Friday, March 31, 2006

Tuition fees are going down!!

I have been hoping for the sterling to go down significantly for years and now it seems it might finally be happening, just in time before the first BIG chunk of tuition fees is due. The strong sterling killed me in my student years in St Andrews (ever tried to get by on a budget of £270 per month in the UK?) and now there is hope it won't hurt me another time!

According to an FT article , a list of bad news about the UK economy is pushing the sterling down:
  • a record £10.96bn current account deficit in the fourth quarter of 2005, or 3.6 per cent of gross domestic product
  • a decline in mortgage approvals
  • US short-term rates rising above the UK's for the first time since January 2001
On the other hand, the German economy seems to be picking up, with Porsche sales rising sharply and business confidence on record highs. The reason I'm following this closely is of course the tuition fees. Over the last month, tuition fees at LBS have fallen from €61,700 to €60,200. I'm strongly hoping for the sterling to fall below the €1.40 mark to push tuition fees down even further. Looking at current currency futures this is very likely.

Obviously, I don't want the UK economy to go down too much since I want to stay in London after the MBA. But still I think the end of the strong sterling is good news for all international students at LBS, alleged to make up 91% of the class.


Wheels said...

Amen to that! When I was in London last year, the pound was almost $2.00. With the US unwilling/unable to strenghten our own currency, I have to hope that the UK continues a slight decline.

Marina said...

Cute picture!!! I've been thinking about putting mine up there after the open house...hmmmm :)