A higher education means 20-25 percent higher earnings

7 Feb 2007

A new report from Universities UK, the vice-chancellors’ umbrella body, today highlights the economic benefits associated with higher education qualification attainment.

The report shows that the gross additional lifetime earnings is now approximately £160,000 or between 20 and 25% more for individuals with a higher education qualification than for those with two or more A-levels.

Diana Warwick, Chief Executive, Universities UK: “We already know that graduates in the UK enjoy one of the highest financial returns of any OECD country. This report provides evidence that despite the expansion of higher education, the graduate premium has been maintained. Higher education is still clearly a worthwhile investment for the individual.

“While we know of course that the vast majority of graduates don’t measure the value of their degrees in purely economic terms, the enhanced career opportunities and employability that a degree brings is nevertheless a key factor in deciding whether to go on to higher education.”

Professor Drummond Bone, President, Universities UK, added: “This report also highlights the economic benefits of higher education for our wider society. As such, it adds to the evidence put forward in our submission to the Government’s Spending Review 2007, supporting our call for continued public investment in higher education.”

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