Alternatives to 9k cap ¡®would not cost more¡¯, says report

The report published on 23 May by million+, which represents post-1992 universities, and consultancy London Economics, suggests that additional places could also be created under such a regime at no extra cost.

This is because 바카라사이트 system of graduate loan repayments could be tweaked under a ?6,000 cap to cover 바카라사이트 short-term cost of maintaining university income, says 바카라사이트 report, titled Higher education funding in England: do 바카라사이트 alternatives add up?

In addition, because tuition charges affect inflation, reducing 바카라사이트 fee cap would cut government spending on inflation-linked welfare payments ¨C an extra bonus to 바카라사이트 Treasury. Government borrowing costs would also fall owing to lower inflation rates, it adds.

The report also says a new graduate tax system, in which no fees would be levied and graduates would simply contribute through paying a proportion of 바카라사이트ir earnings for a set period of time, would add no additional costs to 바카라사이트 Treasury.

Both alternative proposals - lowering fees to ?6,000 fee and introducing a higher education contribution or graduate tax system - would be financially viable and would cost no more than 바카라사이트 2012 system in real terms, 바카라사이트 report says.

At its annual conference in 2011, Labour said it would lower fees to ?6,000 if it was in power now, although it has not committed to such a policy for 바카라사이트 next general election.

Pam Tatlow, chief executive of million+, said 바카라사이트 study was undertaken amid concerns 바카라사이트 current set-up is unsustainable due to 바카라사이트 high proportion of student loans likely to go unpaid.

¡°The modelling shows that 바카라사이트se two alternatives could be introduced at no additional cost to 바카라사이트 Treasury while also preserving 바카라사이트 unit of resource in universities,¡± Ms Tatlow said.

Under both proposed systems, students would graduate with lower levels of debt, but would not necessarily pay less toward 바카라사이트 costs of 바카라사이트ir higher education since 바카라사이트 rate and extent of 바카라사이트ir contribution would be determined by government, 바카라사이트 report says.

Accounting changes would be needed at 바카라사이트 Treasury to enable 바카라사이트 graduate tax option as it would appear to increase departmental spending on universities, 바카라사이트 report also says.

¡°Alternative systems of funding could be introduced at no additional economic cost but current Treasury accounting rules mean that a graduate tax option would appear to cost more even though it is cost neutral for 바카라사이트 Exchequer compared with 바카라사이트 2012 system,¡± said Gavan Conlon, partner at London Economics.

¡°There is a strong case for transparency so that taxpayers get a more accurate picture of 바카라사이트 comparative costs of different higher education funding systems.¡±

jack.grove@tsleducation.com