Principle 6: Funding

Higher education funding systems should facilitate the attainment of strategic objectives related to the social dimension of higher education. Higher education institutions should be supported and rewarded for meeting agreed targets in widening access, increasing participation in and completion of higher education studies, in relation to vulnerable, disadvantaged and underrepresented groups. Mechanisms for achieving these targets should not have negative financial consequences to higher education institutions core funding.

Financial support systems should aim to be universally applicable to all students, however, when this is not possible, the public student financial support systems should be primarily needs-based and should make higher education affordable for all students, foster access to and provide opportunities for success in higher education. They should mainly contribute to cover both the direct costs of study (fees and study materials) and the indirect costs (e.g. accommodation, which is becoming increasingly problematic for students across the EHEA due to the increased housing, living, and transportation costs,etc.).

Public authorities should take into consideration the local/regional contexts of higher education institutions and the socio-economic context of students and staff for determining the amount of public funding that higher education institutions receive to support underrepresented, disadvantaged and vulnerable groups. Public authorities could provide funding to higher education institutions to have a contact point for dealing with diversity, equity and inclusion of students and staff.

Public authorities should provide universal or need-based grants for underrepresented, disadvantaged, and vulnerable students. These grants should cover both direct costs (tuition fees, administration fees, other fees, study materials, personal IT equipment, etc.) and indirect costs (accommodation, transport, meals, etc.) for students both for full-time and parttime study programmes. Access to higher education should be promoted through ensuring free universal education or, if not possible, for underrepresented, disadvantaged and
vulnerable students, especially in the first cycle. The type and amount of the student financial support should depend on factors such as a student’s regional socio-economic background and the place of study. Public authorities should collect data on the share of students that receive universal or needs-based grants.

There should be a top-level policy regarding raising accessibility, affordability and quality of higher education through indirect support, which should include public funding support for dormitories, canteens, transport services etc. to lower the costs of these services for all types of students, including international students. Public authorities should collect data on the funding provided to indirect student support schemes and compare their share with the share of funding provided to direct student support.

Public authorities should provide comprehensive information and assistance on available student financial support to both potential and enrolled students, with a particular emphasis on underrepresented, disadvantaged, and vulnerable students. The information they provide should be transparent, up-to-date and provided through suitable and easily accessible communication channels.