Tag: interest

  • Why the current campaign on student loan interest may be misguided, misunderstood and misdirected

    Why the current campaign on student loan interest may be misguided, misunderstood and misdirected

    Author:
    Nick Hillman

    Published:

    HEPI Director Nick Hillman takes a look at the campaign to write off some outstanding student debt.

    There has been a spate of media stories this week about student loans. In essence, people who went to university in the years after higher tuition fees began in 2012 are now getting on in their careers only to find a big chunk of their salary disappearing at source.

    Their anger has focused especially on the real interest rate applied to the debts of higher earners (currently 3.2% to cover [RPI] inflation plus another 3% on top). This interest rate means you can be making material student loan repayments while not materially reducing the face value of your outstanding student loan.

    Such anger was always going to happen. In 2014, I wrote a piece for the Guardian entitled ‘Today’s students aren’t an electoral force, but wait until debts bite’. This predicted ‘the debts today’s students are accruing’ would eventually ‘cause a political ruckus’:

    come with me to the election of 2030. Those who began university when fees went up to £9,000 in 2012 will be in their mid-thirties by then. That is the average age of a first-time homebuyer and the typical age for female graduates to have their first child. By then, there will be millions of voters who owe large sums to the Student Loans Company but who need money for nappies and toys, not to mention childcare and mortgages. So, however reasonable student loans look on paper now, the graduates of tomorrow could end up a powerful electoral force.

    It is easy now, as it was easy then, to see how promising to reduce these graduates’ student debts would be popular, at least with them. At the 2005 New Zealand general election, Labour promised to abolish student loan interest in ‘a blatant, unapologetic pitch for the middle class vote – and it probably worked’. A later New Zealand Prime Minister remarked: ‘it’s not politically sustainable to put interest back on student loans. It may not be great economics, but it’s great politics.’ 

    Of course no one likes facing having high debts or seeing big deductions from their salaries to repay those debts. Plus, it is a very hard time to be a young graduate, with high housing costs, a tough graduate labour market and endless obstacles against settling down. (Is it possible, perhaps, that the current campaign has found such a sympathetic hearing among older voters and older journalists because it feels easier to support reducing younger graduates’ student debts than to support other changes that could help younger workers more, such as lots of new housebuilding?)

    But as the arguments rage, let’s not pretend the new campaign is anything other than what it is: an attack on the most progressive feature of England’s (old) student loan system by those whose degrees have helped them on to higher-than-average wages.

    As Lord Willetts told a parliamentary committee in 2017:

    the interest rates were [originally] brought in to make the system a bit more progressive – [to] collect rather more from high‑paid graduates – but I am afraid that the lesson, surely, from interest rates is that progressive policies are not always politically popular.

    The current complaints from young professionals are also an outstandingly clear example of the old idea that entering work and settling down pushes people from left to right politically. Remember, the real interest rate on student loans is the single most progressive feature of the student loan system: it is the bit that ensures better-off graduates do not extinguish their loan swiftly and instead go on paying back for longer. Getting rid of it would therefore be regressive.

    I can’t help feeling that today’s angry middle-income graduates resemble no one so much as those who voted for Margaret Thatcher’s tax cuts in the 1980s. (Indeed, if I were Kemi Badenoch, I would be asking whether this group might offer a path back to power for the centre right.) 

    So much is being missed in the current campaign that I feel duty bound to flag the 10 points below:

