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Parents must start saving early for university fees, says Fidelity

Over 12 million parents are worried about student debt for their offspring but only 46 per cent are taking action to save, says Fidelity International.

More than two-thirds of parents with teenagers say they cannot afford to contribute to university fees, according to a You Gov survey forFidelity.

Parents of under-fives are more likely to save, with 54 per cent already putting away money for their toddlers and 18 per cent saying they intend to start saving soon.

Fidelity says the issue of university fees is set to get worse as undergraduates will face top-up fees of up to 3,000 a year from 2006.

Barclays’ annual graduate survey estimates that average student debt is currently 13,500.

Head of UK personal investments David Cowdell says: “The cost of university education is on the up and it is no surprise that parents are concerned about the debt their children could face so early in life. Putt- ing a little aside each month from when a child is young really does make sense and will ease the burden for parents and children.”

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