If Clegg wants to keep tuition fees he needs to rename them

The Lib Dems (and students) would immediately feel better if tuition fees were renamed as a 'capped graduate tax'.

Unlike the Independent, I’ve not been privy to the 'Learning and Life' paper that is apparently being presented to Lib Dem conference in September, which suggests we should go into the next election without making any, um, pledges, on how tertiary education should be funded. Just a bit of a vague promise to take a look at it when we’re in government  - by all accounts:

 …we have thoroughly examined the current system and the alternatives – a graduate tax and lowering fees – and concluded that we should stick with the current system and review it once it has been given a proper chance to bed in

Now, I know us foot soldiers are all meant to be on our best behaviour and act like grown ups right now , so I will be considered and patient and wait until I read the paper before throwing all my toys out of the pram and shouting 'this is madness isn’t it?'; but can I make one small suggestion to the good folk in the working group? We could just rename 'tuition fees' as a 'capped graduate tax' and everyone would immediately feel a whole lot better.

I’ve suggested this before and I willingly admit that there’s more than a tad of the snake oil salesman about it. But there’s no doubt that while the phrase 'tuition fees' is like a red rag to a student bull, a capped graduate tax is not.

Renaming an unpopular fee as a more acceptable 'tax' is effectively just behavioural economics, beloved by the No 10 Nudge Unit and, indeed, popular with the PM himself. It would have been a neat solution to avoiding a lot a lot of unpleasantness for the Lib Dems right from the start.

I’ve never been able to understand why we didn’t go down this road. When I originally asked the question, I was told it was because ministers had been advised by civil servants that they couldn’t do it. So I put in a freedom of information request to see this advice; this revealed that not only were ministers not advised that they couldn’t just call tuition fees a 'graduate tax' - in fact they were given the opposite advice:

in some respects, the loan repayment is equivalent to a capped graduate tax (and presentationally there is an advantage in describing it as such).

So why don’t we do it?

Now, is this what I want to happen? No. I’d like a full on debate on tertiary education funding at conference and actual implementation of our current policy. But apparently the leadership isn’t so keen on that. Not good for the cameras. And not very grown up.

So this seems a fairly good compromise, delivering what the Lib Dem working party want (the status quo), the grassroots would buy (no more tuition fees), and be better for tertiary education to boot (because more people would buy into it).

Any takers?

Nick Clegg speaks at last year's Liberal Democrat conference in Brighton. Photograph: Getty Images.

Richard Morris blogs at A View From Ham Common, which was named Best New Blog at the 2011 Lib Dem Conference

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Why Theresa May won't exclude students from the net migration target

The Prime Minister believes the public would view the move as "a fix". 

In a letter to David Cameron shortly after the last general election, Philip Hammond demanded that students be excluded from the net migration target. The then foreign secretary, who was backed by George Osborne and Sajid Javid, wrote: "From a foreign policy point of view, Britain's role as a world class destination for international students is a highly significant element of our soft power offer. It's an issue that's consistently raised with me by our foreign counterparts." Universities and businesses have long argued that it is economically harmful to limit student numbers. But David Cameron, supported by Theresa May, refused to relent. 

Appearing before the Treasury select committee yesterday, Hammond reignited the issue. "As we approach the challenge of getting net migration figures down, it is in my view essential that we look at how we do this in a way that protects the vital interests of our economy," he said. He added that "It's not whether politicians think one thing or another, it's what the public believe and I think it would be useful to explore that quesrtion." A YouGov poll published earlier this year found that 57 per cent of the public support excluding students from the "tens of thousands" target.

Amber Rudd, the Home Secretary, has also pressured May to do so. But the Prime Minister not only rejected the proposal - she demanded a stricter regime. Rudd later announced in her conference speech that there would be "tougher rules for students on lower quality courses". 

The economic case for reform is that students aid growth. The political case is that it would make the net migration target (which has been missed for six years) easier to meet (long-term immigration for study was 164,000 in the most recent period). But in May's view, excluding students from the target would be regarded by the public as a "fix" and would harm the drive to reduce numbers. If an exemption is made for one group, others will inevitably demand similar treatment. 

Universities complain that their lobbying power has been reduced by the decision to transfer ministerial responsibility from the business department to education. Bill Rammell, the former higher education minister and the vice-chancellor of Bedfordshire, said in July: “We shouldn’t assume that Theresa May as prime minister will have the same restrictive view on overseas students that Theresa May the home secretary had”. Some Tory MPs hoped that the net migration target would be abolished altogether in a "Nixon goes to China" moment.

But rather than retreating, May has doubled-down. The Prime Minister regards permanently reduced migration as essential to her vision of a more ordered society. She believes the economic benefits of high immigration are both too negligible and too narrow. 

Her ambition is a forbidding one. Net migration has not been in the "tens of thousands" since 1997: when the EU had just 15 member states and the term "BRICS" had not even been coined. But as prime minister, May is determined to achieve what she could not as home secretary. 

George Eaton is political editor of the New Statesman.