    1. The original proposal in the Browne report of 2010 to charge a real interest rate was to ensure that graduates covered the government’s cost of borrowing – at that time, this was thought to be 2.2 per cent (but it is higher today), though the Coalition Government went for a slightly higher 3 per cent maximum to make the system as progressive as possible. Today, the UK Government owes nearly £3 trillion and annual interest on that debt is around £100 billion. It would feel great if we did not have to pay that interest each year, but we do. 
    2. The real interest rate no longer exists for new students in England (as it was abolished in 2023). Much of the media coverage in the last few days has seemed irresponsible because it implies to people currently holding offers from universities that higher education is not worth it. This morning, for example, BBC Radio 4’s flagship Today programme (1’53” on) featured a cosy interview of two graduates, one an MP, that talked about the costs of repaying a student loan but which ignored the enormous (on average) personal financial and non-financial benefits of getting a degree – which remain substantial even after taking the loan repayments into account.
    3. One of the graduates interviewed on the Today programme called his 51% marginal deduction rate (40% income tax, 2% National Insurance and 9% student loan repayments) ‘highly disincentivising’. Taking home less than half your pay is indeed painful (just as is losing more than half your benefits for every extra £1 earned). By inclination, I rather favour a smaller state myself. But the graduate said, as a consequence of this 51% rate, that he is ‘trying to reduce my hours’. This seems an unusual response, given it’s surely better to receive 49p in each extra £1 earned than not to earn that £1 at all and given that reducing his hours will mean his student loan debt ends up growing even faster as his repayments fall. Many of the older journalists encouraging unhappy graduates to make these arguments will be facing a marginal tax rate of around (sometimes above) 50% themselves, yet it does not seem to have made them less ambitious. (Paging Arthur Laffer.)
    4. It is the interest rate that, in part, pays for the insurance features of student loans, such as the write-offs for those whose higher education did not work out so well financially. If you never hold down well-paid work for whatever reason, you do not have to pay back your loan. The student loan system has a lot in common with taxation and that is how taxation works too: those with more pay for those with less. So it was particularly odd, I thought, to hear the Labour MP for Milton Keynes North, say on Radio 4 that other debts might be better than student loans ‘because of the high interest rates’. Save the Student (‘the student money site’) rightly responded by saying: ‘The suggestion from Chris Curtis that it may sometimes be better to take out a private loan was astonishing (not to mention unrealistic and dangerous).’ Could it have been better to focus on the continuing campaign to get Milton Keynes a regular university or on the delays in the opening of East/West rail, which is currently being held up by a petty dispute over who should open the train doors, thereby hindering the development of the Oxford-Cambridge Arc?
    5. The interest rate in question is tapered. I wish I had a pound for every time the interest rate on student loans is written about as if it is fixed. In fact, the cohort of graduates facing real interest rates do not face a real interest rate if they earn below £28,470 and they only face the full whack if they earn at least £51,245 a year – significantly higher than the average graduate salary let alone the average salary for the working population as whole. The interest rate these graduates face is also capped at certain times. In the sober official language: ‘during some periods we may apply an interest cap to ensure you’re not being charged a higher interest rate than comparable rates found in the commercial market.’
    6. A really detailed look at the whole issue of interest on student loans was made by the Augar panel at the end of the last decade. They concluded abolishing interest (which has of course now happened for those going to university from 2023) would be deeply unfair and damage other parts of education: ‘Some of our respondents argued that student loans should never attract real interest – not even for borrowers who have left education and begun earning. We do not accept this view: a level of real interest should continue to be charged on the grounds that it would be imprudent and wasteful for government to provide entirely costless finance. It is worth reiterating the point that the variable interest rate mechanism protects low earners from high real interest rates, while increasing the contribution from higher earners. The provision of loans at zero real interest throughout the whole loan period could encourage almost all students to take out loans (as opposed to paying fees with their own funds) and to continue to hold this ‘debt’ throughout the contribution period as it may eventually be written off. This would be at considerable additional cost to government at the expense of investment elsewhere in tertiary education.’
    7. The real interest rate was abolished by a centre-right government in England from 2023 but it was kept in Wales by a centre-left government, which likes its progressive nature. (Scotland does not have a real rate of interest, which is part of the general SNP approach of seeming progressive while in practice protecting middle-class finances at the price of restricting places and underfunding universities.) The new campaign seems to have emerged from a left-of-centre place (judging for example, by the MPs speaking out) but eradicating interest is not really a left-of-centre idea at all: it takes weight off the shoulders of the best performing graduates and applies it to others, whether they are less highly-performing graduates or non-graduates. That is why, since the real interest rate was abolished for new students in England from 2023, many organisations favouring greater redistribution and regarded as being on the left have called for the real interest rate to return. Last year, Times Higher Education reported that the National Union of Students wanted to reintroduce ‘real interest rates of up to 2 per cent for higher earners’.
    8. Perhaps the most important point of all, however, is that today’s campaigners should be careful what they wish for. A judicious campaign may get them what they want, as in New Zealand. But whenever in the past people here have said students loans are not being paid down quickly enough, the policymakers’ response has tended to be the opposite: in other words, toughening up the repayment rules, for example by reducing the salary threshold at which the loans start to be repaid, leaving people with less – not more – cash in their pockets. Another favoured policy has been to increase the student loan repayment term, to ensure more graduates pay back the entirety of their debts.
    9. If there is a case for writing off some or all of anyone’s outstanding student loans and if the country were rich enough to do this (I fear it is not, just look at the deficit / debt), then surely the cohort to start with would be the COVID generation, whose higher education was so badly disrupted. They are generally a different group to the early late 20somethings and early 30somethings now doing well in their careers who are behind the new campaign.
    10. Finally, it is worth recalling the story of the world’s first modern income-contingent student loan system, the Yale University’s Tuition Postponement Option (TPO) from the 1970s. The progressive features of this scheme became unpopular among Yale’s wealthy graduates who disliked paying to cover the costs of other graduates who had done less well financially. The TPO was eventually wound up in 2001 after an aeroplane salesman set up a ‘TPO Blues’ campaign for rich alumni. The scheme’s demise might have been popular, but no one should pretend it was progressive.

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  • Nigerian student interest in the US falls by 50%

    Nigerian student interest in the US falls by 50%

    Search interest in America among Nigerians dropped immediately following the announcement of the US travel ban in December 2025, with levels more than half of what they were during a high point in August last year, according to Keystone Education Group data. 

    “We continue to see audiences responding very quickly to actions and announcements from the US government and Nigeria is no exception,” said Mark Bennett, Keystone’s VP of research & insight. 

    “These announcements don’t discourage Nigerians from studying abroad, but they will prompt them to look for opportunities elsewhere. Crucially, that doesn’t have to mean elsewhere in the big four,” added Bennett. 

    European destinations have absorbed the most Nigerian student interest pivoting away from the US, with France and Italy seeing search growth of 40% and 33% respectively during the same period.  

    China has also seen a 17% boost in interest from Nigerian students, while interest in Australia grew by 21%. 

    Previously, the challenge was navigating long wait times and backlogs. Now, there is no pathway at all

    Bimpe Femi-Oyewo

    On December 16, 2025, the administration announced the expansion of the US travel ban to cover nearly 40 nations, including Nigeria, America’s eighth largest sender of international students.  

    The African nation is now subject to partial travel restrictions, which includes barring Nigerian citizens from obtaining study visas for the US. 

    Speaking to The PIE News shortly after the announcement, founder of a Nigerian education consultancy Bimpe Femi-Oyewo said the level of uncertainty caused by the ban was “incredibly destabilising” for students and the institutions that admitted them. 

    “Previously, the challenge was navigating long wait times and backlogs. Now, there is no pathway at all,” she said – adding that she was encouraging students to consider alternative pathways in Europe and Canada.  

    What’s more, the ripple effects of the travel ban and other restrictive US policies are being felt beyond the directly impacted nations, with America’s reputation as an unwelcoming study destination growing globally. 

    This is evident in Keystone’s survey data, which found the proportion of students expressing low confidence in the ease of US visa and entry requirements increasing from 14% to 21% following the expanded travel ban. 

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  • Tips for Making a Student Interest Survey

    Tips for Making a Student Interest Survey

    Understanding what motivates and excites students is at the heart of teaching. Whether it’s discovering their favorite hobbies, their goals, or the way they prefer to learn, gathering this kind of data helps educators tailor lessons that truly connect with their students. One of the best ways to gather this information is through student interest surveys. 

    With interest surveys for students, you can collect actionable information to use throughout the school year. You can make a student survey that is super simple and offers insights that can enhance classroom engagement, strengthen relationships, and support differentiated instruction, too.

    What is a Student Interest Survey?

    A student interest survey is a tool designed to gather information about students’ preferences, hobbies, goals, and ways they like to learn. These surveys help educators better understand what motivates their students. You can use the information you gather to connect with students on a personal level and create lessons that resonate.

    For example:

    • In an elementary classroom, surveys might ask about favorite books, hobbies, or after-school activities.
    • In middle school, they might explore topics students are curious about within a subject area, like what parts of history or science excite them most.
    • For high school students, surveys can include questions about career interests or their preferred methods of learning, such as videos, group work, or hands-on activities.

