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Students could face £9,000 fees Students could face £9,000 fees
(about 6 hours later)
By Sean Coughlan BBC News education correspondentBy Sean Coughlan BBC News education correspondent
Students in universities in England will face tuition fees of up to £9,000 per year from 2012 - as the government reveals its plans for higher education.Students in universities in England will face tuition fees of up to £9,000 per year from 2012 - as the government reveals its plans for higher education.
The coalition's response to Lord Browne's funding review will be published on Wednesday.The coalition's response to Lord Browne's funding review will be published on Wednesday.
Universities will be able to charge £6,000 per year with a higher tier of £9,000 - nearly treble existing levels - if poorer students receive support.Universities will be able to charge £6,000 per year with a higher tier of £9,000 - nearly treble existing levels - if poorer students receive support.
Student unions have warned that MPs will face a "huge backlash".Student unions have warned that MPs will face a "huge backlash".
Much of this rise in fees, up from the current £3,290 per year, will replace public funding withdrawn from universities in last month's spending review.Much of this rise in fees, up from the current £3,290 per year, will replace public funding withdrawn from universities in last month's spending review.
It will mean that many arts and humanities courses will now depend on fee income, rather than state funding.It will mean that many arts and humanities courses will now depend on fee income, rather than state funding.
Balancing actBalancing act
National Union of Students president Aaron Porter says it is unfair to "remove almost all funding for teaching in universities, and force students to foot the bill".National Union of Students president Aaron Porter says it is unfair to "remove almost all funding for teaching in universities, and force students to foot the bill".
Ministers have been trying to achieve a balancing act between a sustainable funding system for universities and a political deal which will head off a Liberal Democrat backbench rebellion.Ministers have been trying to achieve a balancing act between a sustainable funding system for universities and a political deal which will head off a Liberal Democrat backbench rebellion.
Before the general election, Lib Dem MPs signed personal pledges to vote against any increase.Before the general election, Lib Dem MPs signed personal pledges to vote against any increase.
Students have threatened to "hound" Lib Dem MPs over this promise to student voters - with Chris Huhne facing protesters in London and Vince Cable having to call off a visit to Oxford University.Students have threatened to "hound" Lib Dem MPs over this promise to student voters - with Chris Huhne facing protesters in London and Vince Cable having to call off a visit to Oxford University.
As such, the funding package to be announced by the Universities Minister David Willetts at 1230 GMT will be accompanied with more progressive measures, including requirements that universities charging the highest fees will have to show support for widening access to students from economically poorer backgrounds.As such, the funding package to be announced by the Universities Minister David Willetts at 1230 GMT will be accompanied with more progressive measures, including requirements that universities charging the highest fees will have to show support for widening access to students from economically poorer backgrounds.
This would include outreach programmes, summer schools and targeted scholarships. And if the universities fail to meet certain benchmarks, then the Office of Fair Access, a government quango, would step in and force them to spend more cash on helping disadvantaged students.This would include outreach programmes, summer schools and targeted scholarships. And if the universities fail to meet certain benchmarks, then the Office of Fair Access, a government quango, would step in and force them to spend more cash on helping disadvantaged students.
This has prompted suggestions that while there will be tough talking about widening participation, universities will not face quotas, regulations or "social engineering" in the allocation of places.This has prompted suggestions that while there will be tough talking about widening participation, universities will not face quotas, regulations or "social engineering" in the allocation of places.
Interest rates for loan repayments and earnings thresholds could also be adjusted to give more support to disadvantaged students.Interest rates for loan repayments and earnings thresholds could also be adjusted to give more support to disadvantaged students.
Under the plans, students would take out loans to pay the fees. But they would only pay the loans back once they graduate and get a job paying more than £21,000, much higher than the current threshold of £15,000.Under the plans, students would take out loans to pay the fees. But they would only pay the loans back once they graduate and get a job paying more than £21,000, much higher than the current threshold of £15,000.
Graduates would pay 9% cent of their income above £21,000 per year to pay off both the loan, and an above-inflation rate of interest.Graduates would pay 9% cent of their income above £21,000 per year to pay off both the loan, and an above-inflation rate of interest.
It is expected that any graduates who wish to repay all or some of their loan more quickly would have to pay a penalty to compensate for the interest they would no longer pay.It is expected that any graduates who wish to repay all or some of their loan more quickly would have to pay a penalty to compensate for the interest they would no longer pay.
But the BBC has learned that better off students will still be able to pay upfront for their university education and avoid taking out a loan altogether.But the BBC has learned that better off students will still be able to pay upfront for their university education and avoid taking out a loan altogether.
'Emergency funding''Emergency funding'
Universities will have to decide whether this political deal will secure their long-term funding.Universities will have to decide whether this political deal will secure their long-term funding.
Malcolm Grant, provost of University College London, has warned that spending cuts in higher education have turned the process into an "emergency funding measure".Malcolm Grant, provost of University College London, has warned that spending cuts in higher education have turned the process into an "emergency funding measure".
He also expressed regret at the apparent rejection of Lord Browne's proposal for universities to decide their own fees, without any fixed cap.He also expressed regret at the apparent rejection of Lord Browne's proposal for universities to decide their own fees, without any fixed cap.
There have also been warnings about a two-tier system emerging from the split level of fees.There have also been warnings about a two-tier system emerging from the split level of fees.
David Barclay, president of Oxford University Student Union, says: "A two-cap system will mean a two-tier system returning us to the dark days of some universities for the many and some universities for the few."David Barclay, president of Oxford University Student Union, says: "A two-cap system will mean a two-tier system returning us to the dark days of some universities for the many and some universities for the few."
Mr Barclay has been invited to meet Lib Dem leader Nick Clegg on Wednesday afternoon, as the coalition tries to sell the funding package.Mr Barclay has been invited to meet Lib Dem leader Nick Clegg on Wednesday afternoon, as the coalition tries to sell the funding package.
The changes in tuition fees will apply to universities in England. Scottish students studying in Scotland do not have to pay any fees. In Northern Ireland and Wales, fees are currently charged up to a maximum of £3,290.The changes in tuition fees will apply to universities in England. Scottish students studying in Scotland do not have to pay any fees. In Northern Ireland and Wales, fees are currently charged up to a maximum of £3,290.
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