The Department for Business Innovation and Skills have puiblished a report providing evidence of the impact of university on net lifetime earnings.
A report commissioned by the Department for Business, Innovation and Skills has provided further evidence that higher education has a significant positive impact on lifetime earnings.
The new report looks at the difference in net earnings between graduates and non-graduates (with two or more A-levels). The research investigates the differences in gross earnings and also takes account of the effects that higher earnings and student loan repayments have on net income.
The report suggests that despite the effect of higher taxes and loan repayments made by graduates, the differences in net earnings are still large. Lifetime net earnings for graduates are around 168K higher for men and £252K higher for women than those without a degree. Lifetime net earnings are also significantly higher for those with a first or a 2:1 compared to those with a lower class degree. The report also sprovides evidence that the value of additional tax payments made by graduates is larger than previous estimates, suggesting that Higher Education is a good investment for both the government and students.
Read the full report [pdf]
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Jennifer Cooke
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