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Cost of University

Cost of University

Category: Money

Updated: 31/10/2008
First Published: 13/09/2006

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

According to the Association of Investment Trust Companies (AITC), most potential students and parents seriously underestimate the costs involved with going to university. Parents expect their children to graduate with an average debt of £7,080, but actual figures show that the national average debt on graduation is £13,500.

The research also revealed that financial problems – mainly debt - are the biggest worry for parents and students. One in five students expect their parents to pay for the entire of their university education and one in three parents are going to do this. 13% of parents are not prepared to sacrifice anything to fund their children through university.

Many people underestimate the costs involved when opting to study at university. Not only are there course fees to consider there is:

  • Rent – this can range from £40 to £100 per week
  • Bills – gas, electricity, water – estimated at £15 a week
  • Insurance – to cover personal belongings
  • Phone bills
  • TV licence
  • Food
  • Transport
  • Books / study materials
  • Clothing
  • Socialising

Students can get help with funding through university. How much you get depends on personal circumstances, but full-time students can apply for:

  • Student loan for tuition fees
  • Student loans for maintenance
  • Non-repayable maintenance grant

Many banks and building societies offer specific bank accounts for students. These have features such as interest free overdrafts, which can be beneficial in times when money is tight. However, although it is a fact that people will leave university in debt, the individual can control the level of this. Budgeting and shopping around can save you money.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.