    By tailoring the questions to the grade level and classroom context, you can design surveys that give you valuable insights about students.

    Why is Making a Student Interest Survey Important?

    Student interest surveys play a critical role in creating a positive and engaging learning environment. 

    Building Relationships

    Surveys show students that their opinions and interests are valued. This can foster trust and create a more inclusive and welcoming classroom culture. For example, if a student shares their passion for basketball, incorporating that into lessons can help them feel seen and appreciated. 

    Enhancing Engagement

    When lessons connect with students’ interests, their engagement can increase. A math problem involving sports statistics or a science experiment about underwater habitats can make abstract concepts more relatable and exciting.

    If you’ve joined me for a webinar or workshop this year, you might have seen the example I often share about using a chatbot to generate activity ideas based on student interest. I often demo the prompt, “I’m teaching [topic] to [grade], and they love [interests]. Make a list of connections that can help them stay engaged and retain knowledge.”

    Supporting Differentiation

    Surveys can help educators adapt teaching strategies to address the different ways kids like to learn. For instance, if a student prefers independent work over group activities, you can use this information to guide project assignments or seating arrangements.

    What to Include When Making a Student Interest Survey

    A well-designed survey gathers a mix of personal, academic, and classroom-specific information. Here are a few things to include:

    1. General Information: Start with basics like name, class period, and favorite subjects.
    2. Personal Interests: Ask about hobbies, favorite books or movies, and extracurricular activities. Open-ended questions work well here, but younger students might benefit from multiple-choice options.
    3. Learning Preferences: Include questions about group work versus individual tasks, preferred classroom activities, and how students like to receive information (e.g., videos, reading, hands-on projects).
    4. Goals and Aspirations: These could range from short-term academic goals to long-term career interests. For example, high schoolers might share their dream jobs, while elementary students could talk about a skill they hope to master.
    5. Classroom-Specific Questions:
      • Elementary: “What’s your favorite part of the school day?”
      • Middle School: “If you could learn about anything, what would it be?”
      • High School: “What skills do you hope to gain this year?”
    6. Optional Questions: Questions like “What’s something you wish your teacher knew about you?” can provide deeper insights and open doors for meaningful conversations.

    Using Digital Tools for Efficiency

    Digital tools make creating and analyzing surveys faster and more efficient. Platforms like Google Forms, Jotform, and Microsoft Forms offer features like multiple-choice questions, dropdowns, and Likert scales. All of these can simplify the data collection process. These tools, and others like them, also automatically organize responses (like a Google Sheet), saving time for educators. 

    For younger students, tools like Padlet can be used to gather video or audio responses. You might also ask students to make a collage of their favorite things.

    4 Tips for Creating Effective Surveys

    To make sure your surveys give you actionable information, here are a few best practices to take into consideration.

    • Keep It Short: Limit surveys to 5–10 questions to avoid overwhelming students.
    • Use Clear Language: Adapt the wording to the age group. For younger students, you might want to provide examples or visuals to clarify questions.
    • Review the Data: Use visual charts or spreadsheets to identify trends and personalize your approach.
    • Follow Up: Let students know how their input will be used. Share how their responses are shaping lessons, group projects, or classroom routines.

    Making a Student Interest Survey

    Student interest surveys are a powerful tool for building connections, fostering engagement, and personalizing learning. By taking the time to understand what excites and motivates your students, you can create a classroom environment where every learner feels valued and inspired.

    Whether you’re designing your first survey or refining an existing one, remember that the ultimate goal is to use the insights gained to make meaningful changes. Start small, experiment with different formats, and, most importantly, show students that their voices matter!

    Do you have a student interest survey success story? Reply to my weekly newsletter (sign up here) and let me know all about it.

    Find more posts featuring personalized learning tips & resources:

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  • Alabama HBCU Shows Interest in Trump’s Compact

    Alabama HBCU Shows Interest in Trump’s Compact

    Oakwood University supports the Trump administration’s controversial compact for higher education that would require signatories to make changes to their policies in order to receive a potential edge in federal funding, Religion News Service (RNS) reported.

    The historically Black university in Alabama wrote a Nov. 18 letter to the Education Department about its interest in the compact. Oakwood is the second HBCU to show interest in signing on. Like the other HBCU, Saint Augustine’s University, Oakwood officials say the compact needs to change for them to actually sign it. 

    Of concern for the HBCUS are provisions that would cap undergraduate international student enrollment at 15 percent, require a five-year tuition freeze and limit the use of race in admissions and other decisions.

     “While we strongly support the Compact’s overarching goals, several provisions of the draft framework raise important concerns that, if left unaddressed, could unintendedly hinder HBCUs’ ability to participate fully or effectively,” Oakwood President Gina Brown wrote in the letter, according to RNS. “Absent a mission-based exemption, HBCUs would face an untenable choice between compliance and fulfilling their congressionally mandated purpose.”

    Oakwood is affiliated with the Seventh Day Adventist Church, and RNS noted that faith-based institutions would still be able to consider religion in admissions and hiring.

    The Trump administration invited nine universities to give feedback on the proposed compact. Most of that group declined outright to sign it, saying that federal funding should be based on merit, not adherence to a president’s priorities. Since then, New College of Florida, Valley Forge Military College and Saint Augustine’s have indicated interest in joining the compact.

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  • St. Augustine’s expresses interest in Trump compact — with big caveats

    St. Augustine’s expresses interest in Trump compact — with big caveats

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    Dive Brief:

    • Saint Augustine’s University told the U.S. Department of Education that it wants to “participate in and help shape” the Trump administration’s proposed compact that seeks to control a range of academic and operational policies in exchange for preferential access to federal funding.
    • However, leaders from the historically Black institution caveated their support over concerns that aspects of the compact as written “risk unintended consequences that would impede our ability to serve students effectively.”
    • “Despite these concerns, Saint Augustine’s University remains eager to participate as a constructive partner and early-engagement institution,” the leaders of the private North Carolina university said in a letter obtained by Fox News. They requested “a dialogue process” with the Education Department to facilitate “mission-sensitive accommodations” for HBCUs.

