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Higher Education Fees

I will not give way again, as there is not much time remaining. There is one big problem with the Government's package: the degree of the reduction in the teaching grant for universities. That is what is forcing the fees so high. Hon. Members have even referred to Labour's cuts announced this time last year. Let us do a comparison: we announced a small reduction of 1.6% in the teaching grant; the Government's proposals are accompanied by an 80% reduction in the teaching grant. That is a huge transfer of responsibility and cost from the state to the individual, and it lies at the root of the large increase in fees. Also, rather than the package resulting in more resources for universities, it requires large fees just for universities to be able to stand still. Therefore, the issue is not so much the Browne review as the spending review. That is the problem with the proposals. Higher education brings a shared benefit to the country and to individuals. As it is a shared benefit, and we believe in a high level of participation, we share the costs. That was Labour's approach when we made changes in 1998 and 2004. Instead of sharing the cost, the Government's plans go wrong by replacing, to a large degree, the responsibility of the state with that of the individual. That is why fees are being driven up so much. The politics of this does matter. The Liberal Democrats are in such trouble not just because they have broken an election promise, but because what they have done is a revelation about how they have conducted politics for years. They signed the NUS pledge because they did not think that they would be in the chair when the music stopped. They are in the chair, and to govern is to choose. The commitment was not just a line in their manifesto but front and centre of their holier-than-thou election campaign. The truth is that they will never be thought of in the same way again.