The fact that it's not interest-free is a lifetime of debt. You'll never be able to pay it off as the monthly interest will be more than the monthly payment towards it.
It is impossible to pay off.. I left uni in 2020 and currently earn £60k and my monthly interest is still > than the monthly payments They may as well just call it a 9% university tax
It is in real terms interest free, it follows RPI (an index for inflation) This was a recent change last year, it used to be an interest rate of RPI + 3% interest which is ridiculous and will never be paid off not to say i agree with a tuition fee hike
The people at the top of society complain that the economy is not growing and that productivity is problem. Then you shackle our young people with huge debts before they even start full time employment, rather than investing in them. Meanwhile the wealth of the rich continues to grow. Seems as though the change in government has achieved very little real change for the people in society that need it. Why aren’t they going for the mega wealthy tax dodging lot?
mega wealthy tax dodging lot who own the assets, media, politicians and can afford the best lawyers in the country for the policies that they asked for?
@@abhi739 but teachers have either had pay freezes through Covid and/or received pay increases below the rate of inflation. They are already overstretched and receive a pitiful hourly salary compared to the hours put in. Super qualified professional that would receive high salaries if they were in a different industry.
Studying in Germany cost me about 600€ a year to the university (which included free public transport across the entire state), so hearing these numbers is crazy. Makes you wonder where that difference goes.
We get taxed, yet we UK citizens do not see the fruits of taxation. I must say, the DB in Germany is horrific but your metro in major cities is reliable. But 600€ for university a year compared to £9250 + maintenance loan annually puts a huge dent in students’ pockets. Clearly EU > UK.
I think they introduced fees a couple of years before I went to uni. It was FREE! so it went from free to £3000 a year, then went to £9000 a year and now they want £15000 a year?!?! When it was FREE for decades. This country has fucked me and younger generations over since 2008 and I'm sick of it.
@@sylsuthss You're right fees were around £1200 in 2007. They introduced them in 1998-99. Scotland abolished fees in 2000 and got rid of GE by 2008, I'd imagine Scottish tuition will remain free for at least another decade.
@@roryhand6650 It wasn't always that way, when they were first introduced you received a bill from your university, you weren't allowed to enrol the following year unless the fees were paid. They had to change the model because a lot of students refused to pay the fees.
(these loans won't ever be paid off) But that's a good thing, no? Someone who never 'wins it big' will spend none of the £9250. Edit for clarification in brackets. Also edit: it should be interest free though.
Why is that then? 40% of English young people choose to go to uni for “the experience”. They leave with a piece of paper and a load of debts. They have to get a poor paying job otherwise they have to pay the loan back. While earning their degree, they pay no income tax, NI or Council Tax for 3 years. Nobody should pay for your bad decisions.
Greetings from Germany, near Cologne. Congratulations to the UK because these young people are amazing. Transparent arguments, able to analyze the situation and well informed. I do hope they can look forward to having a great future.
@@navboi12it is cos we are the most educated generation ever. But the issue is, all the power in the country is in the hands of the elderly and older wealthier generations who will rather watch the young die than share wealth and prosperity
Given that many junior lecturers are on zero hour contracts and that a lot of classes are done by them and not senior professors. The question is where is the money being spent in Universities in the UK. I think there's a lot of administrative and management responsibilities on the higher cost burden.
A lot gets spent on research. Grants, doctoral funds etc. Also, professors, senior lecturers, deans, and department heads get RIDICULOUS salaries. They do that because of competition for the best talent which in turn works out for research they can complete by having the best experts in their field employed and doing it for that university.
Unfortunately UK graduate opportunities have been in decline since 2008. In the US, student debt is large but it is also very highly correlated with earnings potential. In the UK this is no longer the case, more and more graduates with fewer opportunities which is a large opportunity cost to the economy.
My girlfriend is a pharmacist, over £70,000 of student debt and rising.. we recently decided to salary sacrifice her wage down to the loan repayment threshold, and pay it into her pension. She doesnt pay any student loan now. Fuck 'em.
Lol I haven't graduated yet but that is exactly my plan. Just not sure if that will enough for all my expenses. I feel for newer students who have to repay for 40 years as this method will probably still fuck them over towards the end of the repayments.
That works now, but what if she wants/need more money in the future? You’re just accruing additional interest that’ll be a bigger problem later. She wont want to earn that salary indefinitely.
@mikeoxlong5928 I don't know if you're aware, but student loan debt in the UK is wiped after 30 years. So most students will never actually pay off their student loans, they will just pay the 9% repayment above an income threshold until the 30 year mark. So, if we need more money later, we will go back to paying the student loan tax and reduce pension contributions.
You know what universities could start selling the property they own, stop building vanity projects, reduce non-teaching staff, and 100 other things before they ask for more money from students. The universities seems to think they are already making tough choices they haven't even really started.
The vanity projects were intended (in some cases delusional) to fund themselves in the long run. Pre-COVID, the idea was that new buildings would draw-in international students whose high fees subsidise domestic attendance. Post-COVID though that idea face-planted
or and hear me out hear how about we just come together as a nation and actually fund education in the UK so people lives are not ruined for the crime of learning.
@@flucazade I'm all for getting more direct funding to unis but removing tuition fees fully would cost c. £12B / year and tbh I can think of better ways to spend that money in education
it's sad that these bright young minds won't be given the same opportunities as older generations, simply because the older generations chose brexit and are determined to protect their wealth. the taxpayer cannot support HE entirely - there must be a serious look at how to protect the educational institutions by balancing the tax burden.
In fairness to people from older generations, far fewer went to university which is why the govt. could afford to keep it free. This problem stems from 1998 when they started prioritising increased enrolment and introduced fixed fees to fund it. Universities now have to fund themselves by subsidising the courses that are expensive to teach (STEM) with ones that are cheaper (humanities) - that forces them to grow humanities courses and constrict the STEM ones, even though the latter have far better career prospects. It's an economically illiterate strategy that's really tricky to unpick
Do you have any idea what you're talking about? University places used to be CAPPED. Older generations DIDN'T GO TO UNIVERSITY. When Labour introduced fees and removed the cap, they didn't create better outcomes for bright young people, they created a ponzi scheme. What Brexit has to do with any of this is beyond me.
@@PJH13 "far fewer went to university which is why the govt. could afford to keep it free." - Scotland says hi. Fees for a Scottish student are £1820 per year and are in almost all cases covered by the government plus there is the additional income from the block grant etc. Not to say that the Universities in Scotland don't have their own financial issues (they definitely do) but the student fee debt bubble in England is catastrophically bad and only going to get worse.
@@spikeychris Hey, I agree there were better ways to fund them and to limit cost increases. There are a features of Scotland's unis that England or Wales simply couldn't replicate though - e.g. only 1/4 of students at Edinburgh are Scottish, the rest pay higher fees
I'm fairly sure the stats show that most older people who went to university didn't vote for brexit. I certainly didn't and I'm old enough to have had no fees and a student grant from the council, wahay!
So I studied a degree from 2005 - 2008. Fees were only 1,200 a year and my loan was only 2,500. Even with that I have only paid off my fees in 2023 having worked in jobs paying above the national average salary for over a decade. Increasing to 15k is a joke and I simply could not considered University at that cost.
@@robertmccann9631 not considering university is the point, they want a less informed electorate who will do menial jobs that pay less and look up to the establishment class "cause they know words n stuff" completely regressive but entirely predictable from Starmer's Labour
@@flucazadeI would like to know what jobs you would consider to be menial ? In my opinion for most people going to university is a waste of time and money. Getting into tens of thousands of pounds of debt to get an average paid administrative position that will soon be redundant due to AI seems crazy
@@Medoingstuff82 I consider menial jobs to be menial, it's just a word it literally means lower skilled and lacking prestige. There's no shame in menial work I've done many menial jobs in lifetime. But the word just means what it means. You're right education isn't something to be admired or worked towards because of AI, let us all stop learning whether for personal or professional reasons because of it.
Honestly as a guy it's much easier because the government has invested a lot in apprenticeships; a lot of which can be fruitful careers for men (like electrician, or development which I did). In my experience, I don't see them being options for women because the lack of "inclusivity" would make them struggle to be the best version of themselves.
UK universities had opposed the bill in the House of Commons for granting fewer graduate visas, and now, with fewer international students footing the bill, it's the local students who are to cover the expenses. This makes even more sense when you consider how much international students pay to universities, especially for master's level courses!