    Dive Insight:

    Last month, the Trump administration offered nine high-profile research colleges a deal — priority for federal grants in exchange for enacting a wide range of policies aligning with the president’s higher education goals.

    Some of the compact’s terms, while unprecedented, are straightforward, such as freezing tuition rates for five years, requiring standardized testing for undergraduate applicants, and capping international students’ share of undergraduate enrollment at 15%. 

    Others go beyond cut-and-dry policy changes, such as publicly auditing the viewpoints of employees and students and potentially changing or ending campus units that purposefully “punish” or “belittle” conservative ideas.

    Seven of the initially invited colleges rejected the deal, and, as of Thursday afternoon, the remaining two have yet to publicly accept or decline the offer.

    But a few colleges have sought to take their place after President Donald Trump appeared to open the compact offer to all higher ed institutions. 

    Saint Augustine’s letter makes it the third college — and the first HBCU — to publicly express interest in the bargain.

    The New College of Florida — in a move in line with its conservative makeover under Florida Gov. Ron DeSantis — became the first college to publicly volunteer to sign the compact on Oct. 27. The following day, Valley Forge Military College offered to accept the deal as well, according to The Philadelphia Inquirer.

    But unlike New College and the military college, Saint Augustine’s did not give the proposed compact a full-throated endorsement.

    Neither the Education Department nor the university responded to questions Thursday.

    Verjanis Peoples, the university’s newly appointed interim president, and Sophie Gibson, chair of its board of trustees, warned that the compact as written is “not compatible with the statutory mission and federal mandate under which HBCUs operate.”

    “Because our mission is not ornamental but foundational, we cannot implement requirements that would directly conflict with our identity as a Historically Black University or undermine our ability to serve the populations for whom we were created,” they wrote in their letter, which Fox News reported as being sent to the Education Department on Wednesday.

    Peoples and Gibson cited a handful of the compact’s provisions, including one requiring signatories to not consider race, sex, religion and other characteristics “explicitly or implicitly” in admissions or financial aid. 

    The pair said the restriction, “while well intentioned,” conflicts with Title III of the Higher Education Act, which in part provides colleges grant funding and establishes a program meant to strengthen HBCUs. The Trump administration’s proposed deal would also run contrary to “the explicit purpose of HBCUs to expand access for Black students and historically marginalized communities,” they said.

    The compact said it would grant exceptions for religious and single-sex institutions to limit admissions based on religious belief and sex, respectively, but did not address HBCUs.

    Other elements of the Trump administration’s proposal could also hinder HBCUs, Peoples and Gibson said. 

    These colleges typically maintain smaller endowments and would have a difficult time absorbing the costs of a tuition freeze. A cap on international enrollment would disproportionately hit HBCUs, which have “global partnerships across the African diaspora,” they said.

    Saint Augustine’s leaders also flagged a compact provision that would require colleges to adopt definitions of gender and sex in step with Trump’s executive order saying the federal government would only recognize two sexes, male and female, that cannot be changed. These definitions have been rebuked by the scientific and medical communities.

    HBCUs could face operational challenges if they adopt this language given their “inclusive campus policies shaped by both community needs and regulatory frameworks,” the letter said.

    “Such provisions would unintentionally force HBCUs to choose between compliance and survival, a position that is neither feasible nor consistent with congressional intent,” Peoples and Gibson said.

    Should the Trump administration take Saint Augustine’s up on its offer, the embattled university could gain a financial lifeline amidst ongoing operational turmoil.

    In recent years, Saint Augustine’s has had its accreditation revoked, then reinstated, then revoked again. The university is operating as an accredited institution this fall because of a preliminary court injunction temporarily reversing the latest revocation.

    The university’s accreditor, Southern Association of Colleges and Schools Commission on Colleges, has raised concerns over its finances and governance.

    Saint Augustine’s has attempted different tactics to address its ongoing budget issues, including pursuing land lease deals, taking out loans and drastically cutting its workforce.

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  • Ireland sees 38% surge in Indian student interest: student perception study 2025

    Ireland sees 38% surge in Indian student interest: student perception study 2025

    The study, which surveyed students, parents, and counsellors across India, highlights how Ireland’s mix of academic excellence, affordability, safety, and employability is reshaping perceptions and driving enrolments.

    Ireland’s rise as a destination

    The report shows that while India continues to lead globally in outbound student mobility, sending more than 760,000 students abroad in 2024, Ireland’s growth has been particularly striking. From just 700 Indian students in 2013, enrolments crossed 9,000 in 2023/24 a 120% increase in five years. Even in 2024, when overall outbound mobility dipped by nearly 15%, interest in Ireland grew by 38%.

    What makes this growth significant is that it is not driven by marketing or advertising alone, but by the trust created through authentic student experiences, alumni voices, and counsellor guidance. Families see Ireland as a country that delivers not just degrees, but outcomes.

    Key highlights from the student perception study 2025

    • India leads in global outbound mobility: 7.6 lakh Indian students went abroad in 2024, compared to 2.6 lakh in 2020.
    • Ireland’s rapid growth: Indian enrolments rose from 700 in 2013 to over 9,000 in 2023/24 a 120% jump in five years.
    • Academic excellence: Six Irish universities now rank among the world’s top 500.
    • Affordable pathways: Tuition and living costs are 30-40% lower than in the US or UK; one-year Master’s programs add time and cost efficiency.
    • Employability outcomes: 80% of graduates secure employment within nine months; 1,800+ global companies including Google, Microsoft, Apple, and Pfizer offer strong career pathways.
    • Safety and community: Ireland ranks as the world’s third safest country, with over 60,000 Indians already settled.
    • Tier II/III interest rising: Students from Coimbatore, Guwahati, and Kochi are increasingly choosing Ireland, aided by education loans and growing awareness.

    A new student mindset

    The report underscores a fundamental shift: Indian students are increasingly outcome-oriented. Decisions are now guided by employability, post-study work opportunities, affordability, and return on investment, rather than prestige alone.

    Peer and alumni referrals, counsellor guidance, and authentic word-of-mouth are the strongest drivers of choice. Ireland’s reputation in STEM, AI, sustainability, data science, and cybersecurity is particularly resonant with this new generation of aspirants.

