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UK universities in trouble - why not add VAT to tuition?

579 replies

80smonster · 09/08/2024 19:03

UK universities are in trouble, apparently many could close, why not charge VAT on tuition fees (for those that are financially viable)? Bridget Phillipson says they are autonomous institutions and won’t be given a public bail out - they should rely on their own resources:
https://www.theguardian.com/education/article/2024/aug/09/english-universities-face-autumn-tipping-point-as-financial-crisis-looms

YABU - don’t add the VAT
YANBU - add the VAT

English universities face autumn ‘tipping point’ as financial crisis looms

Vice-chancellors fear weaker institutions need bailout to avert failure due to fewer students and higher costs

https://www.theguardian.com/education/article/2024/aug/09/english-universities-face-autumn-tipping-point-as-financial-crisis-looms

OP posts:
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13
wombat15 · 12/08/2024 08:10

twistyizzy · 12/08/2024 08:05

I know, I am a senior manager at an ITP

What is an ITP?

twistyizzy · 12/08/2024 08:05

wombat15 · 12/08/2024 08:05

I didn't say apprenticeships didn't exist. I said there weren't many. Even the nhs had stopped offering them in many areas because of the cost. Private employers don't have to offer them if they don't want to.

I know, I am a senior manager at an ITP

wombat15 · 12/08/2024 08:05

twistyizzy · 12/08/2024 07:55

An ITP could get accreditation for doing them if they had suitably qualified staff. The Apprenticeships do exist and Labour will be pushing them to help the recruitment crisis in NHS and teaching

I didn't say apprenticeships didn't exist. I said there weren't many. Even the nhs had stopped offering them in many areas because of the cost. Private employers don't have to offer them if they don't want to.

Frowningprovidence · 12/08/2024 08:05

AngelusBell · 12/08/2024 07:34

Student nurses do long placements on wards and in the community now. I don’t know where people get the idea that they spend most of their time at university and do the occasional shift on the wards.

I was basing it on my mums training which she did when i was a child. The university students spent less time on the wards and were supernumerary when doing so when compared to those at nursing college doing the other course. It caused a bit of resentment at the time. It wasnt that i assumed they 'did the odd shift" now, as the routes to nursing changed a lot and it was never the odd shift anyway. But it was less than those doing the other course.

But tge point I was really trying to make was people are very keen for different institutions to not award degrees becsuse there are too msny universities and people doing degrees, but I can't see that providing a non degree nursing course is going to cost less. They need to learn the same stuff and it's not as if the old nursing routes were free to deliver training.

twistyizzy · 12/08/2024 08:04

ImpossibleTh1ng · 12/08/2024 07:57

They may push them but they will need to sort out a horrendous situation. The apprenticeship situation is dire. It’s harder to get an apprenticeship than get into a uni a lot of the time and they cost.

Agreed and they are massively under funded for the ITP too

AngelusBell · 12/08/2024 08:03

Uncool · 12/08/2024 07:37

Agreed. And often they are non-academic subjects just taken to increase the overall number. And sometimes students get average grades when they could get better ones if they did fewer subjects. I agree it’s quality/depth not quantity. I reckon bright kids can do 9-10 max but any more is a bit silly.

I’m not sure my daughter would have got a place at Oxbridge and a subsequent First without 12 GCSEs at A ⭐️ and A grades and 4 ‘A’ levels at A ⭐️ and A grades, but the point I was making is that it isn’t only independent schools offering more than 8/9 GCSEs. Nor should it be.

Alexandra2001 · 12/08/2024 07:57

Who ever thought HS2 was £29 billion - not sure what planet you are on. It was well over £100 billion. And, guess what, some of it’s being built! London to Birmingham and that’s estimated at up to £65 billion now and they cannot afford to get it to Euston. It was Labour’s big idea! Bigger fools them

You need to read what was written, before hitting that keyboard - the cancelled section of HS2 meant a loss of £29 billion, thats what was spent on it..... money down the drain.

