[vampire_lestat]

I think I may have been a little vague, which would explain why you would think what you do about it, so here goes nothing:

The money comes in in the same way it does now, or mabie slightly higher fees, and at the end of the degree, if you get a first, you are given back the money that you paid in, if you get a 2:1 you are given back a small amount of money, if you get a 2:2 you are given back nothing, however if you fail or drop out you are required to pay some extra money.

This means that more money is coming in than before (when there were no fees), but still the best benifit from a free education.