Many would have use think that the Tuition fee increase is way of raising finance for the Government, that in these tough times we all must pay. Nick Clegg said his reasons for flip flopping on his promise to the NUS about not increasing them was because after he saw the 'true extent of the debt' he changed his mind. However after a bit of reading around, I've come to the conclusion that in fact it is no an economic move at all.. it is a political move based upon ideology.
The Government wants to reduce exspenditor, so it will cut University funding and increase tuition fees. As a one off this will cut the expenditior for that department as now less funding will go out to Universities. Yet this will cancel out becuase the Government will have to give out more loans. This is not a short term stragegy because it will take some time for these loans to be paid back, the Government will start seeing the return after this term in office. Not to mension the huge costs of setting up the new system!
Its claimed that the increase in tution fees will not have an effect on people going to university, that students will not be put off by high debts and the new system is fairer. This is not true at all, just from first hand experience I can say that many students are being put off from going to university and it can be seen but the civil up roar displited by the students all across the country that it is very much not regarded as fairer.
Increasing the skills and education that works have is a good way of developing the economy. It is a core supply side policy. If we deter people from going to collage then growth will suffer in the economy. On average those with a degree earn 35% more than the national average. This means that if less people go to university the Government will collect less taxes! No only this but the cut to university funding will mean Universites will have to scale down their research, this again will put Briton behind.
So what is too gain from this? Freeing tution fees is on more step to privatising it, the Conservitive party believe in the free markets. The best universities will be able to offer higher charges so will have a higher income. This means the top Universities will have more money to spend but what about those that can't charge so much?
Could we be faced with Universities disappearing? Those that don't perform may be wiped out. This could just be the begining of policy. The Government will keep pushing up tutuin fees and liberating Universites until it becomes a business. Those that don't attract will fail. Is this really what we want?
There are serious implicaitons to slowing increasing tution fees, re-making university for the elite could be a danger. The question is, is this in the Converitives interest? Some might say so.
If fees are pushed up but the Government whats to still make it viable for everyone to go to University then they will have to increase grant, those maybe this is not a consern for the present Government.
We have established that higher tuition fees will put people off university but perhaps this is the point. Some people believe that their are too many University course and many are useless. Could this be the motive, to put those off that will not benefit themselves or society by going to University?
Really what have the Tories got to loose from upsetting students, they are not a key group of supports of the Conservative party! Those that are, are unlikely to change their view based upon this. The only ones loosing out are the Lib Dems and the students ofcourse.
Yet we must remember for all of this speculation of Conservative gain it was Labour that brought in tuition fees in the first place...