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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
TizerorFizz · 10/08/2024 19:32

@User8646382 People are free to join an agency if they wish. As a working person, this might suit your family life. If employers were more attractive, then they would get employees. Agencies have a role but of course employees want great employers who can offer flexible working. It’s the way it is in a female dominated industry.

User8646382 · 10/08/2024 19:37

Perplexed20 · 10/08/2024 19:26

It doesn't.

You probably right - the agency costs are so high. But I’m sure they’ll seem a lot better with 20% knocked off.

newmummycwharf1 · 10/08/2024 19:38

TizerorFizz · 10/08/2024 19:28

I also think a DC who only aspires to a nearby uni or similar northern uni, isn’t going
to look at the USA. Simply not on their radar and they won’t meet anyone else who goes either. The ones who go to US unis are often the rich who don’t need a scholarship
or money, those with US parents, or those on sports scholarships. The incidents of deprived dc going is, I suspect, very low. Just not on the radar. Neither would they go to Europe where our loans system doesn’t apply and there’s no discernible advantage.

Agree - even if there are funds and scholarships - it really isn't on the radar.
Also, moving far away from family etc comes with its own issues.
I suppose it is always a consideration when you come from an immigrant background

ImpossibleTh1ng · 10/08/2024 19:38

newmummycwharf1 · 10/08/2024 19:25

You are wrong. Again - there are multiple scholarships and funds that are available to international students.

Using the University of Iowa as an example - max university scholarship is $15k for international students. There are additional scholarships available depending on actually major - some up to $11k. In addition - as explained earlier, there are third party organisations that offer scholarships/grants. International tuition fees are circa $30k at UoI. Do your research

When I went to school in the UK - as an international student in med school - I paid my fees. However, I also accessed scholarships and funds from third parties because I researched it. My entire 3rd year was funded by a scholarship that involved writing a winning essay. I won 2 others that secured £1k and £2k separately.

I actually take pride in raising funds for education - not just for the money raised but the feeling of achievement they provide. It makes a young person feel they can do anything and their ideas are worth something in the world

So the scholarship is a fraction of the overall cost of £47 k and you can’t get loans to cover it. How is that helpful?

Aside from the fact you need to win the scholarship you need to get very high grades in the SAT tests and have a load of expensive extra curricular items to put on your application.

Why on earth would anybody from the UK go to Iowa University as opposed to one of the many very good non MN approved unis we have in this country anyway????

User8646382 · 10/08/2024 19:41

TizerorFizz · 10/08/2024 19:32

@User8646382 People are free to join an agency if they wish. As a working person, this might suit your family life. If employers were more attractive, then they would get employees. Agencies have a role but of course employees want great employers who can offer flexible working. It’s the way it is in a female dominated industry.

Of course, and I understand why people do work for agencies. They can pick and choose when to work and which jobs to take, and for the most part there is no responsibility - they turn up, follow someone else’s teaching plan, then clock off and go home. No paperwork, no additional hours, no stress.

But agencies are the real reason that schools can’t recruit permanent staff and there’s no denying it.

mathanxiety · 10/08/2024 19:44

newmummycwharf1 · 10/08/2024 19:04

All you can do is have a moan and make statements that have no evidence to back them.

Misdirected energy. Everyone else should agitate for increased funding for state schools. The current £5k per head is paltry in 2024. Private school parents pay £20-30k (more if boarding) per child on top of paying their taxes and will pay more with VAT. 93% (93!!) of the entire student population use state schools and it seems most of the current government and parliament. It does not get more influential than that! Use that influence and collective action (which is more than the 7% have) to focus on solutions to improve state schools.

I remember a time in the mid-2010s when state primary experience were so good in London that our wealthy friends living in good areas felt no need to send their kids to state schools. Post-COVID, that all seems to have come undone.

Private school parents are not coming to save you - even if they were in state schools, they may simply utilise their resources to support their own children outside of school, or congregate in small enclaves that would make the local primary school feel private in all but name.

