A career in the legal profession: worth getting into debt for?

Mike Cuthbert, University College Northampton

Results from the first questionnaire

The Law Student 2000 project is looking at a number of issues, principally debt, part time work and career aspirations, with regard to the legal profession. In the first phase of the project 2,965 questionnaires were completed by first year law students in England. The universities were well spread geographically and represented both 'old' (34%) and 'new' (66%) universities.

Why had the students decided to study law? At the start of their degree course over 88% of the students said that they planned a future career in the legal profession.

72% of the students in the study had gone straight to university from full time education. Only 11% had taken a 'gap year'. Some students complained that they had had to give up their gap year in order to work to save for university.

52% had saved some money to pay their living expenses at university, although generally this was less than £1,000. Some students (23%), generally drawn from the group whose parents were in professional or managerial occupations, benefited from savings or investment plans to pay for their higher education. Perhaps we will follow the trend of the USA where such plans (saving for college) is much more common.

On average the students felt that they needed to earn about £100 per week to cover their living expenses, although this seems to be slightly higher at new universities. (This seems to fit in with the figures produced for the 2000 General household survey where an income of £100-£150 was identified as the gross weekly income of 58% of single people.) 65% indicated that they intended to work part time during their studies, normally in jobs in pubs, shops or restaurants. 48% of the students said that they would work up to ten hours per week, although the figure for the 'old' universities was 64% for this length of time. 51% of those attending 'new' universities and 34% of those attending 'old' universities said that they anticipated working between 11 and 20 hours per week. Are they still full time students?

Can the parents help? The need to work part time applies to both those students living at home and to those who have gone away to university. Perhaps the parental support would come in the form of weekly, monthly or termly payments? 51% of the students expected regular financial support form their parents in this way. However, this overall figure is misleading, as parents in professional or managerial occupations account for 72%. Also the figure for students attending an 'old' university is 68% and only 43% for those studying at a 'new' university. Therefore those students whose parents are in less well paid occupations are generally unable to look to them for regular financial support.

How about a loan? There were some students who did not wish to borrow money from any source and were 'anti-debt', although these were a minority. Overall 80% said that they intended to take out a student loan in their first year.

However, they were less inclined to consider a loan from a bank. Only 13% said that they would consider a loan from that source in their first year.

Despite the support from parents or earnings from part time work, 73% of the students expected to be in debt when they graduated. The majority of these, 80%, thought that their maximum debt would be £12,000. 27% did not anticipate being in debt on graduation; 62% of these were students whose parents were in professional or managerial occupations. (This figure does not fully reflect the situation because many students gave their parents occupation as 'retired' (18%) when they appeared to be retired from professional or managerial occupations.) Barclays Bank estimates that students on graduation owe approximately £10,000, whereas the National Union of Students puts it higher at £13,000, even though 42% of students take part time jobs. ('Student debt? Cambridge cost me £220', Sunday Times 1 July 2001. A study by Sheffield University states that one in six students owed up to £15,000 on graduation.)

Students from the Asian community who took part in this project showed a different profile from other students. Generally they were more likely to be living at home during their course and anticipated a much lower level of debt on graduation.

Overall parents are worried about the effect of debt on their undergraduate offspring. The idea that it 'teaches them the realities of life' has to be balanced with the burden it creates and the stress it imposes on 'young adults'. More worrying to some parents is that the experience may make the student more accustomed to debt. ('Lesson in the never-never', THES 7 September 2001.)

Has the change in higher education affected the law student? 38% of students said that the introduction of fees had made them think of themselves as 'consumers of higher education' and would raise their expectations. This figure seems low, but perhaps it will rise as the student progresses and the amount of debt increases! When asked if the introduction of a 'top-up' fee would have affected their choice of university 55% said no. This applies to both 'old' and 'new' universities.

According to a report in the Guardian (15 November 2001) 95% of today's students owe money. Therefore law graduates are following the generally accepted profile of debt for graduates. However, if they wish to pursue a career in the law, they, together with those graduates who have followed the non-law graduate route of the Common Professional Examination (CPE), have to pay the fees for the Legal Practice Course (LPC) or Bar Vocational Course (BVC). These fees are high by post graduate course standards because of the high expectations and rigorous quality controls exercised by the professional bodies. This will add to their undergraduate debt by approximately £10-15,000. (This amounts to a substantial sum when recent reports suggests that the average British household owes more than £5,300 on top of their mortgage. See 'Personal debt hits record high', Guardian 31 August 2001.)

Is it the tough competition and high debts with no idea of success that makes law graduates not go into the legal profession? Can they be helped? What happens in other professions? The British Dental Association (BDA) survey in 2001 gives the average debt for final year students as £10,200. This is not dissimilar to law graduates, but the BDA students are ready to practise on graduation and do not have 'vocational courses' to fund. The British Medical Association (BMA) survey in 1999-2000 gave the average level of debt of final year students as £9,424. This was at the end of a five or six year university course and seems quite low compared to that experienced by qualifying lawyers! Another factor that distinguishes the doctor from the lawyer is that the longer university course for the doctor offers the student loan facility each year. On graduation the lawyer has to seek Career Development Loans or bank loans on less advantageous terms.

Law undergraduates have little more than a 50:50 chance of becoming a lawyer. If they are black, working class, female or attended one of the less fashionable universities then their chances are reduced. (See Vera Bermingham and John Hodgson's article 'Desiderata: what lawyers want from their recruits', Law Teacher vol 35(1) 2001.) The Law Society has been following a cohort of law graduates since 1993 in order to observe their progress in the profession. One in five of the cohort did not go on because of financial barriers. (See 'We are on a road to nowhere', THES 21 January 2000.)

