Understanding the 2025 Changes to Higher Education Registration Fees in England

Starting from the 2025/26 academic year, higher education institutions in England will see an increase in registration fees payable to the Office for Students (OfS). This change, detailed in the Higher Education (Registration Fees) (England) (Amendment) Regulations 2025, reflects a 3.9% rise in fees across the board. The fee hike is aimed at sustaining the OfS's crucial tasks, including ensuring compliance with regulations, distributing grants, and implementing new educational initiatives like the Lifelong Learning Entitlement.

Why the Fee Increase?

The OfS, which oversees higher education in England, primarily funds its operations through these registration fees rather than relying heavily on government funding. This method aligns with the government's policy that regulatory bodies should be funded by those they regulate. The fees support vital activities, such as monitoring educational standards and safeguarding public funds.

New Fee Structure

The fees are calculated based on the number of full-time equivalent students at each institution. For example, smaller institutions with up to 25 students will now pay £14,775, up from £14,220. Larger institutions with over 20,000 students will see their fees rise to £222,850 from £214,485.

Historical Context and Adjustments

Originally set in 2019, fees were reduced by 3% in real terms in 2021 to ease financial pressures during the COVID-19 pandemic. However, the need for the OfS to address new responsibilities led to a rise in 2023, including duties under the Higher Education (Freedom of Speech) Act 2023. The latest increase continues this trend, ensuring the OfS can meet its expanding role.

Consultation and Feedback

The fee adjustment follows a consultation with educational representatives, who acknowledged the necessity of fees for effective regulation, despite concerns about financial strains on providers and students in the current economic climate. Notably, concessions such as fee reductions for new providers and exemptions for micro-entities remain unchanged.

Looking Ahead

The new regulations will be monitored annually, with a review planned for the 2026/27 academic year. By closely aligning fee adjustments with operational needs and inflation, the OfS aims to balance its financial requirements with the economic realities faced by educational institutions.

For further details, guidance will be issued by the OfS in mid-June 2025, outlining the payment process for registered providers.