Is a university degree still worth the cost? Experts weigh in

A public debate held this week brought together Amy Lawrence, managing director of the PR agency Gingermay, and Pegram Harrison, head of the undergraduate degree in Economics and Management at the Saïd Business School of the University of Oxford, to discuss whether a university education is now a waste of money.

What the speakers said

Lawrence, who began her career as an apprentice, argued that the traditional promise of a degree, a secure, well‑paid job, no longer holds for many graduates. She cited recent figures showing that more than 40 per cent of 2024 graduates were not in full‑time employment 15 months after finishing their studies, and that a quarter of UK graduates could end up financially worse off than if they had not attended university.

"University rarely offers enough value to justify the cost," Lawrence said.

Harrison countered that reducing education to a simple return‑on‑investment calculation misses the broader benefits of higher learning. He stressed that university provides capabilities such as critical thinking, resilience and a lifelong network, which cannot be measured in pounds alone.

Why it matters now

The discussion arrives at a moment when the UK faces record levels of student borrowing, a cost‑of‑living squeeze and the accelerating impact of artificial intelligence on skill requirements. A recent analysis of AI's influence on the labour market notes that employers are prioritising adaptable, tech‑savvy talent, often favouring practical experience over formal qualifications.

For policymakers and educators, the data raise questions about the adequacy of current guidance. Schools have long been focused on university applications, leaving students interested in apprenticeships feeling overlooked.

What could happen next

Industry bodies and government departments are expected to review funding models for higher education, with some suggesting greater support for work‑based learning. Universities may need to adapt curricula to include more digital and AI‑related content, while employers could expand apprenticeship schemes to fill skill gaps.

For prospective students, the debate underscores the importance of weighing long‑term earnings against debt, and of considering alternative pathways that align with personal goals and the evolving job market.

As the conversation continues, the balance between academic study and vocational training is likely to shape the next generation of the UK workforce.