About the nursing degrees (just completed mine a year ago in children's nursing). Even though there is a bursary (and incentive for specifically mental health nursing, if you have children etc.) you still need to pay the £9250/year and take out the maintenance loan. The bursary is an aid to help with general living/petrol/public transport/accommodation for the up to 3 hour journeys they are allowed to send you to (each way) for your unpaid full time placements (2,200 hours unpaid work over 3 years) which on top of you have to exams, assignments and dissertation in 3rd year whilst working this. So I can't imagine why anyone would want to do it for £15,000/year.
Don’t be fooled. There is a rhyme and a reason to this. The U.K. economy is declining , falling GDP , high interests rates and sticky inflation. This country is highly dependent on the service and hospitality sector. The government need people is low paid jobs, and if they restrict access to higher education, the youth will have no choice but to take up these roles. It’s sad to see such a dire situation. I was one of the lucky ones, just paid off my student loan, ( it only took 15yrs ).
This is what I think, keep the young poor. It might work in the short term, but there will be a whole generation even couple of generations who will be poor and the rich will be ultra rich because of accumulated wealth and they just pass it down to family keeping society two tiers rather than 3 like it used to be.
It’s not just that. 40% of young people aged 18-21+ choose to go to university during which time they pay no income tax, NI or council tax. The government want to get money into their coffers for their pet projects & because they’re being directed to do so by their very rich donors. The Labour Party just used young people for votes. This compounds the problems young people already face of globalisation and tech eg I’m a UK employer & want to hire a new graduate who can work from home. Do I pick a British grad who wants £20K, a Hungarian who’ll take £15K or a Ghanaian who’s happy with £10K? Perhaps I’ll wait for robotics or AI to kick in and pay £0? If I were a young British person I’d look around & see if there are better prospects abroad.
Average student debt at graduation is £45k. They then need to earn over £27k before they start paying back and even then it’s only 6% on everything above £27k. At the same time the interest on the debt is 4.6% so every year the debt goes up by £2k (compounding). So in order to even begin to start beating the increase the person would need to earn to earn £34500 ABOVE the £27k threshold. So they would need to earn at least £61500 to even start paying off the loan. Which would almost never happen. You may reach that point eventually in your career but by that point your load would be bloated beyond all reasonable proportion.
In addition to the crazy prices, the salaries the jobs you could even get off the back of them won't help to pay them off. Fees up + salaries frozen = great job!
It truly is a Uniparty on both sides of the pond. They give us the theater of "cultural differences" to trick us into believing that we have choices, that democracy still exists. We don't, and it doesn't; we all live under a fascist corporate oligarchy.
As a course leader in a London University, I think Student loans should be interest free and the government should make up the difference to a realistic cost per student to university. So 9k loan plus 6k top up from govt.
And the 2 year student visa doesn’t count towards your 5 years to get citizenship and they increased the work visa sponsorship salary threshold from 27k to 38.7k. Companies won’t offer students nearly 40k for entry level jobs. So why would you bother studying here
You don't pay a penny back til you start earning above the threshold! I went in 2011 and barely pay the interest, it's just an extra bit of tax that's taken off your income after uni. If uni will help you, don't let the fees stop you. But absolutely investigate other options that might help you more. 😊
If you're earning below the threshold that means your degree is useless on the job market. Some people make a career in a field unrelated to the degree and have to pay a debt for the rest of their life and kick themselves. I'd think twice.
Students supposed to be okay with going to university for £15,000 a year and then getting on their first graduate salary of... £15,000 a year 💀 (obviously this is a joke... but not too far off)
That body represents Vice Chancellors. Who could not be more out of touch… lecturers and support staff are not to blame for this, but they will suffer because angry students will blame them.
I dunno. When all our lecturers went on strike most of my course was a hundred percent on their side and realised the senate house elites were a different gang, the ones actually responsible for the strike by denying our teachers the pension they are owed
I feel so sorry for young people, if I hadn’t grown up when I did University would’ve been completely out of reach for me. I grew up on a council estate and was the first person in my family to go to university, it opened up the world for me. Tuition was free and I got a big enough maintenance grant to cover my accommodation, without that financial support I would’ve had no chance. Upward mobility has gone.
The population was far less at that time and fewer people went to university. When you started work, you did not face the challenges of globalisation and advances in tech of today which have reduced the number of people needed for a job & decimated salaries.
Yup, and the incentive for the unis are to get students to do the cheapest courses to teach (as the fees are the same no matter what) and unsurprisingly those ones have worse employment prospects
That's why learning trades is a better option; you earn and do not accrue wealth in the short run, and you earn more as an electrician/plumber/bricklayer etc.
@@webreathefootball663 Yh the problem is all the funding is skewed to push people to go to uni. If you get into a rubbish uni course your living expenses are paid for the next 3+ years and you'll probably never have to pay them back. If go down an apprenticeship you and the company get almost zero money from the govt. - until that imbalance is at least partially corrected this problem will remain
Every few years Uni fees go up and people like Martin Lewis go on TV and basically say it's no big deal. Bullsh*t. £15,000 a year is a massive gamble and a long term debt. Many students will be adding on rent, bills, food, books etc to that figure. Bare in mind also, the interest rate on student debt has crept up over time. Your 3 year degree will be common as muck by the time you get through and your total debt will be the best part of £100k - unless you're living at home with all your expenses paid.
They keep getting massive above-inflation increases, but it just ends up wasted on underutilised construction projects and upper management pay increases. If they'd increased the £3000 from 2004 in line with inflation, it would cost £5262 now. Even the £9000 from 2012 in line with inflation would only come to £12579. They have near enough doubled the cost from 2004 to 2024, even with inflation accounted for, yet they still want more money.
That's not really a full picture though as they used to receive a lot of their funding in the form of a grant from the government. That's gone down so the increase in fees doesn't really mean more $ for the unis themselves. It's true that some of them are very wasteful but it's not often the ones you'd think of: the main problem isn't underutilised buildings, it's courses that don't lead to jobs - because of the loan system the government spends the most on the worst performing unis as their grads make the least loan repayments
@@nicknelson4895 Do poor people pay taxes?... Are they going to uni?. Nothing is free it's paid for by someone, so they're paying for the middle class to go to uni.
Wouldn't it make sense to make employers pay a percentage of income for all jobs that require a degree to fund universities similar to national insurance? The other way I could see it working is to swap the debt to a graduate tax that each UK citizen agree's to pay on all income, even if they leave the UK. The interest is so high on student debt because of how few will pay it off and the financialization of it. The UKs universities are one of our few remaining comparative advantages as a country and their mismanagement is shambolic.
That's essentially what we do though, albeit in a different guise. The loan system is essentially a tax on jobs that require a degree because it only kicks in at higher income levels. The problem is this has no effect on the unis some of whom run poor quality, cheap to run courses; because they get paid the same no matter what happens to the grads afterwards
There's a crisis in our healthcare system where we don't have enough doctors and nurses but we now want to make it more expensive for young people to pursue those career paths...
Wes Streeting, Health Minister, has plans to technologically innovate the NHS. One of Labour’s major donors is in the private healthcare sector so it won’t be long before robots do routine operations like a car assembly plant, diagnostics will be done by a person at home on a laptop, some operations will be done with lasers and nurses & care workers jobs will be done by co-workers. This will be sold to NHS as staff as making their lives easier but will lead to job losses eventually.
The only way out is letting the market decide and having many unis just go bankrupt or merge so that then the gov has a viable reason to make it free and the gov will have the funding at least for then
yep, but each good apprenticeship position (f.e higher apprenticeship in any sort of engineering ) have hundreds of applications per place so it's more of a 'lottery ticket win' for few rather than widely available option for masses
@@ewelinakow doing something is better then not doing anything at all. It's no different than saying, why apply for a job when 100s has already, or will be applying. Rather stay at home and be a bum.
@@htmoh8115 not really because apprenticeships are portrait as widely available alternative to university which they are not. The are elite, very scarce options for a very few. It's like claiming that everyone can get a CEO job as long as they apply because it is an alternative position to a standard office worker.
I was in first year of my a-levels when the government increased tuition fees to 9k per year. Because of that I didn't go uni, instead I did a level 3 btec apprenticeship which then allowed me to do a degree apprenticeship. Best decision I made. Unfortunately all my cousins who are a few years younger have massive debts and struggling to find work.
