University students face total cost of £53,330
Students starting university this September will be forced to confront an average total cost of £53,330, according to protection specialist LV’s new Cost of University study.
prepaid cardsTuition fees are responsible for almost half of this, costing £8,770 under the new scheme, adding up to £26,310 overall. A further £12,500 on average will go towards accommodation, while food bills are predicted to reach £4,300 over the three years. Adding to the escalating cost are essentials including books, household bills and travel expenses.
This follows the news yesterday that the average yearly student income of £7,000 is insufficient for just under a fifth (16%) of full-time students, who do not have enough funds to cover monthly expenses. The revelation comes just in time for Thursday – A-level results day – which will determine whether or not students will start university in September.
One in five parents who currently have children under 18 say they intend to cover the entire cost of their children’s university experience and a further 28% expect to come up with part of the cost. Just 9% will not help their children to fund their studies.
Mark Jones, LV Head of Protection, said: "The huge cost of attending university makes it a massive financial commitment either for parents or students themselves. Because of the increasing cost some parents may find that despite having saved for this stage in their children's lives, they are uncertain whether it will be enough to cover the cost of attending university.”
He recommends that parents speak with a professional advisor to discuss their financial situation before funding their children’s higher education – especially those with children going to university in London, where students will pay £12,174 more than the average.
However, this will not be necessary for the 11% of parents with children under 18 who do not expect them to attend university. Nearly a quarter (24%) of this group blame the tuition fee hike, while 14% say that higher education is not required for the type of job their children want to do.
Prepaid cards are a great way to prevent students from overspending and help them to manage their budgets during this tough financial period.