Tuition fees to be frozen in battle for young voters

UNIVERSITIES could be barred from imposing the maximum tuition fee on all their courses under conservative plans to appeal to students.

Theresa May announced a freeze in charges yesterday and a higher earnings threshold at which graduates have to start repaying their loans.

But a senior Government source said the Prime Minister was also concerned that universities charge the same for every degree, regardless of the cost of teaching it or its value in the jobs market.

It is understood she has berated university vice-chancellors over the issue and has asked for it to be included in a review of the tuition fee system.

‘ This is an area where the Prime Minister wants to see action,’ the source said. ‘What was supposed to be the maximum tuition fee has become the norm and that can’t be right.’

Universities are accused of acting like a cartel by charging the same price as each other for courses – potentially in breach of competition law.

Mrs May announced yesterday that the amount graduates can earn before making repayments will rise from £21,000 to £25,000 under her plans. The figure will then increase in line with inflation after next year. Officials say graduates will save £360 a year.

Tuition fees will be frozen at the current £9,250 level until 2019, rather than increase with inflation by £250. ‘ There are a lot of young people who fear they’ll be worse off than their parents,’ Mrs May told the Sun on Sunday.

‘One lesson of the election is that we didn’t sufficiently show young people our concern on the issues that matter to them. Buy- ing a home is difficult for so many young people now, so we need to do more by building more housing and helping support people who rent and want to buy.

‘Students are also a key concern – we’ve got great universities but people feel there are problems with debts that students build up. We shall look again at the whole question of funding and of student finance.

‘While we do that, we’ll freeze the fee rate and raise the threshold for repayment, which will put money into graduates’ pockets.’

Martin Lewis, the founder of MoneySavingExpert.com, welcomed the move, saying: ‘Every single graduate earning over £21,000 a year will pay less.’

But Angela Rayner, Labour’s education spokesman, accused the PM of being out of touch.

‘Another commission to look at tuition fees is a desperate attempt by the Tories to kick the issue into the long grass because they have no plans for young people and no ideas for our country,’ she said. ‘They are yesterday’s party.

‘The next Labour government will scrap tuition fees entirely and introduce lifelong learning for the many, not the few.’

‘Fear they will be worse off’