If students cannot pay off the debts now, why are they worried if it increases as the government will be paying the remaining part of the bill and not them. The increase will only affect the students who pay it off early with higher paying jobs. Remember, the debt is written off after 30 years, at the time of writing.
Uni fees just transfered higher education funding from the Government to individuals. Higher Education should and could be part of an Industrial and work strategy but like everything it's a gravy train Medical staff eg nurses are paying £9k per annum to work on wards! It is all utterly disfunctional x
As a student nurse it’s demoralising and most of us feel very exploited. PLUS we’re having to work full time for free/paying for it AND having to work an actual part time job on top as the loan isn’t enough (in London anyway)
A waste of money when it was £3k a year. After my first job, no employer ever asked to see my degree and I learned nothing at university I couldn't have learned out of a book or on the job.
Another truth that people won’t like is that most people don’t need to go to university - but we treat people as failures unless they go, it’s also a fault of our society and culture
What's the point of raising the fee? Really? No one is going to pay off their student loans and then after 30 years, the debt gets wiped off. Is government just delaying the problem for 30 years down the line?
We already means test maintenance loans, why not means test tuition fees? Incentivize working class students, subsidise with international and well-off home students paying more
It is means tested in a way though. How much you actually repay of the loan and the interest rate is entirely based on your earnings. I'm not saying I like the system but it achieves what you're suggesting
I like this idea, but one of the problems is that rich people can already pay their university fees up front, and avoid the graduate tax altogether, if your parents have already paid private school fees of £8k per term or whatever then £15k a year for uni sounds like a bargain to them. It already entrenches generational wealth, even if you graduate with a great degree and get a job with excellent pay you’re still 9% of your paycheck poorer than your colleague whose parents paid up front, and that could continue your entire working life.
@@omegonchris It's based on both for anyone who borrowed 2012-2023. It was RPI + up-to 3% depending on your income - luckily they just got rid of the second part
I hope that people start to leave to go to other countries more, in Germany university is basically free for everyone, in Sweden its free after a year of residence. If Britain is going to treat people so badly I hope they leave and find a better life in other countries
I was the last year to get my fees paid for me. 1997-2001 back then, it was three thousand pounds a year. I did an MA, paying for it myself. If the fees were as high as they are now, I'd have a great deal of hesitation about doing a degree. It's worth remembering that now a lot of jobs require a degree that didn't back when I graduated in 2001. We also need a lot of people qualified to graduate level this is not the way to get them.
Investing in alternate income streams should be the top priority for everyone right now. especially given the global economic crisis we are currently experiencing. stocks, gold, silver, and virtual currencies are still attractive investments at the moment.
Am looking for something to venture into on a short term basis, I really need to create an alternate source of income, what do you think I should be buying?
The loans actually punnish middle class people the most, if you are from a wealthy background and likely to pay of the debt you can pay it before the intrest accumilates and compounds, if you are on a low income you will likely never even dent it but if you are from a middle income background you wont have enough to pay it off before the compound intrest does its work but will have enough to be over the repayment threshold so that a substantial amount will be payed back.
Incentivise businesses to pay for the education, remove the government loans. It'll self manage the supply and demand of degrees and specialisation of workers whilst providing students/employees and businesses the opportunity to connect earlier in their career development. Tuition fees can be scrapped to compete on prices. The businesses will make an assessment on what is better value for money and fund the training in the most cost efficient way. I went to university and only a couple topics were relevant to my employment upon graduation, if we were to only be trained on the relevant and necessary topics, we'd all save ourselves some time and money. In addition, I no longer work in the sector of my degree even less valuable to myself. After you have a handful of years of experience, your degree is irrelevant. The moment that student loans are not funded by the public purse is the moment that the true value of a degree is exposed.
Except reality is in stark contrast to your claim, in aggregate the least educated areas of the UK still vote labour.. also one of the issues people are discussing as part of the national conversation with the education system and institutions within is that they are all liberal left wing types, that's not necessarily a bad thing but when you have 80-90% of professors being of the same political bent then you have to ask yourself is the actual reason because they're educated, or is there an influence from being in those institutions.
@@chester6343 They are workers in the public sector of course they don't vote Tory and have the same political alignment they are part of the same demographic
I make a top 20% salary and with the 7.3% (!) Interest on my (currently) 60k+ the mandatpry payments don't even cover half of interest So I guess graduate tax it is
Very smart move since they are not longer receiving more foreigners students as they used to be it makes sense to increase the price for local students
It's not really a loan though, it's more of a graduate tax that you accept for getting financial support for your education. If I never pay off the loan before it's wiped, it wouldn't matter if I had £9, £9,000, or £90,000 debt left. It would only affect the most successful students.
Did this guy just say that there’s a significant decrease in international students?.. it feels like there’s nothing BUT international students at uni nowadays
Do students actually pay off all the debts or just a fraction of it 🤔 from what I've seen ie from The Russell Group lots of shinny new buildings, Nottingham is like studentsville so many new developments for student accommodation it's obviously where they are spending the money 💰 and VC salaries. I wouldn't be very happy if I am asked to pay more tax to bail out any university.
A lot of white collar jobs used to be available to A-level students. I think thats the direction we should go towards. Govenrment should incentivize companeis ro hire people st age of 18. Then you are earning and not piling up the debt
The reaosn for the sdip in international students studying in the UK is the idiotic rule change which now prevents the student from bringing their immediate family with them. That and the VISA changes which cost a lot of money and prevents the student from staying and woprking in the UK after the course has concluded. This is all on top of the cost of tuition and living in the UK.
This is disgusting. The universities have to understand that they deter people from studying with them and their income will fall even lower. The university near me has spent money over the years on new buildings that they are now considering closing. And why are Chancellors and management paid so much when those at the bottom are paid minimum wage and are usually the ones to lose their jobs when cuts happen? I know a Graduate tax has been mentioned in the past and that would be much lower than these student loans. **Nurses and Doctors have to pay tuition fees as well. These are no longer paid by the NHS.
The problem is the interest rate on the loans. My repayments are closing on £300 per month and the only loan I will ever have a chance of clearing is the postgraduate loan as it is only 1 year. The interest rate is on average far exceeding inflation over a 10 year period. It should be capped at 2% at most.
I only watched the start of the video, but i dont think this has any effect on most uni students. We're not going to pay off the loans as it is already, so increasing tuition fees will only act to increase the governments spending when handing out the loans. I believe the recent changes to the structure of repayments (40 years repayment, lower starting band) could have been put in place in order to afford the increased cost to the government.
as a previous member of university staff, the fee needs to go up massively our universities are literally crumbling and the staff are so underpaid its a joke
If the political will was there there would not be a tuition fee and students would be given a grant. Once upon a time, many decades ago the student grant was enough to cover fees, accommodation, travel, books, equipment, food and beer.
For a much smaller number of students, though. The issue we've got is universities being asked to fund their ever more expensive courses (staff still need a pay rise every year) but never increase the amount of money they charge to students. It's basically unsustainable. But then so is ever-increasing tuition fees. So we either fund it out of taxation, accept that only rich people can afford to go, force people to take out loans they will never pay off (which future generations will have to clear), continue to increase international students, or reduce the number of students we educate in universities.
@@joepiekl we don't need to reduce the numbers if: we charge different amounts for different courses and allow employers to sponsor students to study courses
@@ster2600 'pointless shit' is a ridiculous assessment. Specialisms are important. Humanities are crucial for anyone that works at the level of improving society in any way.
