The government’s recent white paper on Post-16 Education and Skills places flexibility and choice at the centre of the future student experience.
When it comes to students, the government wants universities and colleges to adapt to a much wider range of demographics and to further embrace diversity – while continuing to break down the barriers to opportunity for students from all backgrounds.
One of the ways to strengthen opportunity is through the additional forms of financial support (via bursaries, scholarships and special-case funds) that higher education institutions provide for those students most at risk of dropping out, or those simply denied opportunity in the first place.
When it comes to this funding, the sector needs to work much harder in supporting a more varied set of future students, whilst making better use of data to design support packages, and adapting to the real-time user requirements for this type of funding.
Beyond the post-school model
The majority model of financial support is still designed primarily for a post-school entrant market (in line with access and participation plans) but we now need to evolve this for a much broader range of working students, part-time students, later life students and so on – based on the white paper’s steer for different student demographics and for more support for students from lower income backgrounds. This will require more agility. It will also require a closer and more strategic, data driven approach to the timing, delivery and use of such student funding.
Universities will increasingly be expected to meet the needs of a more diverse and complex learner population, one that is typically older, more financially stretched, and balancing work, family, caring responsibilities, and study. While the student body is evolving at pace, and there are encouraging signs of greater flexibility and adaptability across the sector, as highlighted in The Shape of Student Financial Support in 2025, there is also clear recognition that more progress is needed.
In our work with universities (designed to strengthen the effective delivery and impact of student financial support) we refer to this sea-change in funding as enabling both more optionality (for the funders) and greater agency (for the beneficiaries). Too much of the sector’s current model still assumes the profile and rhythms of the traditional 18-year-old school leaver. Policy momentum is pushing us firmly beyond this, and institutions will need to rethink not just how much financial support they provide, but how, when and in what form it is provided, and crucially, who it is designed for.
A new student majority
Commuter students, part-time learners, those studying while working full-time, and individuals returning to education later in life are no longer outliers. They are becoming a significant and growing segment of the student population, and the white paper’s direction of travel signals that this growth will continue.
These learners typically have different cost profiles, different pressures, and different expectations around support. Rent and food costs matter, of course, but so do childcare, caring responsibilities, travel to placements and campus, and the financial instability that often comes with shift-based or zero-hours work. Their support needs do not fall neatly around term dates.
A modern student support system must reflect that reality.
Beyond the “once-a-year” mindset
One of the strongest messages emerging from our work with universities is that timing of support is as critical as the pound value that support. Students increasingly need support that works with the grain of real life, not against it. That means agility: funds that can be released quickly during a crisis; support that can be drawn down in a way that helps with budgeting; and options that reflect different lifestyles, responsibilities, and individuals preferences around how they manage their finances.
For mature learners, the notion of a predictable “start of term” pressure point is often irrelevant. Housing, employment and family commitments create fluctuating financial pinch-points throughout the year. A forward-looking and agile hardship and support model must therefore allow universities to intervene dynamically, reacting to student need rather than institutional calendar.
Across the more than 40 institutions we partner with, we see a growing shift toward more targeted, purpose-led and flexible support. Although institutions are facing significant financial constraints, they are adapting, often rapidly, to ensure funding reaches the right students in a way that genuinely makes a difference.
We are seeing:
- A move toward more tailored interventions, with universities reshaping bursaries and hardship schemes around specific learner profiles, including mature and commuter students.
- Increased use of real-time payment mechanisms, enabling rapid support when a financial shock threatens continuation.
- Greater use of data to understand how different types of students use support, and what interventions are most likely to prevent financial distress, disengagement or withdrawal.
- Growing recognition that support must be designed around lived experience, responsive to trends and feedback, not just institutional tradition.
This shift is encouraging, but the system as a whole is not yet optimised for the demographic change that the White Paper anticipates.
Where policy meets practice: recommendations for a modernised support model
To prepare for a more diverse learner population, the sector will need to reimagine its support architecture. From our work with universities and our ongoing analysis of funding patterns, several recommendations emerge:
We should build support models around life-stage, not simply level of study. Mature and non-traditional learners experience costs and vulnerabilities that differ from the archetypal school-leaver. Support schemes should explicitly recognise this, particularly around childcare, travel, digital access, and household stability.
There is a need to shift from fixed-cycle payments to flexible, real-time support. Financial crises rarely occur conveniently during scheduled disbursement windows. Universities need mechanisms that allow for rapid, secure, and dignified disbursement of funds whenever needed.
It is time to explore hybrid support models that blend cash, credit and vouchers. Different pressures require different tools. Cash support is essential in alleviating hardship. Credit and voucher mechanisms can help direct funds toward participation, learning, and targeting food poverty. Mature learners often benefit from a mixture of both.
We must make data central to decision-making. With financial pressure mounting across the sector, institutions must allocate limited resources with precision. Data on spending patterns, draw-down behaviour and student feedback can inform more effective and equitable holistic support strategies.
We should co-design support with the students who rely on it. There is no substitute for listening to those living the experience. Mature and non-traditional students frequently report that support systems “aren’t designed for people like me”. Bringing their voices into design and evaluation will be vital.
A financial support system fit for the future
The white paper’s direction is clear: widening participation will no longer be defined simply by access for school leavers from underrepresented groups. It will increasingly require a system capable of supporting learners from every life stage, people retraining, upskilling, switching careers, balancing caring responsibilities, or returning to education for the first time in decades.
This transition will require institutions to be flexible, evidence-led, and prepared to evolve their traditional models of support. Our latest annual report provides one lens on how this evolution is taking place, and where further change is needed. But the wider policy moment demands more than reflection: it demands intentional redesign.
If universities are to deliver opportunity for all, as the white paper sets out, they will need financial support systems that reflect the real, diverse, year-round lives of today’s and tomorrow’s students. Flexibility is no longer a helpful addition; it is the foundation on which effective, equitable support must be built.