    Decisions are now guided by employability, post-study work opportunities, affordability, and return on investment, rather than prestige alone

    This aligns with India’s own reforms under the National Education Policy (NEP) and UGC guidelines, which are actively encouraging student exchange, internationalisation, and the establishment of foreign campuses within India. Together, they signal a new era where India is not just an outbound source market but also a global partner in talent and education.

    Why Ireland matters

    Ireland’s rise as a destination of choice reflects more than just academic strength. It represents trust – the trust of students who see real employability outcomes, of parents who value safety and affordability, and of institutions worldwide who view India as a critical partner in shaping global education.

    As global higher education undergoes transformation, Ireland’s expanding reputation, student-first approach, and strong industry linkages position it uniquely. It is not a “Plan B” market; it is becoming a first-choice destination for Indian students.

    For families making one of the most important decisions of their lives, the message is clear: Ireland is where ambition meets opportunity.

    About the author: Aritra Ghosal is the Founder & CEO of OneStep Global, a market entry firm specialising in higher education. With deep expertise in student mobility and institutional strategy, he has worked with global universities to expand their presence across Asia. Under his leadership, OneStep Global has partnered with leading institutions to build authentic student connections, support internationalisation, and shape the future of global education.

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  • Why all the fuss about interest rates?

    Why all the fuss about interest rates?

    For the first time in more than a decade, interest rates across the world are rising from what some say were their lowest levels in 5,000 years.

    You heard that right. The idea of lending money — and charging a fee for doing so — is as old as civilisation. Central banks, the institutions now responsible for guiding a country’s rates, are much more recent. Sweden’s Riksbank, in 1668, was the first, closely followed by the Bank of England in 1694.

    Don’t worry. This spin through history is meant only to show that interest rates have a long, if not always respected, past.

    In our drama-filled present, the world is watching — with interest — where they will go from here.

    So why do interest rates matter? And why now, in particular?

    Why do interest rates matter?

    To vastly oversimplify the argument: lending rates matter because prices matter. And interest rates are the most tried-and-tested tool for keeping prices under control.

    Even those who prefer getting their financial advice from TikTok and YouTube, rather than consulting traditional financial institutions, would be hard-pressed to miss the fact that prices for essentials such as food, fuel and cooking oil are rising faster across the industrialized world than they have in decades.

    This can be particularly hard for those starting their working lives. Nearly half the Generation Zs and Millennials in a 46-country Deloitte poll said they live paycheque to paycheque. Of the thousands surveyed, nearly one-third (29% of Gen Zs and 36% of Millennials) said inflation was their most pressing worry right now.

    The global rise in prices is the result of a perfect storm of factors: among others, a food shortage caused by Russia’s blockade of Ukraine’s ports, soaring energy costs and the effects of droughts, heatwaves and other climate-linked extreme weather on agriculture; a resurgence in consumer buying deferred during COVID-19 lockdowns; and a surge in demand for workers.

    And while wages are also rising after years of near dormancy, they are not increasing fast enough to keep pace with prices. So even the most carefully managed household budget is facing new strains.

    That’s where interest rates come in.

    Slowing inflation without stalling economies

    Central banks hope that by making it more expensive to borrow, they can slow the pace of inflation. That they have been able to keep rates at or near zero for so long is because the world was in an extraordinary period of extended price stability.

    There is little that even the cleverest economic steward can do to fix the external factors affecting inflation — Ukraine, droughts, labour shortages — but they can try to put the brakes on internal drivers such as consumer demand.

    So that’s why rates are increasing in most major economies faster than they have since the latter part of the last century.

    The U.S. Federal Reserve, arguably the world’s most powerful central bank, has raised rates three times this year and is expected to increase them again this week. Peers such as the European Central Bank and the Bank of England are following suit, although some are taking a cautious approach because they want to slow their economies without stalling them completely.

    The question is: How far will rates rise and how will that affect a global economy that has been buffeted in the past few years by a pandemic, geopolitical turmoil and a supply chain crisis?

    Consider hypothetical futures.

    Economists say a few possible paths lie before us.

    The best-case scenario is what they call a “soft landing”: interest-rate rises could put a quick end to the price spiral without causing a halt or, worse, a reversal in economic growth. When prices stop rising, rates do too.

    There are potential pluses for the young in this brightest of hypothetical futures. It could allow wages to catch up with costs, boosting buying power. And if there is a halt or reversal in property prices, they could at last have a chance to buy without having to face cripplingly high mortgage rates.

    The second-best scenario is a brief recession that ends quickly and brings with it tamer prices and stable or lower lending rates. See above for benefits.

    “I am not confident in the soft-landing scenario,” said Greg McBride, Chief Financial Analyst at Bankrate.com. “A recession is very likely the price to be paid for getting inflation under control. And painful as recessions are — even mild recessions are not fun for anybody — that is medicine we are better off taking now in an effort to get back to price stability.”

    If interest rates rise too slowly or not enough, this opens the door to the worst of all possible worlds — a phenomenon known as stagflation.

    Stagflation is an ugly thing. Prices soar, economic growth slows and it becomes harder and harder to make ends meet. The fact is that economic growth will slow as rates rise, even in the best of our possible outcomes. But as long as prices follow, we will escape the economic purgatory that big economies faced in the 1970s.

    Now is the time for smart financial management.

    Whatever future lies ahead, McBride said, the best way to ride it out is to practice sound financial management. That applies whether you are a student, just joining the job market or starting your own business.

    “The fundamentals are critically important,” he said. “That is: invest in yourself and your future earning power; watch your expenses; live beneath your means; save and invest the difference; and don’t rely on debt to support your lifestyle if your income cannot.”

    This last is particularly important in a time of rising rates.

    “There are points in life where you need debt,” he said. “You may need to borrow to get through school. You’re probably going to have to borrow to buy a house.”

    But you must never lose sight of “the end game” of paying that debt off, particularly if, as with most credit cards, it carries high or variable interest rates. And don’t borrow for non-essentials.

    McBride said: “Leaning against debt, like a crutch to support a lifestyle your income cannot, doesn’t lead anywhere good.”


    QUESTIONS TO CONSIDER

    1. What is stagflation and why is it the worst-case scenario?

    2. How can policymakers tame inflation?

    3. How have the prices for food, fuel and other goods changed where you live?


     

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  • OfS’ understanding of the student interest requires improvement

    OfS’ understanding of the student interest requires improvement

    When the Office for Students’ (OfS) proposals for a new quality assessment system for England appeared in the inbox, I happened to be on a lunchbreak from delivering training at a students’ union.

