UK students now shoulder 84% of degree costs as government funding falls

A consultancy study commissioned by Universities UK indicates that the proportion of undergraduate tuition covered by the state in England has fallen sharply, from 48% in the 2012-13 academic year to an estimated 16% for 2024-25. This means students and graduates are now expected to fund 84% of their degrees, a rise from 52% a decade earlier. The report defines government support as direct teaching grants plus the value of loan write-offs after 30-40 years.

The data surface as Education Secretary Lucy Powell faces calls to reverse Labour’s Plan 2 loan changes. Universities UK chief executive Vivienne Stern and NUS vice-president Lewis Wilson both argued the burden has shifted unfairly onto graduates, urging a funding reset. An OECD study released the same day also highlighted the UK’s steep decline in per-student state spending compared with most other nations.