Generally the trainee solicitor has to depend upon the nationally agreed minimum salary, but this is not generous when compared with starting salaries for other graduate careers. The newly qualified solicitor may be fortunate in obtaining a post with one of the 'magic circle' City firms, where they may receive £42,000 plus bonuses, but many will not be so fortunate. (See Mahendra's article, 'Maladies and maladministration', New Law Journal 20 July 2001.) To obtain such income the individual will have to bear the higher living costs of London and the south east. The newly qualified barrister has to obtain one of the few tenancies that are available, where their income will depend largely upon their own success, or they may be attracted to the many financial institutions that value their skills. But the popularity of law as an academic subject and as a career remains high.

The Law Student 2000 project is now in its second year. Just under 1,300 questionnaires were completed by second year students, less than half the total for the first year of the project. This perhaps reflects the 'maturing' of students in the way of universities! Prizes were offered to encourage the student and law schools to complete the questionnaires. The law school at Sheffield Hallam University won the law school prize for the highest return of complete questionnaires. Individual student prizes were won by students at London Guildhall, Liverpool and Coventry universities. It is perhaps only as the project progresses that we will get a clearer picture of the issues raised.

Statistics

• yes: 23%
• old university : 31%
• new university: 20%

Student comments

Has the introduction of fees made you think of yourself as a 'consumer' of higher education?

Anglia Polytechnic University:

• Education is only for the elite. Class divisions have been reintroduced as it's getting to the stage where only the rich can be educated.

University of Birmingham:

• If this country wants highflying intellectuals to lead the way then they shouldn't be making us pay for it. If there were no fees more people would continue higher education.
• Unfair that chance to become better educated is restricted to those who can afford to. Again it is the elite that are encouraged to succeed.

University of Bristol:

• We are now paying so therefore should be entitled to a decent standard of teaching. We are investing in our future.
• Education should be free and available to everyone rather than deterring people because they cannot afford to go or do not want to get in debt.
• It is so difficult and competitive to obtain higher education. also with the removal of grants and the introduction of fees it is now a commercial business not state education.
• I have to decide whether a degree is valuable in terms of the cost to do a degree and what I receive by investing in a degree.
• Feel that we are paying for education very costly. Not everyone can afford it. Unfair because of debt before you start work.
• As a consumer there is much more determination to achieve one's goal. The cost of failure will be unbearable so one has to achieve.
• If you can afford it you can have it. If not you can't no support. No responsibility taken by society to educate the country.
• Education has become accessible only to those brave enough to go into debt in order to continue their right to learn.
• It makes you think about going to uni at all, being in debt for something society depends for you and to get a good job, it's stupid.

Coventry University:

• You are made to feel as though the government want you to get a good job but are not willing to give you any support. Also before you get off the ground, you are in debt.
• If the tuition fees went directly to the uni then I wouldn't be as bothered. Instead the government uses them for public spending on crappy things such as the shite millenium dome.

De Montfort University:

• Government trying to encourage people to learn yet make money matters a problem in some cases.

University of Greenwich:

• Makes students more aware of need to get value for money. More pressure to do well so that fees/loans can be paid for following graduation.

University of Huddersfield:

• Living costs are covered by loans. The choice to study is a major financial decision and an investment gamble which I hope will pay off at my age.
• If I want to further myself by getting a degree I have to pay for it, I have to pay for an education that I need to fulfil my goal or any dream I may have.

Keele University:

• It reduces the amount of people able to go to university and eventually if fees keep increasing students will only be higher class people because others will be sure they cannot afford it.

Kingston University:

• Britain needs skilled employment works in all areas, for example the NHS. Do you think fees are encouraging?

Lancaster University:

• Father pays once through taxes then is forced to pay tuition fees. I have nothing against being a consumer but forcing my family to pay twice is immoral. The government stabs the future of its country in the back.

King's College London:

• Education is a right, not a privilege but money is a commodity that everyone understands and this is a bad reflection of society.

London Guildhall University:

• I do not think you should have to pay so much for a degree if you're in uni full time it is hard to earn back the money. It feels like I'm buying my degree.

London School of Economics:

• These days it is the people with the money who get an education. Education = power = more money. So the gap between the 'haves' and 'have-nots' will widen.

Manchester Metropolitan University:

• It's unfair to make someone pay in order to better their lives and get a good job. I will also have to pay more taxes etc.

University of North London:

• I've never paid this amount before so this is a bit worrying to be getting into debt.

University of Newcastle:

• Makes it more of a major decision to whether you study and what have little spare time for employment with a law/medical degree buying the course.

University College Northampton:

• You can no longer attend through choice and qualifications you have to consider whether your living costs will allow you to study and be prepared to come out with debts you would never have incurred.

Nottingham Trent University:

• Paying for education that in previous years was seen as a right is now seen as a privilege as a person must be able to afford going to uni.
• I would have like to have moved away but could not afford it.
• Tony Blair is a hypocrite and very mean.
• I feel that I am not going to uni because my results showed I could do well instead it's like buying education to benefit myself.

University of Plymouth:

• Education is becoming too much like a business and is forgetting about the interests of the students.
• Feel sorry for some mates who couldn't get in due to fees.
• The education I worked hard at school to achieve access to has been turned into an object only the more privileged can purchase. It is not fair.
• Paying for education makes it hard for lower income bracket to study at a high level. Therefore becoming elitist.