03/12/2003

Blair pledges to press ahead with 'top-up' fees

Prime Minister Tony Blair has reminded those who oppose the controversial 'top-up' fee proposals that there is no reverse gear at No 10, stating that he will press ahead with the reform.

The current proposals for 'top-up fees', referred to as 'differential' fees in the legislation, call for university students to pay anything up to £3,000 a year in fees. Graduates could repay the debt after their salary passes the £15,000 a year threshold. No date has yet been fixed for a vote on the proposal, but it is not expected until the New Year.

Opposition groups fear that the fees could lead to a two-tier system of tertiary education, with more high-profile colleges charging the full fee, so making it more difficult for students from poorer backgrounds to attend. Opposers also argue that, as graduates gain high-earning employment, the economy of the UK as a whole benefits – and therefore university tuition fees should be provided by government, and through it, the taxpayer.

He told journalists at his monthly news conference today there would be "absolutely no retreat" on the proposals.

Mr Blair said that there was nothing in the proposed university funding reforms that "will put students off going to university".

The Prime Minister outlined a "triple lot for fairness" in the proposals, saying: existing up-front fees are to be abolished and maintenance grants will be reintroduced for the least advantaged students; existing uniform fee system will be abolished to take more account of student demand and the value for money of the course; and students will not have to pay anything until they have graduated and are in work earning £15,000 a year, as opposed to the current threshold of £10,000 a year. No interest will be charged on the loan.

He said that reforming the way universities are funded is "utterly essential" to widen access to higher education in the 21st century.

"We cannot widen access, increase the amount of money going to universities, unless we have a balance between what the state pays and what graduates pay upon graduation," he said.

Despite reassurances from senior cabinet members, a large number of Labour backbench MPs have voiced their opposition to the proposals. One hundred and forty nine went so far as to sign a motion calling for the abandonment of the legislation.

Liberal Democrat Shadow Education Secretary, Phil Willis called on Mr Blair to scrap the legislation, and end confusion over the issue.

"No matter how big the conversation, the Prime Minister will be unable to persuade the public of the merits of top-up fees when even his own MPs are revolting against the idea," he said.

"Postponing the decision into the new year will not distract attention from the fact that top-up fees are unfair, inefficient and, crucially, do not generate the new money promised to universities."

(gmcg)

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