Labour haven't been in power for 14 years, first spades went in the ground under the Tories, so whilst i agree it was stupid idea (all of it) it was the Cons who signed it off and spent billions on this white elephant.

ImpossibleTh1ng · 12/08/2024 07:57

twistyizzy · 12/08/2024 07:55

An ITP could get accreditation for doing them if they had suitably qualified staff. The Apprenticeships do exist and Labour will be pushing them to help the recruitment crisis in NHS and teaching

They may push them but they will need to sort out a horrendous situation. The apprenticeship situation is dire. It’s harder to get an apprenticeship than get into a uni a lot of the time and they cost.

AngelusBell · 12/08/2024 07:56

twistyizzy · 12/08/2024 07:48

NVQs don't exist any more and there ARE Apprenticeships for some of these.
On a personal level I don't agree with taxation of any education, my point is that Labour claim private schools are businesses, well then so are universities. If you take that argument forwards then university fees should be subject to VAT.

As long as you don’t mind your nurse, midwife, psychological wellbeing practitioner, child’s teacher having a diploma instead of a degree and your child or grandchildren being treated by a lesser-qualified speech and language therapist or CAMHS worker and as long as you don’t mind driving over bridges designed by lesser-qualified engineers, I’m sure it will all work out for the best.

Werweisswohin · 12/08/2024 07:56

Saggytoot · 09/08/2024 19:06

No harm done if a few ex-polytechnics close. Far too many universities selling worthless qualifications anyway.

Ha ha ha.
Some of the 'ex- polytechnics' or ex-colleges offer really practical and useful degree courses!

twistyizzy · 12/08/2024 07:55

wombat15 · 12/08/2024 07:53

There aren't hardly any apprenticeships for any of them now including nursing. Most employers found them too costly. Plus, they still require universities and if they shut, then do will the apprenticeships.

An ITP could get accreditation for doing them if they had suitably qualified staff. The Apprenticeships do exist and Labour will be pushing them to help the recruitment crisis in NHS and teaching

wombat15 · 12/08/2024 07:53

twistyizzy · 12/08/2024 07:48

NVQs don't exist any more and there ARE Apprenticeships for some of these.
On a personal level I don't agree with taxation of any education, my point is that Labour claim private schools are businesses, well then so are universities. If you take that argument forwards then university fees should be subject to VAT.

There aren't hardly any apprenticeships for any of them now including nursing. Most employers found them too costly. Plus, they still require universities and if they shut, then do will the apprenticeships.

ImpossibleTh1ng · 12/08/2024 07:52

twistyizzy · 12/08/2024 07:48

NVQs don't exist any more and there ARE Apprenticeships for some of these.
On a personal level I don't agree with taxation of any education, my point is that Labour claim private schools are businesses, well then so are universities. If you take that argument forwards then university fees should be subject to VAT.

I think it’s been explained over and again why VAT on unis is a ridiculous idea.

Apprenticeships are extremely hard to get and there aren’t many.

twistyizzy · 12/08/2024 07:48

AngelusBell · 12/08/2024 07:44

Teachers
Occupational therapists
Speech and language therapists
Nurses
Midwives
Psychological wellbeing practitioners
Unless you would prefer all the above to have NVQs?

NVQs don't exist any more and there ARE Apprenticeships for some of these.
On a personal level I don't agree with taxation of any education, my point is that Labour claim private schools are businesses, well then so are universities. If you take that argument forwards then university fees should be subject to VAT.

ImpossibleTh1ng · 12/08/2024 07:47

AngelusBell · 12/08/2024 07:44

Teachers
Occupational therapists
Speech and language therapists
Nurses
Midwives
Psychological wellbeing practitioners
Unless you would prefer all the above to have NVQs?

Engineers, research scientists, pharmacists,dieticians, vets, veterinary nurses…..

the list is endless.

