Concern over large debts ‘puts students off university’
STUDENTS MAY be put off going to university due to concerns around overwhelming debt, a survey has suggested.
Universities UK said students need to be given clearer information about tuition fees and student loan repayments.
There is a “postcode lottery” when it comes to the current financial advice available, Universities UK president Professor Dame Janet Beer said.
The research, conducted through focus groups and an online survey, revealed that almost a quarter of prospective students and 30 per cent of undergraduates do not feel they have sufficient information on the full long-term cost of studying at university.
The report, by Universities UK and National Education Opportunities Network (Neon), also found that 24 per cent of prospective students and 35 per cent of undergraduates did not feel they had enough information on which courses and universities offer good value for money.
Dame Janet, who is also vicechancellor of the University of Liverpool, said: “There seems to be a postcode lottery in terms of the financial advice available to prospective university students.
“There are differences depending on the advice available in schools and variations from one area to the next.”
She called for “many myths and misunderstandings” which have developed around student debt to be tackled.
“It is high time these were addressed, or we risk seeing prospective students being put off university due to misguided concerns about costs and ‘debt’.”
Martin Lewis, founder of MoneySavingExpert.com, also added to the calls for better and clearer information for students.
He said: “You can argue that the current system is wrong, without the bitter scaremongering that risks putting young people off going to university for the wrong reasons. We need to change the language of loan statements, and we need schools, universities and government to educate.”
A review of higher education formally announced by Theresa May in February is examining the role of interest rates on student loans.