Student Debts 'To Double By 2012'


First Posted: 12/08/11 11:08 BST Updated: 11/10/11 11:12 BST

PRESS ASSOCIATION -- Students starting degree courses this autumn can expect to graduate with debts of £26,000, and this will double for those beginning university next year, figures have suggested.

The annual Push Student Debt survey reveals that students joining university next month are likely to owe £26,100 by the time they finish their studies, which is around £2,000 more than the debt students who started courses last year are expected to leave with.

However, youngsters who are planning to go to university in 2012 - the first year of the tuition fee increase - could find themselves saddled with an expected debt of £53,400.

For those in England alone, where fees are estimated to average £8,630 next year, graduates should expect to finish university with average debts approaching £59,100, the survey found.

The poll, which questioned more than 2,800 students at 115 UK university campuses, calculated debt levels based on the amount students owe in terms of fees, bank accounts and credit cards, money owed to parents, universities and other debts.

A student currently at university, in any year of study, is racking up an average debt of £5,681 per year, the survey found. In England, this average debt is £5,876, in Wales it is £6,231, in Scotland it is £2,025 and in Northern Ireland £4,319.

The survey also reveals differences between universities. At eight institutions, the average projected debt on graduation for anyone studying now is over £30,000, while at 18 universities it is under £10,000.

Johnny Rich, editor of Push.co.uk, said: "The government has failed to explain how debts of over £50,000 will not cripple graduates financially, particularly given that students will need to find a quarter of that money from outside the support of the official loans system."

The National Union of Students (NUS) said it was worrying that the survey shows that almost 25% of the debt graduates are likely to have will be owed to sources other than the Student Loans Company. President Liam Burns said: "The fact that the Government thinks it's OK to hang an amount of debt equivalent to a small mortgage over someone's head while they study is one thing, but leaving young people reliant on commercial credit just to stay in education is scandalous."

A spokesman for the Department for Business Innovation and Skills said: "The majority of students will not pay £9,000 for their tuition and no first time undergraduate will have to pay up-front costs. There is also a more generous package of financial support available, including higher living cost grants, fee waivers and scholarships. Graduates will make lower monthly repayments than they do now."

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PRESS ASSOCIATION -- Students starting degree courses this autumn can expect to graduate with debts of £26,000, and this will double for those beginning university next year, figures have suggested. ...
PRESS ASSOCIATION -- Students starting degree courses this autumn can expect to graduate with debts of £26,000, and this will double for those beginning university next year, figures have suggested. ...
PRESS ASSOCIATION -- Students starting degree courses this autumn can expect to graduate with debts of £26,000, and this will double for those beginning university next year, figures have suggested. ...
PRESS ASSOCIATION -- Students starting degree courses this autumn can expect to graduate with debts of £26,000, and this will double for those beginning university next year, figures have suggested. ...
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11:15 PM on 08/13/2011
Break the coalition, or Britain is doomed.


Get rid of that Milliband character, and get his brother in.
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lukebrambles
11:06 PM on 08/13/2011
And Nick Clegg wonders why he is so hated...
02:47 AM on 08/13/2011
You guys are moving toward our American model, where education is part of the marketplace. Guess how that will turn out? :)
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02:46 AM on 08/13/2011
Will create more poor people and we all know how the gov. loves the poor.
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westcoastsc
Injustice anywhere is a threat to justice everywhe
05:52 PM on 08/12/2011
Education should be free or at least very affordable.

My parents and grandparents all had very affordable educations from the University of California at Berkeley and Los Angeles.

Why are we making debt slaves out of the people who are supposed to help us out of economic doldrums?
05:16 PM on 08/12/2011
This press release has been reported without critique by lots of news sources. However, stop and think for a moment. If those starting this year will end with debts of £26,000 of which almost £10,00 is fees related, how will those starting next year leave with debts of £53,000 just because fees have increased to £26,000? How did non-fees related debt go from £16,000 to £27,000?

I asked Push about their methodology and their reply leaves questions unanswered. Their numbers look dodgy to me. A more thorough analysis and the reply from Push can be found here: http://anthonycooper.blogspot.com/2011/08/average-uk-student-debt-dodgy-numbers.html
05:07 PM on 08/12/2011
University will simply become too expensive for some people.


Thanks Tony Blair, Gordon Brown and David Cameron

Bang up job so far. Losers.
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lukebrambles
11:05 PM on 08/13/2011
Don't leave out Nick Clegg, he definitely deserves to be up there.
11:15 PM on 08/13/2011
Until you mentioned him, I had forgotten that Nick Clegg still existed.
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Matthew Harrold
Huzzah!
04:23 PM on 08/12/2011
Well it seems the Tories have attained their wet dreams of Americanising our education system. Next step? Increasing the gap between the poor and the rich. Yes, soon we too can share in the same problems as the U.S! It's free market capitalism beautiful?
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Ramkshrestha
Welcome to Nepal - the birthplace of Buddha
03:31 PM on 08/12/2011
Job problem, everything now very expensive and now student debts to double. How they will cope?
01:23 PM on 08/12/2011
Student borrowing should be from a special state bank. Loans could be set at (for example) interest rate 1% less than rate of inflation to begin two years after graduation.
01:01 PM on 08/12/2011
Maybe all prospective students should say 'sod it' and not even consider studying for 5 years - watch the fees come down then!
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Marchmont
11:34 AM on 08/12/2011
Well, at least it will pose the question: "Is obtaining a pretendy degree in a pretendy subject at a pretendy university worth £50,000?"
01:27 PM on 08/12/2011
Applications this year should provide an answer. You may well be right.
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06:00 PM on 08/12/2011
Indeed. No more 'pretendy' degress.

Go for useful degrees like "BSc (Hons) Surf Science and Technology".