Vince Cable ditches graduate tax option for England

BBC Online's headline this morning - sounds like good news, no....?

Well, "no!" may be the definitive answer for many current and future university students (including yourselves!)

Whilst Vince Cable (pictured right) has just written to LibDem and Conservative party members to rule out a graduate tax, the Business Secretary has certainly not ruled out a "progressive" element within the final fees package. That final fees package is widely thought to include more than doubling current fees of £3,290 per annum to £7,000 or more. Moreover, the repayments on loans to cover these fees are set to be charged at a higher interest rate than at present - with the expectation that high-earning graduates could be charged at an even higher interest rate:

http://www.bbc.co.uk/news/education-11507537

The final paragraphs of the article (do read it all!) neatly summarise the implications for coalition party policies and ideas:

...increasing fees threatens to be a major problem for the Liberal Democrats, who made their opposition to higher fees a flagship election issue.

It will also raise sensitivities for the Conservatives of another squeeze on the middle classes, with the prospect of a three-year degree costing £21,000 or more, plus higher interest repayments on student debt.

I would expect to see more challenges to traditional party policies in the coming weeks and the publication of the Spending Review. Be ready during the October Half Term holiday to dedicate some time to reading the media about these matters....