Vice-Chancellor Questions Student Loan Eligibility for Students Without A-Levels
Adam Tickell, vice-chancellor of the University of Birmingham, has raised concerns about the eligibility of students who lack A-level qualifications for government-backed student loans. He highlighted this issue as part of a broader discussion on addressing the funding crisis facing universities in England.
Tickell described the current situation as an "almost existential challenge" for universities, compounded by declining public support and the need for a fundamental reassessment of higher education funding.
Speaking at a conference in London, Tickell stated:
"We have a system where more state money goes in, students are more indebted and universities are on the brink of failure.
In terms of the taxpayer, the provider and the student, the system just isn’t working … I don’t think tweaking the margins will really address things."
He suggested that any review of the system should consider the qualifications required for students to successfully complete undergraduate degrees, such as A-levels or their equivalents. He argued that loans should not be extended to students lacking the necessary qualifications to complete their courses.
"We are getting students without a single A-level or equivalent getting access to the student loan book," Tickell said, adding: "We’re investing so much money in people who … are not really capable of graduating."
Tickell is the first senior higher education leader to publicly challenge the policy of automatically granting domestic students access to government-backed loans, which currently average £53,000 per graduate.
In England, any first-time student admitted to a university is eligible for tuition and maintenance loans, with about one-third of all school leavers proceeding directly to university. However, successive governments have allowed the real value of tuition fees to decline, resulting in universities incurring significant losses on teaching domestic undergraduates.
The tuition and maintenance loan system, introduced in 2012, has also faced criticism from graduates burdened with increasing debt, as the government has adjusted repayment terms amid a sluggish job market.
At the British Academy conference, Tickell posed several questions:
"Now is the time to ask: what does the public want from universities? How do we want to fund it? How many people do we want to go to university? And I think those are really difficult questions, because as providers, it’s hard enough already."
Universities have attempted to mitigate budget shortfalls by enrolling more international students, whose higher fees help subsidise domestic teaching and research. However, government visa restrictions have made attracting international students more difficult, creating additional financial pressures.
Tickell warned:
"We could have a government that is utterly hostile to the sector and, unless we have some answers, we could be in real trouble."
Perspectives on Funding and Loan Repayment
Philip Augar, who led the 2019 review of post-18 education and funding, also spoke at the conference. He advocated for a cost-sharing approach between students and the government, reflecting the original intention when undergraduate fees were raised to £9,000 per year in 2012.
"Some graduates are now paying 70% in loans, some are paying 83% – this is not 50-50, it is the privatisation of university teaching," Augar said, describing the current situation as "unfair and wrong."
Conversely, Vivienne Stern, chief executive of Universities UK, the group representing vice-chancellors, expressed reluctance to initiate another review of higher education funding given the government's recent white paper on post-16 education.
"It is too febrile and unpredictable to open up a Pandora’s box when we don’t know what we’re asking for … If we are going to end with a review then the focus should be tightly constrained," Stern said.
