home and commute due to growing costs of accommodation (NEON). 

While at university, financial pressures compound for students from under-resourced backgrounds. Blackbullion (2024) estimated that on average, students require an extra £621 per month. The government maintenance support on offer simply does not cover the costs of university. For those who cannot or do not want to take on maintenance loan debt due to religious, cultural, or personal reasons, this is further exacerbated.  

Post-graduation, students from lower income backgrounds leave university with approximately 38% more debt than those from wealthier families (Sutton Trust, 2024). This overwhelming financial picture deters under-resourced students from wanting to attend university at all.   

A singular increase to maintenance loans neglects larger issues affecting access to education. Further reforms to students finance are necessary to protect student prospects.

University maintenance support reforms required

We implore the government to reinstate maintenance grants. Since the abolition of these non-repayable grants in 2016, lower income students have missed out on up to £3,500 of extra support per year. Reinstating these grants will give under-resourced students the financial support they need to thrive, without placing them in debt. 

We also suggest a reform to maintenance loan repayment terms. While the government’s decision not to raise monthly loan repayments is a welcome one, it fails to address the vast debt amassed by lower income students. A more progressive loan repayment model is needed to ensure that lower income graduates do not have a higher lifetime repayment burden. We support the Sutton Trust’s proposal in which higher income graduates pay back more than they do currently, and lower income graduates have lower repayment rates. This would address the huge debt gap at graduation and give additional reassurance to under-resourced students about taking on maintenance loans. 

Anna Searle, Chief Executive Officer at The Access Project, said: “Without adequate maintenance support, we cannot expect to close the disadvantage gap. Above all, government maintenance support must allow young people to thrive, regardless of their socio-economic background. We will continue our mission to break down barriers to opportunity, and we look forward to hearing the government’s further reforms to expand access and improve outcomes for under-resourced students in the coming months.” 

Read our joint statement on behalf of the Fair Access Coalition, of which we are a member, on the increase of tuition fees and maintenance grants.

The Access Project helps young people from under-resourced backgrounds achieve their academic potential and place at top universities. By donating to our programme or volunteering with us, you’re helping the country’s most under-resourced young people find their way to a brighter future.