Cost of a degree rises to £33,512

Freshers starting university this year expect to pay £33,512 for a three-year degree course.

New figures from NatWest show that this cost means the average student predicts they will graduate with some £14,779 of debt.

But the cost is not putting people off, as four prospective students in five think going to university will help them secure a better job in the future, and the majority (53 per cent) want to train for a specific career - such as medicine or law.

"New students are clearly much more clued up about the financial realities of university than in previous years," said Mark Worthington, head of NatWest student and graduate banking.

"Despite the anticipated cost of university rising by 17 per cent on 2005, students are taking it in their stride and cutting back on their spending, meaning they only expect to graduate with eight per cent more debt than those not paying the increased tuition fees."

Last year prospective students expected that university would cost them £28,600, and they would graduate with £13,680 of debt.

And this means that students are expecting their costs and debts to increase far less than the additional burden many will face through top-up fees.

This year universities can charge up to £3,000 a year extra in top-up fees, but students are expecting to spend just £4,912 more over three years and see their debts increased by £1,099 despite many of them paying £9,000 more than last year's intake.

And to keep costs down, prospective freshers are planning to take up part-time jobs to go with parental help.

Some 87 per cent of this year’s intake think they will have to get a part time job to help fund their studies, while two thirds of parents currently finance their children’s university education.

Twenty-eight per cent of these give regular amounts throughout the term, 26 per cent hand out money when it is needed, eight per cent get a lump sum at the beginning of each term and four per cent receive a one-off amount when they start university.

"University really plays a huge part in shaping a person’s future. It not only gives them the educational background needed to really succeed in the world of business but it teaches them valuable life lessons that enable them to stand on their own two feet successfully," NatWest's Mr Worthington said. XXX