Update on the New Funding Model Crisis and 2025-2026 Kuccps admissions

Update on the New Funding Model Crisis and 2025-2026 Kuccps admissions

The Court of Appeal has overturned a High Court ruling that invalidated President William Ruto’s university funding model.

This decision allows the government to continue with the Variable Scholarship Loan Funding Model, representing a significant victory for Ruto.

Introduced in 2023, the Variable Scholarship Loan Funding Model is a new approach to financing university and TVET students, replacing the previous Uniform Funding Model that provided equal financial support to all students, regardless of their financial circumstances.

In a ruling issued on Wednesday, March 26, 2025, the appellate court put a hold on the High Court’s decision, permitting the disputed funding framework to remain active for the time being.

The court instructed the Attorney General, the Higher Education Loans Board (HELB), and the Kenya Universities and Colleges Central Placement Service (KUCCPS) to disseminate information about the funding model to universities, colleges, and students within 14 days.

“The execution of the Judgment and orders of the High Court in Petition 412 of 2023, issued on December 20, 2024, is stayed,” the court stated.

The legal dispute originated from a High Court ruling that deemed the government’s new funding model, introduced in May 2023, discriminatory and lacking adequate public involvement.

Justice Chacha Mwita determined that the model breached the Universities Act by classifying students based on financial capability, type of school attended, and age.

HELB and the Universities Fund contested this ruling, claiming it hindered their ability to allocate funds, jeopardizing both universities and students.

This recent ruling now allows Kuccps to proceed with this year’s placement applications for KCSE graduates.