University tuition fees ‘could hit £10,500 a year’ under new government plans

Whitehall source says current university system is ‘unsustainable’, according to reports

Tuition fees for home students in England have been capped at £9,250 since 2017 (PA)

University tuition fees will rise with inflation, hitting £10,500 in the next five years, it has been reported.

The government is drawing up plans which will see university tuition fees, which have been frozen since 2017, rise by 13.5 per cent over the next five years according to The Times.

The fees will rise with inflation, however, ministers will reportedly introduce maintenance grants of £3,500, which were abolished under the Conservative government.

A Whitehall source told The Times: “The current system is unsustainable and we need to raise tuition fees. But at the same time, we need to look at maintenance grants to help those who can least afford it.”

Bridget Phillipson, the education secretary, has warned the value of the current £9,250-a-year tuition fee has been “eroded” because it has not risen in a “very long time”.

She has said the system is the “worst of all worlds” and that she wants to change it as soon as possible.

Sir Keir Starmer announced in May plans to abandon his pledge to abolish tuition fees in favour of tackling NHS waiting lists.

At the time he told BBC Radio 4: “Looking at the costing for tuition fees or abolishing them, looking at the money we need to put into the NHS, I’ve taken the decision that we can’t do both. That’s a difficult decision, I’ll accept that.”

Earlier this month Universities UK (UUK) said government grants and fees have not kept pace with rising costs, causing budget deficits.

UUK suggested that if investment in teaching students had kept up with inflation, funding per student would be in the region of £12,000-£13,000.

A Department for Education spokesperson said: “We believe that every young person, regardless of their background, should have the opportunity to attend university. That’s why we are dedicated to creating a sustainable higher education funding system that supports students, expands opportunities, and upholds the excellence of our world-leading universities.

“The government is committed to reviewing the higher education funding system to deliver for our economy, for universities, and for students and we will be announcing further details in due course.”