Coalition views on fee reforms challenged

London: Coalition claims that part-time students will be among the big beneficiaries of the potential trebling of university tuition fees appeared to be challenged today in an impact assessment by the government's own business department.

The study shows the state will save a total of £316 million between 2012 and 2014 by cutting teaching, fee and course grants to part-time students adding that such students may be put off attending university altogether by increased costs.

It says: "We estimate around two-thirds of part-time students will not be eligible for fee loans. At the same time, the withdrawal of the teaching grant might mean that fees are increased across the board [including for students not eligible for fee loans]. This could have a negative impact on part-time participation overall."

Overall demand

The assessment adds: "It is difficult to estimate what overall demand levels for part-time study would look like under the new system it is also impossible to estimate the change in benefits, particularly if the composition of part-time students is going to change [and hence the average part-time graduate premium]".

Ministers had claimed that some part-time students would benefit from the fees reforms because they would no longer have to pay up-front fees.

MPs are due to vote on Thursday next week on whether to lift the cap on tuition fees, an issue that is causing disarray among Liberal Democrats.

Key figures in the coalition are calling for all Liberal Democrats to abstain collectively rather than see some of the party's ministers voting for the measures in defiance of their election manifesto, and some backbenchers voting against.