I'm a Uni student and i wouldnt mind an increase of 1k or 2k on tuition, But 4k and above just seems unrealistic and would price me out.... Especially since rent is high and im trying to get my drivers license done on top of that which costs even more money, also the fact that insurance for 1st time drivers is too expensive aswell sitting at £4k
@@danieia4029 no, like I said before as long as its reasonable. Because from my perspective it is kind of a fact that tuition fees have not kept up with inflation and instead stayed at the same amount so it kinda makes sense to give it a tiny bump
@danieia4029 over time they were bumped due to inflation which is how it should be, but in recent years it's been kept at 9250 despite all of the inflation and etc. Going on. I get we all want tuition fees to stay the same but as an accounting student even I know that this is just unsustainable and something needs to be done. This becomes increasingly concerning when you look at the facts, there are less international students coming to study (probs due to visa changes) and now universities are unable to make a profit on domestic students(they actually lose money on us). It would be nice if they somehow manage to breakeven with domestic students
as much as it is bad to hike fees, this country needs to decide which degrees and unis are actually worth going to as most are useless, people forget that german unis are free but lots of people go into trade in their school system there as opposed to the uk
There are too many university courses that don’t need to exist and too many universities. Raise tuition to 20k. Offer a government subsidy on the courses we ACTUALLY need and have shortages in so the fee is more like 12-15k. The big change is the interest rate we pay! That’s criminal….. should be inline with housing markets no reason for it to be where it currently is
Kcl student here. I advise people that if you seriously don’t need a degree for what you want, don’t get it. I paid the 9 grand each year and I felt like I didn’t get my money (or loan’s) worth. I should also add that the opportunities in first world countries are getting smaller, the best ypthing you could do is degree apprenticeship or apprenticeship. Or if you are an adventurer at heart, get a russel group uni degree and go to a developing country because they look up to those unis
The solution, of course, is to have EMPLOYERS pay the interest. This would mean that as a graduate gains experience, they become a cheaper employee, offsetting the cost of raising their salary in line with their experience.
We need to stop calling this a loan or debt. It isn't, it is a graduate tax. The interest rates on them are gross and as a result most will never pay them off until they are removed after 40 years. This does unfairly hurt low earners as really high earners pay them off quickly, lower earners are stuck paying a small amount for a longer time and pay more overall. Increasing tuition fees and not changing the repayment structure doesn't really change anything except for a small number of people who under £9250 a year would have paid it off before 40 years and no longer will. Sure the total number on the loan is more depressing but it already is. Also I don't think enough blame is applied to the previous government for this situation. Their obsession with overall migration numbers and including student numbers within that was lunacy. To try and appeal to morons who think "stopping the boats" had anything to do with net migration numbers they actively made the UK less attractive to international students. It is no secret that International Students paying extortionate fees was what was keeping Universities afloat so this problem was always going to happen.
The student loan book was sold off to a private company. That should never ever have been allowed. The fact that it starts to be paid off when earnings are £26,000 is a disgrace. Why do employers treat graduates as if they are school leavers. It’s a pittance. Who can even buy a property on a salary that low?
Because nowadays most school leavers do go to Uni so it doesn't have the rarity value it used to. This matters less if they've picked up useful skills but too many courses don't give them that - why would I pay more for a 21 year old who's spent the last 3 years studying creative writing than someone who's spent the last 3 years working and learning their job?
The French student who talked about £800 for a Visa and £2k for the NHS highlights the problem . Before Brexit, EU undergraduate students across the bloc paid whatever domestic students paid, ranging from nothing in Scotland to £9,250 a year in England. They must now pay fees paid by non-EU students, which, according to Study UK and the British Council, can vary from £11,400 to £38,000 a year.
Commodification of education will be seen by later generations as a moral crime. The idea that having three years to be consumed by something, to be stimulated, to have the oppertunity to develop yourself and follow your interests without worrying about a job etc - this should be for its own sake, to grow as a person. But now the mindset behind it all is "an employer will like this on my CV, and it cost me £45,000". We are so cooked.
Sheffield, Nottingham Bristol each have two universities. Each should be forced to combine honestly. Should make it so 65% of students are from the UK and Northern Ireland also.
Schools with class sizes of 30 cost the state £5.8k per pupil. So it could be feasible to have teaching only universities with large class sizes which are chraper. But then we are back to a two tier system like the old polys.
£6,000 more per student?! For what? Energy bills haven't been hiked to that rate, and the lecturers are clearly not receiving this rise due to strikes this year. So where on earth is this extra hike going to??? If the universities are complaining, then cut the degrees that are statistically likely to end graduates in debt, e.g., fine arts, fashion, fitness coaching...etc, as these kind of education comes from experience, not academia. They would save a lot of money from not putting these kind of degrees (i.e. having lecturers, administrators, facilities...etc).
To the people saying that these loans will never be repaid, I don’t think the point is for it to be repaid (since plan 2 most will never be repaid). This is so the government can say it’s reducing costs (whilst also paying more in the long run) let’s not forget this is the party of PFI where we got £12bn and will end up paying £82bn back all so that years national accounts would look better…
University SHOULD be for the most academically gifted, it should be free for poorer students, ranging to bloody expensive for wealthy people, quite a few low grade universities would either close or be repurposed. It should guarantee you, within reason, access to the upper echelons of professional life. However, university level education should be available via apprenticeship style programs, these of course would for subjects with practical applications, there should be clear and easy path from learning basic trades to advanced apprenticeships, for those that discover a good aptitude to learning Online education to diploma level should be either free or very cheap, for people wishing to change careers, or just for continuing education purposes.
30 years ago university was free and you got a grant to boot. Student accommodation also didn't cost the earth. I feel sorry for people going to university since 2011. However, I do think this will all change one day in the future and it will become free again to go to university. Students over the last 13 years got a very rotten deal.
It's not out of reach for anyone, the loan repayments depend on future income. I'm final year PhD now and fees haven't increased since I started undergraduate, but inflation has skyrocketed.
The fact that it's not interest-free is a lifetime of debt. You'll never be able to pay it off as the monthly interest will be more than the monthly payment towards it.
If you do the maths you need to walk out of uni into roughly a 45k a year job with regular yearly pay rises to ever actually pay this off…
It is impossible to pay off.. I left uni in 2020 and currently earn £60k and my monthly interest is still > than the monthly payments
They may as well just call it a 9% university tax
@@HarryHughes-nb3fo I feel ya.
It definitely should be called an education tax rather than student loan…
It is in real terms interest free, it follows RPI (an index for inflation)
This was a recent change last year, it used to be an interest rate of RPI + 3% interest which is ridiculous and will never be paid off
not to say i agree with a tuition fee hike
@@sovereigncataclysm for plan 2 I believe it is still RPI+3% unless I'm wrong? I just checked my account and interest for August was calculated at 8%
The people at the top of society complain that the economy is not growing and that productivity is problem. Then you shackle our young people with huge debts before they even start full time employment, rather than investing in them. Meanwhile the wealth of the rich continues to grow. Seems as though the change in government has achieved very little real change for the people in society that need it. Why aren’t they going for the mega wealthy tax dodging lot?
mega wealthy tax dodging lot who own the assets, media, politicians and can afford the best lawyers in the country for the policies that they asked for?
Be a brickie, we need them!
if teacher unions demand higher salary it will come from students, the key is to keep inflation down
@@abhi739 but teachers have either had pay freezes through Covid and/or received pay increases below the rate of inflation. They are already overstretched and receive a pitiful hourly salary compared to the hours put in. Super qualified professional that would receive high salaries if they were in a different industry.
The idea that ‘greedy’ teachers are causing the rise in fees is objectively not true.
Studying in Germany cost me about 600€ a year to the university (which included free public transport across the entire state), so hearing these numbers is crazy. Makes you wonder where that difference goes.
Into senior management pockets!
In the UK you'll need to fork out thousands just for a single rail route. Annual pass between London and Bristol for example is close to £15000.
We get taxed, yet we UK citizens do not see the fruits of taxation.
I must say, the DB in Germany is horrific but your metro in major cities is reliable.
But 600€ for university a year compared to £9250 + maintenance loan annually puts a huge dent in students’ pockets.
Clearly EU > UK.
its not that simple, selective concern wont teach u anything, research why
I studied in France only paid the first year and it was only 280 euros. The following years I paid 0 euro, and even was granted a yearly scholarship.
I think they introduced fees a couple of years before I went to uni. It was FREE! so it went from free to £3000 a year, then went to £9000 a year and now they want £15000 a year?!?! When it was FREE for decades. This country has fucked me and younger generations over since 2008 and I'm sick of it.
Not only was tuition free, there were grants that covered your living costs with enough left over to go out for a drink on the weekend.
Sorry to burst your bubble there has been fees in England for over 20years, I should know. I just wonder if Scottish students are going to pay now?
@@sylsuthss You're right fees were around £1200 in 2007. They introduced them in 1998-99. Scotland abolished fees in 2000 and got rid of GE by 2008, I'd imagine Scottish tuition will remain free for at least another decade.
Who pays it up front? Answer : no one
@@roryhand6650 It wasn't always that way, when they were first introduced you received a bill from your university, you weren't allowed to enrol the following year unless the fees were paid. They had to change the model because a lot of students refused to pay the fees.
