Student debt fear

STUDENTS fear they will be saddled with a lifetime of debt after the Government announced plans to allow universities to charge up to £9,000-a-year in tuition fees.

Universities Minister David Willets revealed that institutions will be able to almost double the current £3,290 charge to £6,000 from 2012.

But they will be able to charge up to £9,000 if they can show they are increasing take-up among poorer students.

Graduates will begin paying that back once their earnings hit £21,000 a year, repaying at a rate of 9 per cent of their income above that level. Anyone attempting to clear the sum early will be penalised.

Mr Willets added: “Raising the threshold reduces the monthly repayments for every single graduate. It is important that those on the highest incomes are not able to buy themselves out of this system.”

Mr Willets also announced a new £150m National Scholarships Programme to be targeted at bright potential students from poor backgrounds. It will guarantee students benefits such as a free first-year or foundation year.

Oldham East and Saddleworth MP Phil Woolas said: “This is the most appalling betrayal of our young people.

“The Lib-Dems campaigned for a graduate tax and against excessive tuition fees.

“This has nothing to do with the deficit but everything to do with the privatisation of universities for the elite.

Fearful

“I am very fearful for the future of University Campus Oldham which many people dedicated their lives to ensuring happened. I will be joining the students for the demonstration on November 10.”

Student grants based on families with an income below £25,000 will go up from £2,900 to £3,250. Families earning up to £42,000 will have some form of partial payment.

NUS President Aaron Porter said: “Students and their families will not be fooled by the rebranding of plans to triple tuition fees to foot the bill for funding cuts.”