A new study reveals that confidence in the value of a university degree has plummeted to a record low, just as a parliamentary inquiry into the costly student loan system gets underway. With graduate jobs at an all-time low and advances in artificial intelligence reshaping the employment landscape, many are questioning whether higher education is still a worthwhile investment.
According to the latest British Social Attitudes survey, the proportion of people who believe a degree is not worth the time and money has surged from 14% in 2005 to 34% in 2025. Meanwhile, only 36% now think graduates will end up wealthier than non-graduates, down from 50% previously. The Centre for Social Justice reported in January that over 700,000 graduates are unemployed and claiming benefits, while Randstad's Workmonitor found that four in ten employers plan to hire fewer graduates this year due to AI.
Mixed Experiences Among Graduates
Luca, a soon-to-be computer science graduate, remains cautiously optimistic. He believes the value of a degree depends heavily on the subject. "If you do something more STEM-focused, you likely need those academic credentials to progress," he says. In contrast, Kash, who studied human resources, is skeptical. He has already trained as a driving instructor, earning more than he would in a minimum-wage graduate job. "I'll probably continue driving instructing as soon as I'm finished with the degree," he admits.
Mike, a father of three university-educated children, built a successful advertising career without a degree. He values university for the independence and social growth it provides, but questions the three-year model. "Could it be done in a compact 12 to 18 months, costing less and reducing debt?" he wonders.
The Social Mobility Perspective
Dani Payne, head of education and social mobility at the Social Market Foundation, argues that university remains "the best pathway to social mobility." She acknowledges that graduates face a tougher job market but stresses that they still fare better than non-graduates. Her own Cambridge degree was "life-changing," providing cultural capital that helped her navigate Westminster. However, she warns of a "two-tier system" where wealthier students benefit most while poorer ones struggle with debt and part-time work.
Katie, who just completed a PhD at Oxford, echoes this sentiment. Despite "extortionate student loans," she says the personal development was "100% worth it." She advocates for a revamp of the loan system, noting that 18-year-olds are often misled about the implications.
The Burden of Debt
Rebecca, 29, worked 30-hour weeks during her degree and now has a tech analyst role unrelated to her studies. She feels her degree was unnecessary: "No one has ever asked me about it. All I've got is an unfathomable amount of debt." Her loan balance recently increased by £3,000 despite monthly payments of nearly £300.
The scrapping of maintenance grants in 2016 has exacerbated inequalities. Dani Payne notes that many students work over 20 hours a week, sacrificing extracurriculars and the full university experience. "I'm not surprised some start to think, 'was it worth it?'" she says.
As the inquiry into student loans progresses, the debate over the value of a degree intensifies. While data suggests graduates still have advantages, individual realities often tell a different story.