An absolute disgrace. As a minimum it should be interest free.
These loans won’t ever be paid off
(these loans won't ever be paid off) But that's a good thing, no? Someone who never 'wins it big' will spend none of the £9250.
Edit for clarification in brackets. Also edit: it should be interest free though.
Except they lose 9% of their income above the threshold for most of their working life.
Or at the rate the government pays for its debt (ie substantially lower).
@@omegonchrisin UK, but not abroad 😊
Why is that then? 40% of English young people choose to go to uni for “the experience”. They leave with a piece of paper and a load of debts. They have to get a poor paying job otherwise they have to pay the loan back. While earning their degree, they pay no income tax, NI or Council Tax for 3 years. Nobody should pay for your bad decisions.
Greetings from Germany, near Cologne. Congratulations to the UK because these young people are amazing. Transparent arguments, able to analyze the situation and well informed. I do hope they can look forward to having a great future.
Before universities were a cash cow they didn't have this issue.
Now it's a saturated avenue. Most degrees are not worth the paper they're printed on.
@@navboi12it is cos we are the most educated generation ever. But the issue is, all the power in the country is in the hands of the elderly and older wealthier generations who will rather watch the young die than share wealth and prosperity
Given that many junior lecturers are on zero hour contracts and that a lot of classes are done by them and not senior professors. The question is where is the money being spent in Universities in the UK. I think there's a lot of administrative and management responsibilities on the higher cost burden.
A lot gets spent on research. Grants, doctoral funds etc. Also, professors, senior lecturers, deans, and department heads get RIDICULOUS salaries. They do that because of competition for the best talent which in turn works out for research they can complete by having the best experts in their field employed and doing it for that university.
Unfortunately UK graduate opportunities have been in decline since 2008. In the US, student debt is large but it is also very highly correlated with earnings potential. In the UK this is no longer the case, more and more graduates with fewer opportunities which is a large opportunity cost to the economy.
My girlfriend is a pharmacist, over £70,000 of student debt and rising.. we recently decided to salary sacrifice her wage down to the loan repayment threshold, and pay it into her pension. She doesnt pay any student loan now. Fuck 'em.
Absolute genius.
Lol I haven't graduated yet but that is exactly my plan. Just not sure if that will enough for all my expenses. I feel for newer students who have to repay for 40 years as this method will probably still fuck them over towards the end of the repayments.
Hope you own a house as if you need a mortgage may be problematic.
That works now, but what if she wants/need more money in the future? You’re just accruing additional interest that’ll be a bigger problem later. She wont want to earn that salary indefinitely.
@mikeoxlong5928 I don't know if you're aware, but student loan debt in the UK is wiped after 30 years. So most students will never actually pay off their student loans, they will just pay the 9% repayment above an income threshold until the 30 year mark.
So, if we need more money later, we will go back to paying the student loan tax and reduce pension contributions.
You know what universities could start selling the property they own, stop building vanity projects, reduce non-teaching staff, and 100 other things before they ask for more money from students. The universities seems to think they are already making tough choices they haven't even really started.
I couldn’t agree with you more
The vanity projects were intended (in some cases delusional) to fund themselves in the long run. Pre-COVID, the idea was that new buildings would draw-in international students whose high fees subsidise domestic attendance. Post-COVID though that idea face-planted
or and hear me out hear how about we just come together as a nation and actually fund education in the UK so people lives are not ruined for the crime of learning.
@@flucazade I'm all for getting more direct funding to unis but removing tuition fees fully would cost c. £12B / year and tbh I can think of better ways to spend that money in education
@@PJH13Reverse the 5% cut in corporation tax
There's £15billion+, job done.
it's sad that these bright young minds won't be given the same opportunities as older generations, simply because the older generations chose brexit and are determined to protect their wealth. the taxpayer cannot support HE entirely - there must be a serious look at how to protect the educational institutions by balancing the tax burden.
In fairness to people from older generations, far fewer went to university which is why the govt. could afford to keep it free. This problem stems from 1998 when they started prioritising increased enrolment and introduced fixed fees to fund it. Universities now have to fund themselves by subsidising the courses that are expensive to teach (STEM) with ones that are cheaper (humanities) - that forces them to grow humanities courses and constrict the STEM ones, even though the latter have far better career prospects. It's an economically illiterate strategy that's really tricky to unpick
Do you have any idea what you're talking about? University places used to be CAPPED. Older generations DIDN'T GO TO UNIVERSITY. When Labour introduced fees and removed the cap, they didn't create better outcomes for bright young people, they created a ponzi scheme. What Brexit has to do with any of this is beyond me.
@@PJH13 "far fewer went to university which is why the govt. could afford to keep it free." - Scotland says hi. Fees for a Scottish student are £1820 per year and are in almost all cases covered by the government plus there is the additional income from the block grant etc. Not to say that the Universities in Scotland don't have their own financial issues (they definitely do) but the student fee debt bubble in England is catastrophically bad and only going to get worse.
@@spikeychris Hey, I agree there were better ways to fund them and to limit cost increases. There are a features of Scotland's unis that England or Wales simply couldn't replicate though - e.g. only 1/4 of students at Edinburgh are Scottish, the rest pay higher fees
I'm fairly sure the stats show that most older people who went to university didn't vote for brexit.
I certainly didn't and I'm old enough to have had no fees and a student grant from the council, wahay!
So I studied a degree from 2005 - 2008. Fees were only 1,200 a year and my loan was only 2,500. Even with that I have only paid off my fees in 2023 having worked in jobs paying above the national average salary for over a decade. Increasing to 15k is a joke and I simply could not considered University at that cost.
But it was a choice not to pay it off sooner.
@@robertmccann9631 not considering university is the point, they want a less informed electorate who will do menial jobs that pay less and look up to the establishment class "cause they know words n stuff" completely regressive but entirely predictable from Starmer's Labour
@@flucazadeI would like to know what jobs you would consider to be menial ? In my opinion for most people going to university is a waste of time and money. Getting into tens of thousands of pounds of debt to get an average paid administrative position that will soon be redundant due to AI seems crazy
@@Medoingstuff82 I consider menial jobs to be menial, it's just a word it literally means lower skilled and lacking prestige. There's no shame in menial work I've done many menial jobs in lifetime. But the word just means what it means. You're right education isn't something to be admired or worked towards because of AI, let us all stop learning whether for personal or professional reasons because of it.
Honestly as a guy it's much easier because the government has invested a lot in apprenticeships; a lot of which can be fruitful careers for men (like electrician, or development which I did). In my experience, I don't see them being options for women because the lack of "inclusivity" would make them struggle to be the best version of themselves.
Considering the quality of the education you receive, this price is a total joke.
First, the house prices, and now this. The UK is well and truly finished
UK universities had opposed the bill in the House of Commons for granting fewer graduate visas, and now, with fewer international students footing the bill, it's the local students who are to cover the expenses. This makes even more sense when you consider how much international students pay to universities, especially for master's level courses!
About the nursing degrees (just completed mine a year ago in children's nursing).
Even though there is a bursary (and incentive for specifically mental health nursing, if you have children etc.) you still need to pay the £9250/year and take out the maintenance loan.
The bursary is an aid to help with general living/petrol/public transport/accommodation for the up to 3 hour journeys they are allowed to send you to (each way) for your unpaid full time placements (2,200 hours unpaid work over 3 years) which on top of you have to exams, assignments and dissertation in 3rd year whilst working this.
So I can't imagine why anyone would want to do it for £15,000/year.
Don’t be fooled. There is a rhyme and a reason to this.
The U.K. economy is declining , falling GDP , high interests rates and sticky inflation.
This country is highly dependent on the service and hospitality sector.
The government need people is low paid jobs, and if they restrict access to higher education, the youth will have no choice but to take up these roles.
It’s sad to see such a dire situation. I was one of the lucky ones, just paid off my student loan, ( it only took 15yrs ).
This is what I think, keep the young poor. It might work in the short term, but there will be a whole generation even couple of generations who will be poor and the rich will be ultra rich because of accumulated wealth and they just pass it down to family keeping society two tiers rather than 3 like it used to be.
It’s not just that. 40% of young people aged 18-21+ choose to go to university during which time they pay no income tax, NI or council tax. The government want to get money into their coffers for their pet projects & because they’re being directed to do so by their very rich donors. The Labour Party just used young people for votes.
