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Students face fees of up to £9,000 Students face fees of up to £9,000
(40 minutes later)
By Sean Coughlan BBC News education correspondentBy Sean Coughlan BBC News education correspondent
Students in universities in England 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 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 with a higher tier of £9,000 - nearly treble existing levels - if they promote access for poorer students.Universities will be able to charge £6,000 with a higher tier of £9,000 - nearly treble existing levels - if they promote access for poorer students.
The National Union of Students dubbed the plan "an outrage".The National Union of Students dubbed the plan "an outrage".
NUS president, Aaron Porter, said Liberal Democrat MPs who pledged before the election to vote against any rise in fees and were planning to back the plan should be "ashamed of themselves". NUS president, Aaron Porter, said Liberal Democrat MPs who were going to ditch their election pledge to vote against any rise in fees should be "ashamed of themselves".
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.
Balancing actBalancing act
Mr Porter said students would "chase down" Liberal Democrat MPs who failed to honour their pledge.
Much of the proposed fee rise, up from the current £3,290 per year, will replace public funding withdrawn from universities in last month's Spending Review.Much of the proposed fee rise, up from the current £3,290 per year, will replace public funding withdrawn from universities in last month's Spending Review.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.
The UCU lecturers' union says that "it's a simple case of robbing the public to plug a government funding gap". Les Ebdon, chair of the Million+ group of new universities, said this would force universities to charge the maximum level of fees.
"Unless universities charge £9,000 there is a big risk that they will be worse and not better-off because of the swingeing cuts to teaching funding. The fear then must be that the outcome of such high fees will be to damage participation and social mobility," said Professor Ebdon.
The funding package is to be announced by the Universities Minister David Willetts at 1230 GMT, rather than Liberal Democrat Business Secretary Vince Cable who delivered the government's initial response to Lord Browne's review.The funding package is to be announced by the Universities Minister David Willetts at 1230 GMT, rather than Liberal Democrat Business Secretary Vince Cable who delivered the government's initial response to Lord Browne's review.
Mr Willetts is expected to say that universities charging the highest fees will have to show support for widening access to students from economically poorer backgrounds.Mr Willetts is expected to say that universities charging the highest fees will have to show support for widening access to students from economically poorer backgrounds.
This would mean the type of outreach programmes that many universities already carry out, such as summer schools and targeted scholarships.This would mean the type of outreach programmes that many universities already carry out, such as summer schools and targeted scholarships.
No quotasNo quotas
Education Secretary Michael Gove told the BBC that this would not mean quotas of students from poor homes, but universities would be expected to show they were "energetically pursuing" such applicants.Education Secretary Michael Gove told the BBC that this would not mean quotas of students from poor homes, but universities would be expected to show they were "energetically pursuing" such applicants.
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 pay the loans back only once they graduated and got a job paying more than £21,000, rather than the current threshold of £15,000.Under the plans, students would take out loans to pay the fees. But they would pay the loans back only once they graduated and got a job paying more than £21,000, rather 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 it is expected that better-off students will still be able to pay up front for their university education and avoid taking out a loan altogether.But it is expected that better-off students will still be able to pay up front for their university education and avoid taking out a loan altogether.
Mr Gove said that under the new system "there's no barrier for people coming from poorer homes, and there's no penalty for people who choose to go into a low paying job".Mr Gove said that under the new system "there's no barrier for people coming from poorer homes, and there's no penalty for people who choose to go into a low paying job".
But the Liberal Democrats' youth group rejected the proposals.But the Liberal Democrats' youth group rejected the proposals.
"The current burden of debt is already weighing heavily on many students, and putting many others off going to university altogether," said Liberal Youth chairman Martin Shapland."The current burden of debt is already weighing heavily on many students, and putting many others off going to university altogether," said Liberal Youth chairman Martin Shapland.
"Raising the cap will only increase this problem," he said.
Shadow Business Secretary John Denham said it was "wrong and unfair" that students should have to pay the entire cost of their undergraduate degrees.Shadow Business Secretary John Denham said it was "wrong and unfair" that students should have to pay the entire cost of their undergraduate degrees.
He said the plan would mean "massive fee increases" without better funding for the university system.He said the plan would mean "massive fee increases" without better funding for the university system.
The proposal was "the worst of all possible worlds", he said, where smaller universities would not be able to attract students at higher fee levels, while elite institutions would struggle to compete internationally.The proposal was "the worst of all possible worlds", he said, where smaller universities would not be able to attract students at higher fee levels, while elite institutions would struggle to compete internationally.
'Dark days''Dark days'
Michael Arthur, vice-chancellor of the University of Leeds, and chairman of the Russell Group of top universities, said the funding deal sent a signal that the government recognised "the importance of higher education to the future of our country, its economy and our ability as universities to help the country out of recession".Michael Arthur, vice-chancellor of the University of Leeds, and chairman of the Russell Group of top universities, said the funding deal sent a signal that the government recognised "the importance of higher education to the future of our country, its economy and our ability as universities to help the country out of recession".
Lee Elliot Major, research director of the Sutton Trust education charity, said there needed to be sufficient safeguards to protect access for poorer students.Lee Elliot Major, research director of the Sutton Trust education charity, said there needed to be sufficient safeguards to protect access for poorer students.
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, as the coalition tries to sell the funding package.Mr Barclay has been invited to meet Lib Dem leader Nick Clegg on Wednesday, 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.
Will you be affected by a rise in tuition fees? Send us your comments using the form below.Will you be affected by a rise in tuition fees? Send us your comments using the form below.