AngelusBell · 12/08/2024 07:44

twistyizzy · 09/08/2024 21:19

Yet actually on paper universities and private schools are very similar. Like you say, a well educated population benefits everyone and up until now the status quo has been to not tax any form of education for this exact reason. Labour are scrapping that status quo so why shouldn't VAT be applied to other forms of "luxury" educating. Outside of doctors, dentists, vets etc no-one actually needs a degree

Teachers
Occupational therapists
Speech and language therapists
Nurses
Midwives
Psychological wellbeing practitioners
Unless you would prefer all the above to have NVQs?

ImpossibleTh1ng · 12/08/2024 07:41

StormingNorman · 12/08/2024 07:12

The problem is that fees are too low. We need fee deregulation so that universities can charge commercially appropriate prices for their courses.

The government didn’t want to fund them, but now wants them to charge unreasonably low prices. Can’t have it both ways.

Great idea! Not.Fewer students so less income for unis and even better for richer families.

Uncool · 12/08/2024 07:37

Era · 12/08/2024 07:28

Nobody needs 12 GCSEs. Literally no university needs this. Just like with four A Levels (with the possible exception of further maths). Better to have 8/9 at top grades and to have spent the rest of the time on sport/arts/debating/public speaking etc

Agreed. And often they are non-academic subjects just taken to increase the overall number. And sometimes students get average grades when they could get better ones if they did fewer subjects. I agree it’s quality/depth not quantity. I reckon bright kids can do 9-10 max but any more is a bit silly.

AngelusBell · 12/08/2024 07:34

Frowningprovidence · 09/08/2024 19:55

Do you think their training cost less than a degree though? My mum trained as a nurse at nursing college so no degrees. I can't see how her training was any cheaper that the degree ones. Lectures, exams to mark etc. Bit more work on the wards I suppose so maybe a quicker return on the cost.

Student nurses do long placements on wards and in the community now. I don’t know where people get the idea that they spend most of their time at university and do the occasional shift on the wards.

Era · 12/08/2024 07:28

AngelusBell · 12/08/2024 07:24

My daughter went to an average state school and did 12 GCSEs. I have also worked in both sectors and in my experience, independent schools offer fewer GCSEs - and pay teachers less.

Nobody needs 12 GCSEs. Literally no university needs this. Just like with four A Levels (with the possible exception of further maths). Better to have 8/9 at top grades and to have spent the rest of the time on sport/arts/debating/public speaking etc

Cattyisbatty · 12/08/2024 07:26

The VAT would go to the government though so I don’t see your logic here.

AngelusBell · 12/08/2024 07:24

mytuppennyworth · 10/08/2024 18:24

I know the sector very well. Like many teachers, I have worked in both sectors during my career. Private schools are a drain on our whole society

My daughter went to an average state school and did 12 GCSEs. I have also worked in both sectors and in my experience, independent schools offer fewer GCSEs - and pay teachers less.

AngelusBell · 12/08/2024 07:17

Simonjt · 09/08/2024 19:36

Not a surprise when you look at the costs of attending university in many european countries, we live in Sweden and fees are free for citizens, permanent residents and EU residents.

University is free in most European countries, so England and Wales are hardly appealing as an option because of fees, without VAT on top.

StormingNorman · 12/08/2024 07:12

The problem is that fees are too low. We need fee deregulation so that universities can charge commercially appropriate prices for their courses.

The government didn’t want to fund them, but now wants them to charge unreasonably low prices. Can’t have it both ways.

user68712226 · 12/08/2024 07:07

wombat15 · 11/08/2024 14:31

I think posters with their ideas for savings or how things should be done are completely underestimating how much universities have already looked at and have been cutting costs. They have already made a lot of redundancies too. I appreciate some people don't think it is a problem if they shut because "there are too many" but the great majority have already been there under a different name for decades and if they shut it will have a huge impact on the economy not only in terms of unemployment but there will be a reduction in skilled workers.

I don’t think many on this thread work in university management. It’s full of complete nonsense.

reality is we need increased tuition fees and unfortunately some consolidation in the market.

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