    My own jaw had hit the floor several times during my initial skim of its 101 pages – and so to test the validity of my initial reactions, I attempted to explain, in good faith, the emerging system to the student leaders who had reappeared for the afternoon.

    Having explained that the regulator was hoping to provide students with a “clear view of the quality of teaching and learning” at the university, their first confusion was tied up in the idea that this was even possible in a university with 25,000 students and hundreds of degree courses.

    They’d assumed that some sort of dashboard might be produced that would help students differentiate between at least departments if not courses. When I explained that the “view” would largely be in the form of a single “medal” of Gold, Silver, Bronze or Requires improvement for the whole university, I was met with confusion.

    We’d spent some time before the break discussing the postgraduate student experience – including poor induction for international students, the lack of a policy on supervision for PGTs, and the isolation that PGRs had fed into the SU’s strategy exercise.

    When I explained that OfS was planning to introduce a PGT NSS in 2028 and then use that data in the TEF from 2030-31 – such that their university might not have the data taken into account until 2032-33 – I was met with derision. When I explained that PGRs may be incorporated from 2030–31 onwards, I was met with scorn.

    Keen to know how students might feed in, one officer asked how their views would be taken into account. I explained that as well as the NSS, the SU would have the option to create a written submission to provide contextual insight into the numbers. When one of them observed that “being honest in that will be a challenge given student numbers are falling and so is the SU’s funding”, the union’s voice coordinator (who’d been involved in the 2023 exercise) in the corner offered a wry smile.

    One of the officers – who’d had a rewarding time at the university pretty much despite their actual course – wanted to know if the system was going to tackle students like them not really feeling like they’d learned anything during their degree. Given the proposals’ intention to drop educational gain altogether, I moved on at this point. Young people have had enough of being let down.

    I’m not at home in my own home

    Back in February, you might recall that OfS published a summary of a programme of polling and focus groups that it had undertaken to understand what students wanted and needed from their higher education – and the extent to which they were getting it.

    At roughly the same time, it published proposals for a new initial Condition C5: Treating students fairly, to apply initially to newly registered providers, which drew on that research.

    As well as issues it had identified with things like contractual provisions, hidden costs and withdrawn offers, it was particularly concerned with the risk that students may take a decision about what and where to study based on false, misleading or exaggerated information.

    OfS’ own research into the Teaching Excellence Framework 2023 signals one of the culprits for that misleading. Polling by Savanta in April and May 2024, and follow-up focus groups with prospective undergraduates over the summer both showed that applicants consistently described TEF outcomes as too broad to be of real use for their specific course decisions.

    They wanted clarity about employability rates, continuation statistics, and job placements – but what they got instead was a single provider-wide badge. Many struggled to see meaningful differences between Gold and Silver, or to reconcile how radically different providers could both hold Gold.

    The evidence also showed that while a Gold award could reassure applicants, more than one in five students aware of their provider’s TEF rating disagreed that it was a fair reflection of their own experience. That credibility gap matters.

    If the TEF continues to offer a single label for an entire university, with data that are both dated and aggregated, there is a clear danger that students will once again be misled – this time not by hidden costs or unfair contracts, but by the regulatory tool that is supposed to help them make informed choices.

    You don’t know what I’m feeling

    Absolutely central to the TEF will remain results of the National Student Survey (NSS).

    OfS says that’s because “the NSS remains the only consistently collected, UK-wide dataset that directly captures students’ views on their teaching, learning, and academic support,” and because “its long-running use provides reliable benchmarked data which allows for meaningful comparison across providers and trends over time.”

    It stresses that the survey provides an important “direct line to student perceptions,” which balances outcomes data and adds depth to panel judgements. In other words, the NSS is positioned as an indispensable barometer of student experience in a system that otherwise leans heavily on outcomes.

    But set aside the fact that it surveys only those who make it to the final year of a full undergraduate degree. The NSS doesn’t ask whether students felt their course content was up to date with current scholarship and professional practice, or whether learning outcomes were coherent and built systematically across modules and years — both central expectations under B1 (Academic experience).

    It doesn’t check whether students received targeted support to close knowledge or skills gaps, or whether they were given clear help to avoid academic misconduct through essay planning, referencing, and understanding rules – requirements spelled out in the guidance to B2 (Resources, support and engagement). It also misses whether students were confident that staff were able to teach effectively online, and whether the learning environment – including hardware, software, internet reliability, and access to study spaces – actually enabled them to learn. Again, explicit in B2, but invisible in the survey.

    On assessment, the NSS asks about clarity, fairness, and usefulness of feedback, but it doesn’t cover whether assessment methods really tested what students had been taught, whether tasks felt valid for measuring the intended outcomes, or whether students believed their assessments prepared them for professional standards. Yet B4 (Assessment and awards) requires assessments to be valid and reliable, moderated, and robust against misconduct – areas NSS perceptions can’t evidence.

    I could go on. The survey provides snapshots of the learning experience but leaves out important perception checks on the coherence, currency, integrity, and fitness-for-purpose of teaching and learning, which the B conditions (and students) expect providers to secure.

    And crucially, OfS has chosen not to use the NSS questions on organisation and management in the future TEF at all. That’s despite its own 2025 press release highlighting it as one of the weakest-performing themes in the sector – just 78.5 per cent of students responded positively – and pointing out that disabled students in particular reported significantly worse experiences than their peers.

    OfS said then that “institutions across the sector could be doing more to ensure disabled students are getting the high quality higher education experience they are entitled to,” and noted that the gap between disabled and non-disabled students was growing in organisation and management. In other words, not only is the NSS not fit for purpose, OfS’ intended use of it isn’t either.

    I followed the voice, you gave to me

    In the 2023 iteration of the TEF, the independent student submission was supposed to be one of the most exciting innovations. It was billed as a crucial opportunity for providers’ students to tell their own story – not mediated through NSS data or provider spin, but directly and independently. In OfS’ words, the student submission provided “additional insights” that would strengthen the panel’s ability to judge whether teaching and learning really were excellent.

