UK: Fees may fall as students hold out for better deal

A report by the influential Higher Education Policy Institute (HEPI) last week warned that most universities will have to reduce their fees to an average of £7,500 (US$12,400) a year as they struggle to fill places, writes Richard Garner for The Independent.

The findings come as more than 200,000 of this year's A-level candidates are expected to miss out on a university place this year. Last week it was being claimed many could now decide against re-applying next year when most universities will be charging the new maximum fee of £9,000 a year and could wait until 2013 before snapping up cheaper places.

Bahram Bekhradnia, director of HEPI and co-author of the report, said: "What we know so far is that universities are going to have to reduce their fees and therefore students might be better off hanging on for another year." The report warns that most universities will be obliged "if not immediately then within a year or two" to cut their net fees to £7,500 a year.
Full report on The Independent site