THE vice-chancellor of Teesside University yesterday applauded the Government's u-turn on tuition fees.

Speaking at one of the university's graduation ceremonies, Professor Derek Fraser said he "very much welcomed" the decision to review financial arrangements for students.

The Government recently announced plans to introduce a graduate tax to replace the controversial up-front payments for tuition fees.

Teesside University, which has a proud record for attracting students from poorer backgrounds, was among the fiercest critics when the grants were abolished and tuition fees introduced.

Thousands of students currently leave university with average debts of £12,000.

Prof Fraser told graduates in Middlesbrough yesterday that working alongside studies was becoming a "way of life".

"The economy of today and, even more of the future, will be based on skills and knowledge. The key to skills and knowledge is participation - participation for the whole of society."

He called on ministers to establish conditions for students from "all social backgrounds" to flourish.