Last year the UK government officially announced a rise in minimum tuition fees for universities in the UK. As the UCAS deadline for university applications in the UK closes this week, many parents are panicking about how they are going to fund their child’s university education. Are you prepared?
How will I fund my child’s university education?
As the 29th of January UCAS deadline arrives, university choices have been made, personal statements written and thousands of students hoping to further their education in the UK now wait nervously for offers to come in.
Meanwhile, many of their parents reflect anxiously on how on earth they will fund their child’s further education, especially in light of the government’s decision to increase tuition fees.
The maximum tuition fees for standard full-time courses, as well as the student loans available to cover them, will increase by 3.1% to £9,535 from September 2025. While universities retain autonomy and can set their fees within the maximum limit, it is anticipated that most will raise their fees to match the new cap.
And the fees are only part of the story. Accommodation costs are also a major expense with first-year accommodation in halls costing anything from around £400 to £1000 per month depending on city, type of room, and whether the student opts for catered or self-catering. Not to mention travel, food, bills, books, fees to join clubs and societies, and of course, socialising. Check out a roundup of average costs.
Education fee costs within the uk
Cue a frenzy of activity on the Facebook group, What I Wish I Knew About University, or WIWIKAU for short, a mine of information regarding university life in the UK. Many parents are wondering just how they and their children are going to manage.
In response to one panicked member’s question, one member comments ‘It’s not easy. I think for the future parents will start saving for uni from before kids are born!’, and another replies ‘Oh how I wish that I put £20 away each week x 52 weeks x 18 years = £18,720 plus interest.’
The benefit of hindsight!
Education fee planning for expatriates
Expatriates have additional concerns to worry about. The most important consideration for most is whether their young person will qualify for home fees, which are the ones quoted above, or whether they will have to fork out international fees, which are often twice as high, or more.
This is a complex question with many factors taken into account by universities and eligibility criteria for home students varying from one establishment to the next. We go into this in more detail in this article, and determining fee status is definitely the first place to start if your child wishes to study in the UK.
While home students are eligible for student loans to cover both fees and maintenance, this is usually not the case for international students, placing an additional burden on parents and students.
If your child is heading to university imminently and you haven’t set up an education fund, don’t worry—it’s not too late to plan. Releasing funds from your savings is one option that you might want to explore. Our consultants are here to provide personalised advice tailored to your unique situation.
For those who have a little more time to prepare, heed the words of the WIWIKAU parents mentioned above, and get saving straight away. Setting up a regular savings plan can make a significant difference, as even small, consistent contributions add up over time.
By starting early, you can harness the power of compound interest, allowing your savings to grow exponentially. This long-term approach can provide a substantial financial cushion to support your child’s education when they head off to university.
Infinity’s team has a wealth of experience working with expatriate parents and would be delighted to put in place a regular savings plan tailored to your needs.
Whatever your concerns about funding your child’s education, we can find solutions. Get in touch with us today and let us help you create a plan that works for you.
A leading provider of expat financial services and wealth management services across Asia.