It is up to you (the collective you!) to agitate for change in state schools and we have a government that appears to be on the same page. So do that instead of wasting energy trying (and failing) to destroy private schools

Not sure what you mean with your 'have a moan...' statement.

I was paraphrasing what you posted.

I have no skin in the game here. What I do know is that improving state schools to the point where parents would have a real choice of school means increasing taxes by a considerable amount. This may not be a palatable proposition to British taxpayers/ voters.

TizerorFizz · 10/08/2024 19:46

Back in the day, DD got a scholarship from a US uni. It unfortunately hardly made a dent in (10 years ago) $45,000 a year fees and living costs and flights for 4 years. Deep pockets are needed.

IcedPurple · 10/08/2024 19:47

Ginger124 · 09/08/2024 19:09

Is it such a bad thing if some close?

It would clearly be shit for the staff and students affected, but there are simply too many universities. Some closures are very likely inevitable.

TizerorFizz · 10/08/2024 19:59

It’s like rationalization in any other industry. Those employees who have the necessary skills will get employed elsewhere. Many will have transferable skills. Many would be able to teach below degree level. The intake of students would need to be controlled. As schools do when they close. The big mistake was allowing the student numbers to accelerate so quickly without quality control and the assumption international students would just keep coming. Brexit clearly hasn’t helped not anti immigration laws.

newmummycwharf1 · 10/08/2024 20:00

mathanxiety · 10/08/2024 19:44

Not sure what you mean with your 'have a moan...' statement.

I was paraphrasing what you posted.

I have no skin in the game here. What I do know is that improving state schools to the point where parents would have a real choice of school means increasing taxes by a considerable amount. This may not be a palatable proposition to British taxpayers/ voters.

Then they don't really want an improvement. I don't see a choice because VAT on private schools, even if it raised £2billion, will not deliver the improvements required. We need more funding per student.

Your statement was not a paraphrase but you know that

wombat15 · 10/08/2024 20:01

IcedPurple · 10/08/2024 19:47

It would clearly be shit for the staff and students affected, but there are simply too many universities. Some closures are very likely inevitable.

The great majority of universities have actually been around for decades if not centuries. They were previously Polytechnics or Colleges of higher education and they provide a lot of vocational training and always did. I appreciate many people think they offer less useful degrees too but those courses often make more money. If universities go out of business all their courses will go not just the ones people on MN don't approve of.

Uncool · 10/08/2024 20:01

twistyizzy · 10/08/2024 12:28

God you really don't know anything about private schools do you:

  1. 44,000 state teachers didn't leave state education last year to go to private schools. They left because of the issues in state schools. That's not the fault of private schools
  2. Spoon feeding children. Our local state school has zero study leave and has daily booster classes throughout exam periods. DDs Indy does not. Please clarify what you mean by spoon feeding because honestly that's a tired trope of "rich but dim" that really doesn't apply to the majority.
  3. Theu don't do real GCSEs. Er yes they do but they often often iGCSEs alongside. Look at the results of your local indy schools and tell me they don't offer GCSEs. Most indy kids do MORE GCSEs than state kids ie 10 rather than 8 or 9
  4. Private school networks. Most networks come from family rather than school and again, outside of the top public schools this really doesn't happen.

Maybe understand the sector before assigning lazy and untrue stereotypes to it.

It’s silly that people don’t realise just how hard kids have to work for the top grades at A Level. Private or state. There really is only so much spoon-feeding you can do to help a student gain an A star in (say) Physics..

Marchitectmummy · 10/08/2024 20:02

Maybe the government can help Universities out by helping with tuition fees for students they are about to hsve so much surplus cash from tbe private school VAT charges what better way to use it.

Marchitectmummy · 10/08/2024 20:07

IcedPurple · 10/08/2024 19:47

It would clearly be shit for the staff and students affected, but there are simply too many universities. Some closures are very likely inevitable.

Based on what? They were overspilling with students and then the level of fee required went up and up. We are short of qualified people in a lot of the career paths that require a university degree, which is why we are continually bringing people into the UK to fulfill these roles.

