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Higher tuition fees 'will lead to places shortfall' Higher tuition fees 'will lead to places shortfall'
(40 minutes later)
By Hannah Richardson BBC News education reporterBy Hannah Richardson BBC News education reporter
The Labour leader has warned higher than expected fees could mean ministers would have to cut tens of thousands of university places in England. The Labour leader has warned higher than expected tuition fees could mean cutting tens of thousands of university places in England.
Ed Miliband demanded answers from Prime Minister David Cameron as an updated BBC survey suggested two thirds of universities plan maximum £9,000 fees. Ed Miliband demanded answers from Prime Minister David Cameron - as latest figures show three quarters of universities plan maximum £9,000 fees.
Ministers had budgeted for average fees of £7,500, saying universities choosing to charge more would be "exceptional". Ministers had budgeted for average fees of £7,500 - saying universities charging £9,000 would be "exceptional".
Most students' fees are funded by the government through a system of loans. But ministers say the average loan will be cut by waivers for poorer students.
A higher level of tuition fee from its current capped level of £3,290 per year will mean a higher level of public funding and there have been warnings of a "black hole" in the university budget. A higher level of tuition fee, from its current capped level of £3,290 per year, will mean higher up-front loans to students - and there have been warnings of a "black hole" in the higher education budget.
The news comes on the deadline day for universities to submit their plans to the Office for Fair Access for the first year of the new fees regime - 2012. The news comes on the deadline day for universities to submit their plans to the Office for Fair Access for 2012, the first year of the new fees regime.
According to the BBC survey, based on 71 higher education institutions that have declared their plans, 47 want to charge £9,000 fees for some or all of their courses. Almost 70 higher education institutions - more than half - have declared their plans for tuition fees - and more than three quarters of these want to charge £9,000 for some or all of their courses.
There are 39 universities that so far have indicated that they want to charge £9,000 for all courses.
The full picture of tuition fees will not be known publicly until July, when the Office for Fair Access confirms the fees that it has approved for each university.The full picture of tuition fees will not be known publicly until July, when the Office for Fair Access confirms the fees that it has approved for each university.
Mr Miliband predicted the cost of loans could be up to £500m more annually than expected.Mr Miliband predicted the cost of loans could be up to £500m more annually than expected.
Based on House of Commons Library figures this would put 36,000 university places at risk, he said.Based on House of Commons Library figures this would put 36,000 university places at risk, he said.
'Double jeopardy''Double jeopardy'
He told reporters in London: "David Cameron said £9,000 fees would only be charged in exceptional circumstances.He told reporters in London: "David Cameron said £9,000 fees would only be charged in exceptional circumstances.
"Today we know that £9,000 is not going to be the exception. Every single one of the leading Russell Group university is to charge £9,000. David Cameron looks set to break his pledge."Today we know that £9,000 is not going to be the exception. Every single one of the leading Russell Group university is to charge £9,000. David Cameron looks set to break his pledge.
"On savings he claimed that the new package, higher fees and and a much reduced teaching grant, would save the taxpayer £2bn."On savings he claimed that the new package, higher fees and and a much reduced teaching grant, would save the taxpayer £2bn.
"Now with most fees being between £8,000 and £9,000 the government will have to pay out even more money in loans.""Now with most fees being between £8,000 and £9,000 the government will have to pay out even more money in loans."
He added: "Whatever the exact number there will be a shortfall in government figures and a shortfall in HE [higher education] funding is a double jeopardy for young people."He added: "Whatever the exact number there will be a shortfall in government figures and a shortfall in HE [higher education] funding is a double jeopardy for young people."
And he challenged the prime minister to say whether he planned to cut student numbers or university budgets still further.And he challenged the prime minister to say whether he planned to cut student numbers or university budgets still further.
Ministers have accepted privately that a significant number of students will be paying higher fees.Ministers have accepted privately that a significant number of students will be paying higher fees.
But they reject any suggestion of a financial crisis, arguing fee waivers and cheaper degree courses in further education colleges and offered by private providers will lower the average cost.But they reject any suggestion of a financial crisis, arguing fee waivers and cheaper degree courses in further education colleges and offered by private providers will lower the average cost.
They also claim that because the Treasury will ultimately recoup two-thirds of the amount loaned to students the extra expenditure is not as serious as it may seem.They also claim that because the Treasury will ultimately recoup two-thirds of the amount loaned to students the extra expenditure is not as serious as it may seem.
Aaron Porter, the outgoing president of the National Union of Students, accused the government of causing "costly chaos" with its university reforms.Aaron Porter, the outgoing president of the National Union of Students, accused the government of causing "costly chaos" with its university reforms.
"When the government forced these ill-considered plans through Parliament, they claimed that fees above £6,000 would be the exception rather than rule, but that was quite clearly a pipe dream," said Mr Porter."When the government forced these ill-considered plans through Parliament, they claimed that fees above £6,000 would be the exception rather than rule, but that was quite clearly a pipe dream," said Mr Porter.
A White Paper setting out how higher education will be reformed in England is expected in the summer.A White Paper setting out how higher education will be reformed in England is expected in the summer.