Report: US Colleges Face Unprecedented Pressures
A new report from EAB finds that U.S. colleges and universities are facing a confluence of political, social, and financial pressures, leading to tighter budgets. This environment may result in fewer institutional resources for academic coaching and disability services, potentially increasing demand for private practitioners.
- The EAB report identifies four key areas of pressure on higher education: financial sustainability, market relevance, institutional agility, and external accountability, all accelerated by political volatility and advances in AI. - Proposed federal budget cuts for fiscal year 2026 include significant reductions for the National Institutes of Health and the National Science Foundation, which are major sources of university research funding. Some proposals also aim to eliminate University Centers for Excellence in Developmental Disabilities, which provide crucial services and research. - At least 15 states have either proposed or enacted cuts to their higher education funding in 2025. For example, the University System of Maryland's board reduced its fiscal year 2026 budget by 7% to cover a $155 million state funding shortfall. - A projected decline in the number of college-aged students is expected to begin in 2026, adding to the financial strain on institutions that rely on tuition. This is compounded by a nearly 20% drop in international student arrivals in August of the previous year, who often pay full out-of-state tuition. - In response to financial pressures, many colleges and universities have increased tuition, with some hikes as high as 10%. This reverses a recent trend where the net price of tuition had been falling when adjusted for inflation. - Cuts to the U.S. Department of Education's Office for Civil Rights, including the closure of 7 out of 12 regional offices, may lead to significant delays for students with disabilities seeking accommodations. - The independent educational consulting industry has grown from a $400 million industry a decade ago to nearly $3 billion today, indicating a rising demand from families seeking external support for college admissions. - Despite financial challenges, there was a 2% increase in postsecondary enrollment in the fall of 2025, nearing pre-pandemic levels, with community colleges seeing a notable 4% rise.
