While the tuition fee system has had a large amount of political and media attention in the last two decades, far less attention has been paid to the student maintenance system -- the amount of funding students have access to for day to day living expenses. But for many students, this funding is of more immediate importance, and can have a major…

HEPI's response to the Review of Post-18 Education and Funding covers the following 10 areas: (1) Part-time learners; (2) Differential fees; (3) Maintenance grants; (4) Mixed funding model; (5) Uses of tuition fees; (6) Misunderstanding among applicants; (7) Outreach versus spending on bursaries; (8) Accounting treatment of student loans; (9)…

In this paper, we consider lessons for other countries about the design of student loans with income-contingent repayments (i.e. repayments calculated as "x" per cent of each borrower's subsequent income). Using a dataset of 20,000 simulated lifetime graduate earnings paths, we estimate the cost and distributional effects of reforms in…

We propose a simple theoretical model which shows how the combined effect of wage uncertainty and risk aversion can modify the individual willingness to pay for a HE system financed by an ICL or a ML. We calibrate our model using real data from the 1970 British Cohort Survey together with the features of the English HE financing system. We allow…

The British system of student loans has a zero real rate of interest, less than it costs the government to borrow the money. This paper discusses the problems that arise from interest subsidies in the UK system of student loans; systems in other countries, for example Australia and New Zealand, face similar problems. The topic appears to be narrow…

In a period of student loan scandals and U.S. financial market instability impacting on the cost and availability of student loans, this paper looks at alternative models of higher education funding. In this context, it also considers the level of financial support that the government should provide to higher education.

Patterns of government subsidies to higher education in five European countries are considered in order to provide a comparative perspective for U.S. policy-makers. Attention is focused on patterns of subsidizing both institutions and students for the five countries: France, West Germany, the Netherlands, Sweden, and the United Kingdom. The…