2011/12 Student Finance

The 2011/12 academic year marked a significant turning point in student finance in England, introducing a vastly different system compared to previous years. The most notable change was the tripling of tuition fees for most universities, impacting students commencing their studies from September 2012 onwards, but influencing decisions made by those planning their entry in 2011/12.

While the increased fees officially began with the 2012 cohort, prospective students applying for 2011/12 entry faced a degree of uncertainty and a scramble for places under the existing, lower fee regime. This created intense competition for university places, as many students who might have deferred their entry instead opted to start their studies a year earlier to avoid the new fees. This ‘race to start’ impacted admissions processes and potentially altered university demographics.

For those entering university in 2011/12, tuition fees remained capped at £3,375 per year. Student loans were still available through the Student Loans Company (SLC) to cover these fees. Maintenance loans, intended to help with living costs, were also offered. The amount of maintenance loan a student could receive was means-tested, taking into account household income. Students from lower-income families were eligible for larger loans than those from higher-income families.

The repayment system for student loans taken out before 2012 operated differently from the post-2012 system. Graduates began repaying their loans once they earned over £15,000 per year (this threshold changed periodically). Repayments were calculated as 9% of their income above this threshold. If a graduate’s income fell below the threshold, repayments were paused. After 25 years, any outstanding loan balance was written off. This pre-2012 loan system is often referred to as “Plan 1”.

Grants were also available to eligible students during the 2011/12 academic year, providing non-repayable financial support. These included maintenance grants, which supplemented maintenance loans for students from lower-income households. Specific grants were also available for students with disabilities and those undertaking specific courses, such as healthcare. However, the availability of grants was gradually decreasing, foreshadowing the shift towards a predominantly loan-based system.

The 2011/12 period was a transitional one in student finance. While the immediate financial impact of the fee increases was not yet felt, the anxieties surrounding the upcoming changes significantly influenced student behavior and application patterns. Students entering higher education at this time benefitted from lower fees and grants, but the looming shadow of the new system created a unique and stressful environment for both students and universities.