UK really is in a spiral downwards it's astonishing how accepting everyone is.

wombat15 · 10/08/2024 20:12

Marchitectmummy · 10/08/2024 20:07

Based on what? They were overspilling with students and then the level of fee required went up and up. We are short of qualified people in a lot of the career paths that require a university degree, which is why we are continually bringing people into the UK to fulfill these roles.

UK really is in a spiral downwards it's astonishing how accepting everyone is.

Yes, it's as if people haven't noticed that we are short of healthcare and other professional. It will get worse if universities close because the others are struggling too and will focus on the courses that make money rather than pick up the slack.

newmummycwharf1 · 10/08/2024 20:12

Uncool · 10/08/2024 20:01

It’s silly that people don’t realise just how hard kids have to work for the top grades at A Level. Private or state. There really is only so much spoon-feeding you can do to help a student gain an A star in (say) Physics..

What does spoon feeding even mean? The student still has to recall and apply what they have learnt. They get to do so in small classes, with little disruption and with trips that support what they learn and get to decompress with loads of sport and art and perform at concert halls. Amazing privilege for sure but not sure how that is being spoon fed....
The fallacy is assuming all private or state schools are similar
My experience of private school has been quite different- with kids having to find their own way around different subject classes from age 8 and a lot of independent research and going off-piste and reading widely. I went to private school here from age 14 - and graduated top of my med school. Maybe all the students at my med school were similarly spoon fed.

I remember dropping Physics because I quickly realised no amount of help would help me get the required grades at Alevels. Money doesn't buy academic chops (as the celebs that got caught in the US university scandal found out!)

newmummycwharf1 · 10/08/2024 20:27

For Yale - as an example.
Not saying everyone can or should - just saying there are opportunities and this is for everyone (international or US resident). Extremely competitive to get in of course

UK universities in trouble - why not add VAT to tuition?
ImpossibleTh1ng · 10/08/2024 20:57

newmummycwharf1 · 10/08/2024 20:27

For Yale - as an example.
Not saying everyone can or should - just saying there are opportunities and this is for everyone (international or US resident). Extremely competitive to get in of course

Yeah know that however the entire world would like to get one of those scholarships. It’s harder to get a Yale scholarship than Oxbridge.

Farting · 10/08/2024 20:59

ImpossibleTh1ng · 10/08/2024 20:57

Yeah know that however the entire world would like to get one of those scholarships. It’s harder to get a Yale scholarship than Oxbridge.

Or get a real job and become a Plumber.

newmummycwharf1 · 10/08/2024 21:06

Farting · 10/08/2024 20:59

Or get a real job and become a Plumber.

There is always that. Our plumber sends his child to private school

Alexandra2001 · 10/08/2024 21:07

Farting · 10/08/2024 20:59

Or get a real job and become a Plumber.

Thats actually quite hard to do but a lot easier for people who know nothing about plumbing to say.

WeAreManyUArefew · 10/08/2024 21:09

80smonster · 10/08/2024 15:09

This is nothing to do with private schools. It’s about the statement Phillipson made, referenced very clearly in the link I posted to a Guardian feature, which suggests no public bail out is possible for universities. So either tuition rises to cover the costs, or another plan sought to plug the deficit. I have not discussed private schools within this thread, this thread isn’t about private school VAT.

Suuuure… ‘concerned of Surrey’

Plmnki · 10/08/2024 21:11

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

It’s only August yet here we have the stupidest post of 2024. Bravo!

Farting · 10/08/2024 21:14

Alexandra2001 · 10/08/2024 21:07

Thats actually quite hard to do but a lot easier for people who know nothing about plumbing to say.

I know enough about plumbing to know. There’s nowhere to hide. DS just got his business studies degree and the passmark was 40%. He got more than that, 77% and a first.

at 40% it’s valueless. If you made 60% mistakes as a plumber you’d flood the house.

His father, grandfather and ggf were all plumbers.

This obsession with university is nonsense and we need a damn good clear out. At the very least half need shutting down, and that’s probably about to happen.

AbraAbraCadabra · 10/08/2024 21:31

I don't think thee should be fees at all for going to university. So no there definitely shouldn't be VAT!