Tuition fees - update from Stephen Williams MP

6.07.00pm GMT Sun 7th Mar 2010

Liberal Democrat policies on university tuition fees have had to be reviewed. Reform of the system remains one of our key focus points, and the section of our Party manifesto that discusses our position on fees has been formulated following consultation with organisations representing students and universities.

It remains the policy of the Liberal Democrats to scrap tuition fees for all students undertaking their first undergraduate level degree. We believe it is right both in principle and in practice to scrap the tuition fee model of part-financing for higher education. In addition, we think it is only fair that part and full-time students should be treated equally, whatever the system, when studying for their first degree. The Liberal Democrats will therefore also abolish fees for part-time students studying for a first undergraduate level degree.

This does not mean Universities will lose funding: the income they currently receive as a result of fees will be paid by the government. Although the Liberal Democrats remain committed to this policy we have had to be realistic about the state of the UK's deficit. The economic downturn has seriously constrained the spending options of any future government. As such, Nick Clegg announced in January 2010 that whilst our Party retains its pledge to abolish tuition fees, we would have to do so over a six-year timeframe.

We would start the process by ceasing to charge a fee for the final year of study. This means all undergraduates from the start of the 2010 academic year would be better off when they graduate. We will then regulate part time fees and put them on the same deferred basis as full time students. Over the remaining period we would work through the entire student cohort, removing fees for penultimate year students and then, when resources allow, for students in their first year of study.

We remain committed to reforming the Higher Education funding system. This compromise position is politically and financially responsible at this time. Our ambition to phase out tuition fees remains clear.

The reasoning for retaining this commitment is simple: the Liberal Democrats believe that a student's potential should not be limited by their ability to pay. Taking maintenance and fee loans together, many students will be starting their working lives with a debt of over £20,000. This is unacceptable, particularly given the current level of graduate unemployment.

Labour and the Conservatives are content to hide behind Lord Browne's Higher Education Funding Review, because they know their policies will not be popular. The Government has deliberately set the timetable of the review so no conclusion will be reached until after the general election. We believe students and their parents deserve better than this, which is why we are offering clear proposals for higher education in our general election manifesto.