This compounds the problems young people already face of globalisation and tech eg I’m a UK employer & want to hire a new graduate who can work from home. Do I pick a British grad who wants £20K, a Hungarian who’ll take £15K or a Ghanaian who’s happy with £10K? Perhaps I’ll wait for robotics or AI to kick in and pay £0?
If I were a young British person I’d look around & see if there are better prospects abroad.
Average student debt at graduation is £45k. They then need to earn over £27k before they start paying back and even then it’s only 6% on everything above £27k. At the same time the interest on the debt is 4.6% so every year the debt goes up by £2k (compounding). So in order to even begin to start beating the increase the person would need to earn to earn £34500 ABOVE the £27k threshold. So they would need to earn at least £61500 to even start paying off the loan.
Which would almost never happen. You may reach that point eventually in your career but by that point your load would be bloated beyond all reasonable proportion.
In addition to the crazy prices, the salaries the jobs you could even get off the back of them won't help to pay them off.
Fees up + salaries frozen = great job!
Exactly this.
My God these two parties are laughing at the people.
It's just like Democrats and Republicans here in America
It truly is a Uniparty on both sides of the pond. They give us the theater of "cultural differences" to trick us into believing that we have choices, that democracy still exists. We don't, and it doesn't; we all live under a fascist corporate oligarchy.
they are politicians aka rulers they are ment to laugh at people, people are the workers
Crazy. Everyone quick keep voting for Labour I'm sure that'll fix it.
@@alphasword5541 we need to move towards proportional representation somehow. this decrepit system is a nightmare
You do know its the Uni’s asking to increase the fee, not government?
As a course leader in a London University, I think Student loans should be interest free and the government should make up the difference to a realistic cost per student to university. So 9k loan plus 6k top up from govt.
And the 2 year student visa doesn’t count towards your 5 years to get citizenship and they increased the work visa sponsorship salary threshold from 27k to 38.7k. Companies won’t offer students nearly 40k for entry level jobs. So why would you bother studying here
not true in all countries, eg Germany just changed the rules to include years on a student visa
@@johnc_ this is a video talking about the UK...
You don't pay a penny back til you start earning above the threshold! I went in 2011 and barely pay the interest, it's just an extra bit of tax that's taken off your income after uni. If uni will help you, don't let the fees stop you. But absolutely investigate other options that might help you more. 😊
They changed the threshold at which you pay back your debt starting in september 2023 and increased the interest on them
If you're earning below the threshold that means your degree is useless on the job market.
Some people make a career in a field unrelated to the degree and have to pay a debt for the rest of their life and kick themselves. I'd think twice.
All that to work in a Call Centre
And learn that men can suddenly become women.
You think a King's degree leads you to a call centre job?
Try to become a doctor, lawyer or engineer without a degree
@@p.1019 i guess it depends in what, if its something like gender studies then youd be lucky to work in a call center
@@p.1019 king's isn't even good
Students supposed to be okay with going to university for £15,000 a year and then getting on their first graduate salary of... £15,000 a year 💀 (obviously this is a joke... but not too far off)
I would solve this problem by just moving away and never coming back here.
i did
@@failedrockstarbye.
@Believe-you-me- you're embarrassing man 😂
@@andrewgoodbody2121 you moving too? Or just here to moan……
@@failedrockstar Where are you, if you don't mind me asking? Did you get a degree in this other place?
That body represents Vice Chancellors. Who could not be more out of touch… lecturers and support staff are not to blame for this, but they will suffer because angry students will blame them.
I dunno. When all our lecturers went on strike most of my course was a hundred percent on their side and realised the senate house elites were a different gang, the ones actually responsible for the strike by denying our teachers the pension they are owed
I feel so sorry for young people, if I hadn’t grown up when I did University would’ve been completely out of reach for me. I grew up on a council estate and was the first person in my family to go to university, it opened up the world for me. Tuition was free and I got a big enough maintenance grant to cover my accommodation, without that financial support I would’ve had no chance. Upward mobility has gone.
The population was far less at that time and fewer people went to university. When you started work, you did not face the challenges of globalisation and advances in tech of today which have reduced the number of people needed for a job & decimated salaries.
There’s too many Universities offering too many subjects. The emphasis on tertiary education is clearly to keep lower performing universities afloat.
Not only that, either the courses are pointless or the tutors are useless.
Yup, and the incentive for the unis are to get students to do the cheapest courses to teach (as the fees are the same no matter what) and unsurprisingly those ones have worse employment prospects
That's why learning trades is a better option; you earn and do not accrue wealth in the short run, and you earn more as an electrician/plumber/bricklayer etc.
I think in the future, graduate courses will be done online at a cheaper cost.
@@webreathefootball663 Yh the problem is all the funding is skewed to push people to go to uni. If you get into a rubbish uni course your living expenses are paid for the next 3+ years and you'll probably never have to pay them back. If go down an apprenticeship you and the company get almost zero money from the govt. - until that imbalance is at least partially corrected this problem will remain
Every few years Uni fees go up and people like Martin Lewis go on TV and basically say it's no big deal. Bullsh*t. £15,000 a year is a massive gamble and a long term debt. Many students will be adding on rent, bills, food, books etc to that figure. Bare in mind also, the interest rate on student debt has crept up over time. Your 3 year degree will be common as muck by the time you get through and your total debt will be the best part of £100k - unless you're living at home with all your expenses paid.
They keep getting massive above-inflation increases, but it just ends up wasted on underutilised construction projects and upper management pay increases.
If they'd increased the £3000 from 2004 in line with inflation, it would cost £5262 now. Even the £9000 from 2012 in line with inflation would only come to £12579.
They have near enough doubled the cost from 2004 to 2024, even with inflation accounted for, yet they still want more money.
That's not really a full picture though as they used to receive a lot of their funding in the form of a grant from the government. That's gone down so the increase in fees doesn't really mean more $ for the unis themselves. It's true that some of them are very wasteful but it's not often the ones you'd think of: the main problem isn't underutilised buildings, it's courses that don't lead to jobs - because of the loan system the government spends the most on the worst performing unis as their grads make the least loan repayments
Tripled the cost!
lol international students might want a word...
You can go to your own universities though
If you study in Scotland it is free, if you live in Scotland three years before your course starts.
So poor people are paying for middle class people.
@@Robert-cu9bm Are you high?
@@nicknelson4895
Do poor people pay taxes?... Are they going to uni?.
Nothing is free it's paid for by someone, so they're paying for the middle class to go to uni.
Wouldn't it make sense to make employers pay a percentage of income for all jobs that require a degree to fund universities similar to national insurance?
The other way I could see it working is to swap the debt to a graduate tax that each UK citizen agree's to pay on all income, even if they leave the UK.
The interest is so high on student debt because of how few will pay it off and the financialization of it.
The UKs universities are one of our few remaining comparative advantages as a country and their mismanagement is shambolic.
This is far too sensible and helpful to people for governments to consider.
Student debt is technically already deferred to taxpayers.
That's essentially what we do though, albeit in a different guise. The loan system is essentially a tax on jobs that require a degree because it only kicks in at higher income levels. The problem is this has no effect on the unis some of whom run poor quality, cheap to run courses; because they get paid the same no matter what happens to the grads afterwards
There's a crisis in our healthcare system where we don't have enough doctors and nurses but we now want to make it more expensive for young people to pursue those career paths...
Wes Streeting, Health Minister, has plans to technologically innovate the NHS. One of Labour’s major donors is in the private healthcare sector so it won’t be long before robots do routine operations like a car assembly plant, diagnostics will be done by a person at home on a laptop, some operations will be done with lasers and nurses & care workers jobs will be done by co-workers. This will be sold to NHS as staff as making their lives easier but will lead to job losses eventually.
The only way out is letting the market decide and having many unis just go bankrupt or merge so that then the gov has a viable reason to make it free and the gov will have the funding at least for then
Apprenticeship is the way to go.
yep, but each good apprenticeship position (f.e higher apprenticeship in any sort of engineering ) have hundreds of applications per place so it's more of a 'lottery ticket win' for few rather than widely available option for masses
@@ewelinakow doing something is better then not doing anything at all. It's no different than saying, why apply for a job when 100s has already, or will be applying. Rather stay at home and be a bum.
@@htmoh8115 not really because apprenticeships are portrait as widely available alternative to university which they are not. The are elite, very scarce options for a very few. It's like claiming that everyone can get a CEO job as long as they apply because it is an alternative position to a standard office worker.
