The controversial plan to scrap caps on university tuition fees has been welcomed by some organisations as having major potential in regard to philanthropy.
The review by Lord Browne proposes the scrapping of the current £3,290 a year cap on tuition fees, theoretically enabling universities to charge as much as they wish for various courses.
While the review has been met with criticism from some, others have seen it as a significant opportunity for both the institutions and their students. The review, which includes plans to slash teaching grants by 80 per cent, will mean that universities will have to put even more effort into securing voluntary funding..
The Council for Advancement and Support of Education (CASE) has embraced these new plans.
Joanna Motion, vice president for international operations, said: "CASE Europe welcomes Lord Browne’s view that philanthropic gifts are an important part of the future of university funding and calls for support for universities to increase their ability to fundraise from former students and philanthropists.
"The proposed student giving model encourages universities to forge additional links with their alumni and underscores the establishment of a longer term culture of philanthropy.
CASE, which represents university fundraising departments, also suggested that a renewed emphasis on fundraising could be a boost for students on lower incomes, countering claims that the proposed reforms will price out students from less well-off backgrounds. “Fundraising can go a long way to increasing access to higher education as well as delivering bursaries and scholarships for students from poorer backgrounds."
Adrian Beney, director of Iain More Association Ltd which specialises in alumni philanthropy, also acknowledges the possible benefits by saying that universities will have to work even harder to promote the positive work they do. While many students may feel the financial pressure it is important for them to acknowledge the work and “charitable intent” of these institutions. He cited the United States as an example; a system with expensive fees yet successful fundraising.
Beney said the impact of the proposed review, if the reforms are implemented, will not be straightforward.
Impact on alumni giving
“Debt is a psychological issue as well as a financial one, and on the whole people give less when they feel worried about money,” he said.
“This may particularly affect giving to higher education, but there is a paradox too. The hardest group of people to motivate into giving has been the graduates of the 70s and first half of the 80s who had higher education free (ironically, the same group that is now running the country.) As a group, those who paid for the higher education more readily see its value and are less surprised to be asked to give than the generation before them. I suspect this trend will continue.”
Oxford University has remained cautious and is waiting for events to develop further. In a statement they explain: “The Browne Review is a significant report which will need careful study. We will assess its recommendations and the government’s response to them in the light of our own submission to the inquiry and the outcome of the forthcoming Comprehensive Spending Review.”
Oxford University building pictured.
