Shock over student debt

Teenagers and their parents vastly underestimate the cost of university, according to new research.

Many will find themselves facing a financial nightmare once the realities strike home.

A survey by the Association of Investment Trust Companies found 48 per cent of potential students and more than a third of their parents believed they would graduate with debts of less than £6,000, when in fact the average is nearly double that.

In addition, more than 40 per cent of parents said they were saving nothing to help their children through university. It is likely debts will rise even higher following ministers' proposals for higher university tuition fees from 2006.