I was in first year of my a-levels when the government increased tuition fees to 9k per year. Because of that I didn't go uni, instead I did a level 3 btec apprenticeship which then allowed me to do a degree apprenticeship. Best decision I made. Unfortunately all my cousins who are a few years younger have massive debts and struggling to find work.
9.25k a year was ridiculous.. 15k is extortionate.
Its not as if the quality of the teaching increases..
If students cannot pay off the debts now, why are they worried if it increases as the government will be paying the remaining part of the bill and not them. The increase will only affect the students who pay it off early with higher paying jobs. Remember, the debt is written off after 30 years, at the time of writing.
It’s 40 years as of Sep 2024
Uni fees just transfered higher education funding from the Government to individuals. Higher Education should and could be part of an Industrial and work strategy but like everything it's a gravy train
Medical staff eg nurses are paying £9k per annum to work on wards!
It is all utterly disfunctional x
As a student nurse it’s demoralising and most of us feel very exploited. PLUS we’re having to work full time for free/paying for it AND having to work an actual part time job on top as the loan isn’t enough (in London anyway)
A waste of money when it was £3k a year. After my first job, no employer ever asked to see my degree and I learned nothing at university I couldn't have learned out of a book or on the job.
What industry?
Another truth that people won’t like is that most people don’t need to go to university - but we treat people as failures unless they go, it’s also a fault of our society and culture
Damn!!! International students be sipping their tea
Me using every tick in the book to dodge the slc
I also propose an upfront payment at a percentage of the yearly tuition fee, the percentage rate of which should be dependent on household income.
What's the point of raising the fee? Really? No one is going to pay off their student loans and then after 30 years, the debt gets wiped off. Is government just delaying the problem for 30 years down the line?
It’s 40yrs now
We already means test maintenance loans, why not means test tuition fees? Incentivize working class students, subsidise with international and well-off home students paying more
It is means tested in a way though. How much you actually repay of the loan and the interest rate is entirely based on your earnings. I'm not saying I like the system but it achieves what you're suggesting
@@PJH13 The interest rate is based on the inflation indexes, not your income.
I like this idea, but one of the problems is that rich people can already pay their university fees up front, and avoid the graduate tax altogether, if your parents have already paid private school fees of £8k per term or whatever then £15k a year for uni sounds like a bargain to them. It already entrenches generational wealth, even if you graduate with a great degree and get a job with excellent pay you’re still 9% of your paycheck poorer than your colleague whose parents paid up front, and that could continue your entire working life.
@@omegonchris It's based on both for anyone who borrowed 2012-2023. It was RPI + up-to 3% depending on your income - luckily they just got rid of the second part
I hope that people start to leave to go to other countries more, in Germany university is basically free for everyone, in Sweden its free after a year of residence. If Britain is going to treat people so badly I hope they leave and find a better life in other countries
England and Wales, not Britain. Northern Ireland is less expensive, Scotland is free.
Brexit means we're trapped here unfortunately 😢
I was the last year to get my fees paid for me. 1997-2001 back then, it was three thousand pounds a year. I did an MA, paying for it myself. If the fees were as high as they are now, I'd have a great deal of hesitation about doing a degree. It's worth remembering that now a lot of jobs require a degree that didn't back when I graduated in 2001. We also need a lot of people qualified to graduate level this is not the way to get them.
Investing in alternate income streams should be the top priority for everyone right now. especially given the global economic crisis we are currently experiencing. stocks, gold, silver, and virtual currencies are still attractive investments at the moment.
You are absolutely right 💯
Am looking for something to venture into on a short term basis, I really need to create an alternate source of income, what do you think I should be buying?
Cryptocurrency investment, but you will need a professional guide on that.
Cryptocurrency/stock investment, but you will need a professional guide on that.
Facebook 👇
Most students with 9k fees won’t pay it off anyway let alone 15k
I hope all these young people coming through abandon the Tory and Labour parties. Only way anything might actually change
4:10
Just do the nursing apprenticeship for nursing..
This is the fee the universities are calling for. They don’t want UK students.
The tax burden in high for lower earning people, very rich people pay basically no tax
It's a debt that isn't a debt. It's a tax that depends on your income. As long as that condition stays the same you only pay what you can afford...
Unless they change the law, lowering the threshold and increasing your repayments after you've already taken out the loans
The loans actually punnish middle class people the most, if you are from a wealthy background and likely to pay of the debt you can pay it before the intrest accumilates and compounds, if you are on a low income you will likely never even dent it but if you are from a middle income background you wont have enough to pay it off before the compound intrest does its work but will have enough to be over the repayment threshold so that a substantial amount will be payed back.
You make a good point, but class no longer equals income. There are the elite top 5% of earners and then there is everyone else…
Incentivise businesses to pay for the education, remove the government loans. It'll self manage the supply and demand of degrees and specialisation of workers whilst providing students/employees and businesses the opportunity to connect earlier in their career development. Tuition fees can be scrapped to compete on prices. The businesses will make an assessment on what is better value for money and fund the training in the most cost efficient way. I went to university and only a couple topics were relevant to my employment upon graduation, if we were to only be trained on the relevant and necessary topics, we'd all save ourselves some time and money. In addition, I no longer work in the sector of my degree even less valuable to myself. After you have a handful of years of experience, your degree is irrelevant.
The moment that student loans are not funded by the public purse is the moment that the true value of a degree is exposed.
Like it used to be
The government should put more money into real apprenticeships
Labour should be pushing for more graduates. The more educated you are the more likely you are not to vote tory...
Except reality is in stark contrast to your claim, in aggregate the least educated areas of the UK still vote labour.. also one of the issues people are discussing as part of the national conversation with the education system and institutions within is that they are all liberal left wing types, that's not necessarily a bad thing but when you have 80-90% of professors being of the same political bent then you have to ask yourself is the actual reason because they're educated, or is there an influence from being in those institutions.
@@chester6343 so why are 80-90% of professors all "liberal left wing types" surely its not because they are educated
What is 'being educated'? Is getting a degree the only way of 'being educated'?
@@chester6343 They are workers in the public sector of course they don't vote Tory and have the same political alignment they are part of the same demographic
4:44 Spot on. Companies benefit from the public funding their employee training. Either contribute to the courses or run them yourselves!
I make a top 20% salary and with the 7.3% (!) Interest on my (currently) 60k+ the mandatpry payments don't even cover half of interest
So I guess graduate tax it is
Very smart move since they are not longer receiving more foreigners students as they used to be it makes sense to increase the price for local students
It's not really a loan though, it's more of a graduate tax that you accept for getting financial support for your education.
If I never pay off the loan before it's wiped, it wouldn't matter if I had £9, £9,000, or £90,000 debt left. It would only affect the most successful students.
Did this guy just say that there’s a significant decrease in international students?.. it feels like there’s nothing BUT international students at uni nowadays
Do students actually pay off all the debts or just a fraction of it 🤔 from what I've seen ie from The Russell Group lots of shinny new buildings, Nottingham is like studentsville so many new developments for student accommodation it's obviously where they are spending the money 💰 and VC salaries. I wouldn't be very happy if I am asked to pay more tax to bail out any university.
Just a shet ton of white elephant projects
It's also 7% interest so the interest will out strip any repayments you make.
A lot of white collar jobs used to be available to A-level students. I think thats the direction we should go towards. Govenrment should incentivize companeis ro hire people st age of 18. Then you are earning and not piling up the debt
The reaosn for the sdip in international students studying in the UK is the idiotic rule change which now prevents the student from bringing their immediate family with them. That and the VISA changes which cost a lot of money and prevents the student from staying and woprking in the UK after the course has concluded. This is all on top of the cost of tuition and living in the UK.
This is disgusting. The universities have to understand that they deter people from studying with them and their income will fall even lower.
The university near me has spent money over the years on new buildings that they are now considering closing. And why are Chancellors and management paid so much when those at the bottom are paid minimum wage and are usually the ones to lose their jobs when cuts happen?
I know a Graduate tax has been mentioned in the past and that would be much lower than these student loans.
**Nurses and Doctors have to pay tuition fees as well. These are no longer paid by the NHS.
It’s just so pointless, the money will just never come back, they won’t get any money back when it isn’t there.
The problem is the interest rate on the loans. My repayments are closing on £300 per month and the only loan I will ever have a chance of clearing is the postgraduate loan as it is only 1 year. The interest rate is on average far exceeding inflation over a 10 year period. It should be capped at 2% at most.