    In this consultation, OfS says it wants to “retain the option of student input,” but with tweaks. The headline change is that the student submission would no longer need to cover “student outcomes” – an area that SUs often struggled with given the technicalities of data and the lack of obvious levers for student involvement.

    On the surface, that looks like a kindness – but scratch beneath the surface, and it’s a red flag. Part of the point of Condition B2.2b is that providers must take all reasonable steps to ensure effective engagement with each cohort of students so that “those students succeed in and beyond higher education.”

    If students’ unions feel unable to comment on how the wider student experience enables (or obstructs) student success and progression, that’s not a reason to delete it from the student submission. It’s a sign that something is wrong with the way providers involve students in what’s done to understand and shape outcomes.

    The trouble is that the light touch response ignores the depth of feedback it has already commissioned and received. Both the IFF evaluation of TEF 2023 and OfS’ own survey of student contacts documented the serious problems that student reps and students’ unions faced.

    They said the submission window was far too short – dropping guidance in October, demanding a January deadline, colliding with elections, holidays, and strikes. They said the guidance was late, vague, inaccessible, and offered no examples. They said the template was too broad to be useful. They said the burden on small and under-resourced SUs was overwhelming, and even large ones had to divert staff time away from core activity.

    They described barriers to data access – patchy dashboards, GDPR excuses, lack of analytical support. They noted that almost a third didn’t feel fully free to say what they wanted, with some monitored by staff while writing. And they told OfS that the short, high-stakes process created self-censorship, strained relationships, and duplication without impact.

    The consultation documents brush most of that aside. Little in the proposals tackles the resourcing, timing, independence, or data access problems that students actually raised.

    I’m not at home in my own home

    OfS also proposes to commission “alternative forms of evidence” – like focus groups or online meetings – where students aren’t able to produce a written submission. The regulator’s claim is that this will reduce burden, increase consistency, and make it easier to secure independent student views.

    The focus group idea is especially odd. Student representatives’ main complaint wasn’t that they couldn’t find the words – it was that they lacked the time, resource, support, and independence to tell the truth. Running a one-off OfS focus group with a handful of students doesn’t solve that. It actively sidesteps the standard in B2 and the DAPs rules on embedding students in governance and representation structures.

    If a student body struggles to marshal the evidence and write the submission, the answer should be to ask whether the provider is genuinely complying with the regulatory conditions on student engagement. Farming the job out to OfS-run focus groups allows providers with weak student partnership arrangements to escape scrutiny – precisely the opposite of what the student submission was designed to do.

    The point is that the quality of a student submission is not just a “nice to have” extra insight for the TEF panel. It is, in itself, evidence of whether a provider is complying with Condition B2. It requires providers to take all reasonable steps to ensure effective engagement with each cohort of students, and says students should make an effective contribution to academic governance.

    If students can’t access data, don’t have the collective capacity to contribute, or are cowed into self-censorship, that is not just a TEF design flaw – it is B2 evidence of non-compliance. The fact that OfS has never linked student submission struggles to B2 is bizarre. Instead of drawing on the submissions as intelligence about engagement, the regulator has treated them as optional extras.

    The refusal to make that link is even stranger when compared to what came before. Under the old QAA Institutional Review process, the student written submission was long-established, resourced, and formative. SUs had months to prepare, could share drafts, and had the time and support to work with managers on solutions before a review team arrived. It meant students could be honest without the immediate risk of reputational harm, and providers had a chance to act before being judged.

    TEF 2023 was summative from the start, rushed and high-stakes, with no requirement on providers to demonstrate they had acted on feedback. The QAA model was designed with SUs and built around partnership – the TEF model was imposed by OfS and designed around panel efficiency. OfS has learned little from the feedback from those who submitted.

    But now I’ve gotta find my own

    While I’m on the subject of learning, we should finally consider how far the proposals have drifted from the lessons of Dame Shirley Pearce’s review. Back in 2019, her panel made a point of recording what students had said loud and clear – the lack of learning gain in TEF was a fundamental flaw.

    In fact, educational gain was the single most commonly requested addition to the framework, championed by students and their representatives who argued that without it, TEF risked reducing success to continuation and jobs.

    Students told the review they wanted a system that showed whether higher education was really developing their knowledge, skills, and personal growth. They wanted recognition of the confidence, resilience, and intellectual development that are as much the point of university as a payslip.

    Pearce’s panel agreed, recommending that Educational Gains should become a fourth formal aspect of TEF, encompassing both academic achievement and personal development. Crucially, the absence of a perfect national measure was not seen as a reason to ignore the issue. Providers, the panel said, should articulate their own ambitions and evidence of gain, in line with their mission, because failing to even try left a gaping hole at the heart of quality assessment.

    Fast forward to now, and OfS is proposing to abandon the concept entirely. To students and SUs who have been told for years that their views shape regulation, the move is a slap in the face. A regulator that once promised to capture the full richness of the student experience is now narrowing the lens to what can be benchmarked in spreadsheets. The result is a framework that tells students almost nothing about what they most want to know – whether their education will help them grow.

    You see the same lack of learning in the handling of extracurricular and co-curricular activity. For students, societies, volunteering, placements, and cocurricular opportunities are not optional extras but integral to how they build belonging, develop skills, and prepare for life beyond university. Access to these opportunities feature heavily in the Access and Participation Risk Register precisely because they matter to student success and because they’re a part of the educational offer in and of themselves.

    But in TEF 2023 OfS tied itself in knots over whether they “count” — at times allowing them in if narrowly framed as “educational”, at other times excluding them altogether. To students who know how much they learn outside of the lecture theatre, the distinction looked absurd. Now the killing off of educational gain excludes them all together.

    You should have listened

    Taken together, OfS has delivered a masterclass in demonstrating how little it has learned from students. As a result, the body that once promised to put student voice at the centre of regulation is in danger of constructing a TEF that is both incomplete and actively misleading.

    It’s a running theme – more evidence that OfS is not interested enough in genuinely empowering students. If students don’t know what they can, should, or could expect from their education – because the standards are vague, the metrics are aggregated, and the judgements are opaque – then their representatives won’t know either. And if their reps don’t know, their students’ union can’t effectively advocate for change.

