University tuition fees in England are poised for their first increase in eight years as part of a sweeping reform of the higher education system.
Reports from The Independent suggest that tuition fees, which have been fixed at £9,250 since 2017, will be adjusted in line with the Retail Price Index (RPI) inflation starting in September 2025. At the current RPI rate of 2.7 per cent, fees could increase to around £9,500.
The rise in tuition fees comes as concerns mount over the financial stability of universities, with estimates indicating that up to 40 per cent of English institutions could run budget deficits this year.
Earlier this year, Universities UK called for tuition fees to be “index-linked to inflation” to maintain their real-term value and prevent further erosion of funding, even though it would not fully resolve the financial challenges.
Compounding the financial strain, the number of international students—who have been a key financial support for the sector—has decreased. Home Office figures from 2024 revealed a 16 per cent drop in visa applications between July and September compared to the same period in 2023.
Education Secretary Bridget Phillipson is expected to announce the tuition fee increase on Monday afternoon during a statement in the House of Commons detailing “higher education reform.”
As it stands, university students in England and Wales pay £9,250 annually for tuition, while Northern Irish students face fees of £4,750. Scottish students benefit from free university education.
The proposed fee hike may reignite criticism, particularly as Sir Keir Starmer initially vowed to abolish tuition fees entirely when he campaigned for the Labour leadership in 2020.
However, he rescinded that promise last year, citing economic conditions that rendered it unfeasible. Instead, Starmer has committed to a “fairer solution” if Labour forms the next government.
Labour’s 2024 general election manifesto underscores that the existing higher education funding system fails taxpayers, universities, staff, and students.
The planned tuition fee increase is viewed as a strategy to bolster university finances while addressing broader economic and educational priorities.