SCOTTISH government cuts have slashed support to the poorest students, leaving students £5,000 worse off  — and university places are now under threat, according to a leading think tank.

The Institute for Fiscal Studies (IFS) looked at higher education spending plans published in the SNP-Green draft budget currently making its way through Holyrood.

It found support for the poorest students had been cut by 16 per cent, equal to £1,600 per year, in real terms between 2013-14 and 2022-23, while the latest budget decision to increase borrowing limits by £2,400 could leave graduates £5,000 worse off over the term of the loan.

The paper also sounded the alarm over government plans to cut 3.6 per cent from university budgets.

After cuts of 19 per cent in government funding over the last decade, report author Kate Ogden warned that institutions have become reliant on fees from overseas students for 30 per cent of their funding, which will “mean fewer places for new Scottish students.”

“Free tuition comes with trade-offs,” she said.

Responding to the report, the UCU union’s Mary Senior said: “For free tuition to work, it needs to be properly funded. Ministers are happy to take the credit for a popular policy but their failure to pay the bills can’t be sustained.  

“Cuts of a fifth over the past decade to university funding mean it’s now time to reverse the underfunding and invest properly in universities and students’ education.”

A Scottish government spokesperson said: “It is right that we are taking strong action to support students through the cost-of-living crisis with an enhanced student support offering which ensures people receive the support they need to attend university.

“Along with our firm commitment to free tuition, this is ensuring access to university in Scotland remains based on the ability to learn and not the ability to pay.”