    When the only judgements against standards that OfS is interested in come from OfS itself, delivered through a very narrow funnel of risk-based regulation, that funnel inevitably gets choked off through appeals to “reduced burden” and aggregated medals that tell students nothing meaningful about their actual course or experience. The result is a system that talks about student voice while systematically disempowering the very students it claims to serve.

    In the consultation, OfS says that it wants its new quality system to be recognised as compliant with the European Standards and Guidelines (ESG), which would in time allow it to seek membership of the European Quality Assurance Register (EQAR). That’s important for providers with international partnerships and recruitment ambitions, and for students given that ESG recognition underpins trust, mobility, and recognition across the European Higher Education Area.

    But OfS’ conditions don’t require co-design of the quality assurance framework itself, nor proof that student views shape outcomes. Its proposals expand student assessor roles in the TEF, but don’t guarantee systematic involvement in all external reviews or transparency of outcomes – both central to ESG. And as the ongoing QA-FIT project and ESU have argued, the next revision of the ESG is likely to push student engagement further, emphasising co-creation, culture, and demonstrable impact.

    If it does apply for EQAR recognition, our European peers will surely notice what English students already know – the gap between OfS’ rhetoric on student partnership and the reality of its actual understanding and actions is becoming impossible to ignore.

    When I told those student officers back on campus that their university would be spending £25,000 of their student fee income every time it has to take part in the exercise, their anger was palpable. When I added that according to the new OfS chair, Silver and Gold might enable higher fees, while Bronze or “Requires Improvement” might cap or further reduce their student numbers, they didn’t actually believe me.

    The student interest? Hardly.

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  • Virginia Democrats Accuse GMU Rector of Conflict of Interest

    Virginia Democrats Accuse GMU Rector of Conflict of Interest

    Photo illustration by Justin Morrison/Inside Higher Ed | Robert Knopes/UCG/Universal Images Group/Getty Images | Maxine Wallace/The Washington Post/Getty Images

    Virginia Democrats want George Mason University board rector Charles Stimson to recuse himself from federal investigations into the university as well as discussions about the university president’s future, saying that his role at the Heritage Foundation, which recently released a report critical of GMU, presents a conflict of interest.

    The letter comes almost two weeks after a state Senate committee blocked 14 gubernatorial appointments to university boards, including six at GMU, which left the Board of Visitors without a quorum. The letter also follows the Heritage report that accused GMU of attempting to hide diversity, equity and inclusion programs. Stimson has had several jobs at Heritage, where he’s currently deputy director of the organization’s legal and judicial studies center.

    The Trump administration has accused GMU of engaging in discriminatory hiring practices and implementing “unlawful DEI policies” and has opened several investigations into the university.

    However, GMU president Gregory Washington has stood his ground, arguing that the federal government rushed the investigation and disputing its findings while rejecting calls to personally apologize. Now, as GMU’s Board of Visitors is stuck without a quorum while a legal challenge over the appointments plays out, state Democrats are seeking to neutralize Stimson in his role as rector.

    A Call for Recusal

    Senate Majority Leader Scott Surovell and other top Democrats in the Senate, L. Louise Lucas and Mamie E. Locke, specifically took issue with the Heritage report’s call to “withhold federal taxpayer funds from universities that violate the Civil Rights Act of 1964,” which the Education Department accused GMU of doing. State Democrats argued that Stimson’s employer is essentially seeking to harm the university.

    “This creates an untenable ethical conflict where your employer’s published position is diametrically opposed to your duties as Rector,” the lawmakers wrote to Stimson.

    (Stimson is one of multiple university board members appointed by Republican governor Glenn Youngkin with distinctly right-wing profiles, including some with ties to conservative think tanks, the Trump administration, GOP megadonors and former Republican politicians, Inside Higher Ed found earlier this year.)

    State Democrats also raised concerns over how he became rector.

    “The appearance of impropriety is compounded by the fact that your selection as Rector reportedly occurred only after direct intervention by Governor Youngkin, raising questions about whether your Heritage Foundation affiliation influenced that appointment,” the Democrats wrote.

    Given what they view as a conflict of interest, the three Democratic leaders called on Stimson to recuse himself “from all Board of Visitors deliberations, discussions, and votes” involving Washington’s employment status or performance evaluations, GMU responses to federal DEI investigations or compliance concerns, GMU funding strategies and university DEI policies.

    “If you cannot commit to this recusal, I believe the appropriate course would be your resignation as Rector to eliminate this conflict entirely,” Surovell and the other Democrats wrote to Stimson while calling on him to respond “outlining the specific steps you will take to address this conflict.”

    Neither GMU officials nor Stimson responded to requests for comment from Inside Higher Ed.

    Youngkin accused Democrats of trying to undermine university boards.

    “Virginia’s progressive left elected officials are trying to paralyze the governing boards of Virginia’s colleges and universities by using despicable bullying and intimidation tactics,” Youngkin wrote in a post on X.

    Faculty Support

    As Washington, GMU’s first Black president, has found himself in the Trump administration’s cross hairs and fighting back, board support has been a constant question. Rumors of Washington’s expected firing swirled in July, but the Board of Visitors kept him on the job.

    George Mason faculty have also rallied around the embattled president, with dozens of professors, students and others protesting outside the July meeting. GMU’s chapter of the American Association of University Professors applauded the senators’ letter on Tuesday.

    “We believe that Mr. Stimson has failed to fulfill his fiduciary duties and has repeatedly exceeded his proper authority as Rector of the Board of Visitors. His conflicting leadership role at the Heritage Foundation and his repeated attempts to overreach his authority threaten the foundation of Virginia’s largest public university, endangering its governance, stability, and future,” the GMU-AAUP Executive Committee wrote in an email to members.

    The local AAUP chapter struck a sharper tone than Virginia’s Senate leadership, alleging that Stimson has “usurped GMU President Gregory Washington’s authority to manage the university’s responses to federal investigations, contrary to the president’s delegated authority established in the [Board of Visitors’] Bylaws.”

    GMU-AAUP also echoed the call for Stimson to recuse himself from certain board duties.

    “If Rector Stimson cannot commit to this recusal, we join Senators Surovell, Lucas, and Locke in calling for his resignation as Rector to eliminate this conflict entirely,” the organization wrote. “The independence, integrity, and future of George Mason University depend on nothing less.”

    The group previously voted no confidence in the Board of Visitors in July.

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