NUS opposes many of the proposals: you can read our response here.

This article intends to clarify the current nature of the proposals and answer some frequently asked questions about the proposals and how they would impact on certain students if brought in.

Note that the proposals are still to be debated by Parliament, and may change significantly before being approved.  Moreover, much of the detail of the proposals is still to be determined and so it isn't yet possible to say exactly what they mean in every situation.

We will keep this page updated as further information becomes available.

What is being proposed

The proposals include:

• setting a cap on university tuition fees of £9,000 per year (compared with £3,290 per year at present).  Fee levels above £6,000 per year will require the institution concerned to meet conditions related to fair access;
• providing student loans up to the value of the fee charged to all eligible students, with such loans being extended to part-time students studying at an intensity of at least one-third (in other words, courses that take no more than three times the length of the equivalent full-time course);
• increasing the maintenance grant to £3,250 per year for students with household incomes below £25,000 per year, with a partial grants available where household income is lower than £42,000;
• continuing to provide loans for living costs to all eligible students;
• increasing the earnings threshold where student loan repayments commence following graduation to incomes of £21,000 per year before tax (currently it is £15,000 per year);
• increasing the interest rate on student loans for those earning above that threshold, which would be at maximum three per cent above inflation for those on incomes of £41,000 per year before tax.

The Government is also consulting on proposals to impose a penalty on those who seek to repay their loans.

Frequently asked questions

When will these proposals take effect?

The intention is for the higher fee rates to take effect from the 2012/13 academic year.  This is still to be confirmed.

I am currently in higher education, or I intend to start my course in 2011/12.  Will I be affected?

Continuing students in 2012/13 will not have to move on to the new system, and should continue to pay lower fees until they complete or otherwise leave their course.  If you wish to take some time out of the course and return later to education, seek advice from your students' union or university advice centre about the consequences for your finances.

The repayment threshold for current student loan borrowers is £15,000.  It is not clear whether the Government intends to increase the threshold to £21,000 for all borrowers or have separate thresholds.

I live in Scotland, Wales or Northern Ireland, how will this affect me?

The changes to student support will only affect students living in England at the time of application.  If you wish to come to study in England after any changes are brought in, this would mean you could be paying higher fees.  The devolved administrations have yet to say how they would intend to fund fees, though the indications are they would seek to provide loans to cover the cost.

The Welsh Assembly has announced that students living in Wales at the time of application will not pay higher fees than they do at present (other than increases in line with inflation).  This will apply whether they study in Wales or elsewhere in the UK. 

Whether the increases in fees in England will mean increases in Northern Ireland or their introduction in Scotland will depend on the final nature of the proposals and how the administrations choose to respond. 

I live in England, but I want to study in Scotland, Wales or Northern Ireland, how will this affect me?

The changes to student support are expected to apply to all English students, regardless of where they study.  Fee policy will still be set by the devolved administrations and so fees may therefore be lower than in England – however, this is still to be determined. 

In Wales, the Welsh Assembly has indicated that students from elsewhere in the UK who wish to study in Wales will pay up to £9,000. 

Note that in Scotland, non-Scottish students pay a fee whereas Scottish students do not, so there is a precedent for different rules to apply. 

I want to secure a place in 2011/12 but then defer entry to 2012/13.  Will I pay higher fees?

At present, the indications are that students deferring entry to 2012/13 will pay higher fees – this is set out by the Government here. 

To be absolutely clear: you will not be able to avoid higher fees if you defer.

This is in contrast to the previous two occasions the fee system has changed, in 1998 and 2006, when deferring students were funded under the previous system.

I am a mature student, how will this affect me?

There is no indication that the Government intends to treat mature students any differently, so the measures outlined above will apply to all students regardless of age.  Mature students have had the same package of support in England as younger students since 1998.

The extension of fee loans to part-time students will have particular relevance to mature students as most part-time students are mature.

We will add further questions to this list as they arise.  If you would like to have a question answered please email welfare@nus.org.uk