I only watched the start of the video, but i dont think this has any effect on most uni students. We're not going to pay off the loans as it is already, so increasing tuition fees will only act to increase the governments spending when handing out the loans. I believe the recent changes to the structure of repayments (40 years repayment, lower starting band) could have been put in place in order to afford the increased cost to the government.
burdening people with 40 years a lifetime of additional income tax before they even star work great
as a previous member of university staff, the fee needs to go up massively our universities are literally crumbling and the staff are so underpaid its a joke
And guess who dropped his pledge on university tuition fee? Hint: It rhymes with "Starver."
I mean ... no it doesn't. They're spelt similarly, but they don't rhyme.
@@omegonchris Exactly, he would know that if he had spent £50,000 more on his education.
If the political will was there there would not be a tuition fee and students would be given a grant. Once upon a time, many decades ago the student grant was enough to cover fees, accommodation, travel, books, equipment, food and beer.
That was before 50% of people went and studied pointless shit
For a much smaller number of students, though. The issue we've got is universities being asked to fund their ever more expensive courses (staff still need a pay rise every year) but never increase the amount of money they charge to students. It's basically unsustainable. But then so is ever-increasing tuition fees. So we either fund it out of taxation, accept that only rich people can afford to go, force people to take out loans they will never pay off (which future generations will have to clear), continue to increase international students, or reduce the number of students we educate in universities.
@@joepiekl we don't need to reduce the numbers if: we charge different amounts for different courses and allow employers to sponsor students to study courses
@@ster2600 'pointless shit' is a ridiculous assessment.
Specialisms are important. Humanities are crucial for anyone that works at the level of improving society in any way.
@@dominicparker6124 I would say STEM has improved society far more...
I'm a Uni student and i wouldnt mind an increase of 1k or 2k on tuition, But 4k and above just seems unrealistic and would price me out....
Especially since rent is high and im trying to get my drivers license done on top of that which costs even more money, also the fact that insurance for 1st time drivers is too expensive aswell sitting at £4k
Why would you mind any kind of increase ……. ?
@@danieia4029 no, like I said before as long as its reasonable. Because from my perspective it is kind of a fact that tuition fees have not kept up with inflation and instead stayed at the same amount so it kinda makes sense to give it a tiny bump
@@Maksimszz It does not make sense. They were bumped from 3k to 9k+. Let’s not advocate for increases.
@danieia4029 over time they were bumped due to inflation which is how it should be, but in recent years it's been kept at 9250 despite all of the inflation and etc. Going on.
I get we all want tuition fees to stay the same but as an accounting student even I know that this is just unsustainable and something needs to be done.
This becomes increasingly concerning when you look at the facts, there are less international students coming to study (probs due to visa changes) and now universities are unable to make a profit on domestic students(they actually lose money on us). It would be nice if they somehow manage to breakeven with domestic students
At the end of it, you’ll be short of £45000 and above in your pocket and a job that pays less than that. Hats off to progress in UK!!
Brexit and the Tory parties immigration policy is what has caused this 🙄
as much as it is bad to hike fees, this country needs to decide which degrees and unis are actually worth going to as most are useless, people forget that german unis are free but lots of people go into trade in their school system there as opposed to the uk
There are too many university courses that don’t need to exist and too many universities. Raise tuition to 20k. Offer a government subsidy on the courses we ACTUALLY need and have shortages in so the fee is more like 12-15k.
The big change is the interest rate we pay! That’s criminal….. should be inline with housing markets no reason for it to be where it currently is
Be like Scotland, strike on campus for free tuition.
Kcl student here. I advise people that if you seriously don’t need a degree for what you want, don’t get it. I paid the 9 grand each year and I felt like I didn’t get my money (or loan’s) worth. I should also add that the opportunities in first world countries are getting smaller, the best ypthing you could do is degree apprenticeship or apprenticeship. Or if you are an adventurer at heart, get a russel group uni degree and go to a developing country because they look up to those unis
The solution, of course, is to have EMPLOYERS pay the interest.
This would mean that as a graduate gains experience, they become a cheaper employee, offsetting the cost of raising their salary in line with their experience.
We need to stop calling this a loan or debt. It isn't, it is a graduate tax.
The interest rates on them are gross and as a result most will never pay them off until they are removed after 40 years. This does unfairly hurt low earners as really high earners pay them off quickly, lower earners are stuck paying a small amount for a longer time and pay more overall. Increasing tuition fees and not changing the repayment structure doesn't really change anything except for a small number of people who under £9250 a year would have paid it off before 40 years and no longer will. Sure the total number on the loan is more depressing but it already is.
Also I don't think enough blame is applied to the previous government for this situation. Their obsession with overall migration numbers and including student numbers within that was lunacy. To try and appeal to morons who think "stopping the boats" had anything to do with net migration numbers they actively made the UK less attractive to international students. It is no secret that International Students paying extortionate fees was what was keeping Universities afloat so this problem was always going to happen.
The student loan book was sold off to a private company. That should never ever have been allowed. The fact that it starts to be paid off when earnings are £26,000 is a disgrace. Why do employers treat graduates as if they are school leavers. It’s a pittance. Who can even buy a property on a salary that low?
Because nowadays most school leavers do go to Uni so it doesn't have the rarity value it used to. This matters less if they've picked up useful skills but too many courses don't give them that - why would I pay more for a 21 year old who's spent the last 3 years studying creative writing than someone who's spent the last 3 years working and learning their job?
The French student who talked about £800 for a Visa and £2k for the NHS highlights the problem . Before Brexit, EU undergraduate students across the bloc paid whatever domestic students paid, ranging from nothing in Scotland to £9,250 a year in England. They must now pay fees paid by non-EU students, which, according to Study UK and the British Council, can vary from £11,400 to £38,000 a year.
Why tax our childred .
gov has immigrants to feed
because the establishment doesn't think poor children matter.
"them plebs can work at primark" etc
Commodification of education will be seen by later generations as a moral crime. The idea that having three years to be consumed by something, to be stimulated, to have the oppertunity to develop yourself and follow your interests without worrying about a job etc - this should be for its own sake, to grow as a person. But now the mindset behind it all is "an employer will like this on my CV, and it cost me £45,000". We are so cooked.
Sheffield, Nottingham Bristol each have two universities. Each should be forced to combine honestly.
Should make it so 65% of students are from the UK and Northern Ireland also.
They really are making the youth jump through massive hoops these days and wonder why nobody wants to work.
Go to uni to more than likely work in a supermarket or a building site
Schools with class sizes of 30 cost the state £5.8k per pupil. So it could be feasible to have teaching only universities with large class sizes which are chraper. But then we are back to a two tier system like the old polys.
£6,000 more per student?! For what? Energy bills haven't been hiked to that rate, and the lecturers are clearly not receiving this rise due to strikes this year. So where on earth is this extra hike going to???
If the universities are complaining, then cut the degrees that are statistically likely to end graduates in debt, e.g., fine arts, fashion, fitness coaching...etc, as these kind of education comes from experience, not academia. They would save a lot of money from not putting these kind of degrees (i.e. having lecturers, administrators, facilities...etc).
To the people saying that these loans will never be repaid, I don’t think the point is for it to be repaid (since plan 2 most will never be repaid). This is so the government can say it’s reducing costs (whilst also paying more in the long run) let’s not forget this is the party of PFI where we got £12bn and will end up paying £82bn back all so that years national accounts would look better…
University SHOULD be for the most academically gifted, it should be free for poorer students, ranging to bloody expensive for wealthy people, quite a few low grade universities would either close or be repurposed. It should guarantee you, within reason, access to the upper echelons of professional life.
However, university level education should be available via apprenticeship style programs, these of course would for subjects with practical applications, there should be clear and easy path from learning basic trades to advanced apprenticeships, for those that discover a good aptitude to learning
Online education to diploma level should be either free or very cheap, for people wishing to change careers, or just for continuing education purposes.
30 years ago university was free and you got a grant to boot. Student accommodation also didn't cost the earth. I feel sorry for people going to university since 2011. However, I do think this will all change one day in the future and it will become free again to go to university. Students over the last 13 years got a very rotten deal.
It's not out of reach for anyone, the loan repayments depend on future income. I'm final year PhD now and fees haven't increased since I started undergraduate, but inflation has skyrocketed.