The £3,100-a-year cap on fees should be lifted, suggesting that a rise to £5,000-a-year would deliver £1.25 billion more for universities;
Student loans, which are subsidised by the Government at present, should be charged at commercial interest rates – significantly increasing the amount graduates will repay; The threshold for grants should be lowered. At the moment, students from families earning less than £60,000 are eligible for a partial grant, but the CBI says that this should be lowered to £38,000. Only students from families earning less than £17,910 should receive a full grant – instead of the present £25,000.
