This is the second annual report on the effects of the introduction of the new higher education fees arrangements for UK and EU domiciled full-time undergraduates attending higher education institutions in England funded by the Higher Education Funding Council for England. It brings together a range of information from publicly accessible sources and the institutions themselves about the demand for higher education, the nature of the student body, the fees and bursary arrangements and the financial situation of institutions. Appended are: (1) First-year full-time UK-domiciled undergraduate students by principal subject of study, 2003/04, 2004/05 and 2005/06; and (2) Applications by region, 2004 to 2007. (Contains 15 figures, 17 tables, and 11 footnotes.) [For the First Report, see ED536580.]