Arguments in Favour of The Proposals
The principal argument in favour of a new funding system is that British universities are currently critically underfunded, and an increased level of fees will result in a cash injection and prevent them collapsing. Additionally, much is made of the need for British institutions to be internationally "competitive" in terms of quality and resources, and that this is impossible to achieve without a reform of their funding.
A key player on this side of the argument is the Russell Group of Universities, who have argued that they should be able to charge much increased fees in order to differentiate themselves from smaller universities. This attitude has proved unpopular, as a two-tier system of this kind is widely seen as unnecessary and damaging. The levels called for by this group far exceed the maximum rate currently proposed.
Further to this argument, it is argued that since studies show that most graduates earn more during their career than non-graduates, it is logical that they should be the ones to pay for this opportunity, not the public at large. Critics, however, have suggested that if this is the case, they will pay more income tax anyway, and that this would be a fairer source of the money. Some have also pointed out that the country as a whole benefits from an increased level of expertise, and therefore it is in everyone's interests to pay for higher education.
Read more about this topic: Higher Education Act 2004
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