University dropout rates reach new high, figures suggest

Most students who are eligible take up a student loan offer, government figures show

The number of students not completing a university course in England, Wales and Northern Ireland is up to its highest recorded level, figures suggest.

Data from the Student Loans Company (SLC) suggests a 28% rise over five years in students who signed up for a loan before dropping out of a course.

The number went from 32,491 in 2018-19 to 41,630 in 2022-23 - a rise of 9,139.

By comparison, the number of students enrolling on degrees in the UK rose by almost 11% between 2018-19 and 2021-22.

These figures are from the Higher Education Statistics Agency, and include all UK universities.

It found the total number enrolling in a first degree increased by 5% from 2019-20, then by 8% in 2020-21, and decreased by 2% in 2021-22 - a total percentage change of 10.9%.

Figures show most students who are eligible take out student finance to pay for tuition fees or living costs.

The statistics do not include students from Scotland, as their finance is handled by Student Awards Agency Scotland.

'Financial distress'

The figures have been released on the same day as a study which showed the primary reason students select for leaving university early is their mental health.

Analysis from the Policy Institute at King's College London and the Centre for Transforming Access and Student Outcomes in Higher Education showed students are still 25% more likely to cite this reason.

Financial distress is another reason, with 8% of students dropping out of university selecting this as their main reason in 2023, an increase from 3.5% in 2022.

Department for Education figures showed that in 2020-21, there was a 95% take-up in loans among those who were eligible.

Finance is typically made up of two elements - a loan for tuition fees, paid directly to the university, and a maintenance loan, paid into the student's bank in instalments.

Most people are entitled to the tuition fee element, which is equal to the annual cost of a course up to £9,250 per year. Scottish students do not pay a tuition fee for going to university in Scotland.

Finance is typically made up of tuition fee loans and maintenance loans

Students do not need a confirmed place at university to apply and, if plans change, they can cancel or change their application before the course starts.

The SLC figures compared the number of students withdrawing from university over five academic years from 2018-19 to 2022-23.

• In 2019-20, a total of 29,630 withdrew

• In 2020-21, it was 31,279

• In 2021-22, the figure was 39,405

A Department for Education spokeswoman said while a small number of university withdrawals were expected each year, it was taking "firm action to crack down where there are disproportionately high dropout rates across higher education".

"We are asking the Office for Students to impose recruitment limits on courses that are delivering poor outcomes for students, including low earnings and poor job prospects, to prevent the growth of low-quality courses," she said.

"This will help to curb early withdrawals, by giving students confidence that their course will equip them with the skills they need, whatever route they choose to take.

"We urge students who are worried about their course or circumstances to speak to their university."