More than two thirds students would be deterred from university if fees rise to £7,000.

The NUS/HSBC Student Experience report on finance and funding reveals the lack of confidence students have in spending thousands of pounds on a university education.

Although they are paying up to around £3,000 a year in fees now, if the cost rose to £7,000 a year if would leave graduates with an average debt of £32,000 when they finish their studies.

The survey found this was enough to deter 70 percent of students from going to university.

The NUS/HSBC survey also showed almost half of all students (47%) receive financial support from friends and family in order to cover the costs of going to university, an increase of nearly 10 percent in two years.

Aaron Porter, NUS President, said: "Student finances are already at breaking point and this is clear evidence of the need to do away with the damaging and unpopular fees system, if we are not to shut out many thousands of young people from going to university, particularly those from poorer backgrounds."

"The financial pressure on young people is mounting, and an increase in fees to £7,000 would, according to universities' own figures, consign a generation to unsustainable mortgage-style debts in excess of £32,000."

When asked how they would prefer to contribute, should individuals be asked to contribute more to the cost of higher education, the NUS/HSBC survey showed two-thirds opposed a rise in fees.

Aaron Porter added: "A progressive graduate contribution linked to real earnings would leave students able to apply to university without the fear of debt looming over them – students recognise this, widely seeing it as a fairer way of raising additional revenues."

"We agree with Vince Cable's description of the top-up fees system as a 'poll tax' and are pleased that every single Liberal Democrat MP has pledged to vote against higher fees and press for a fairer alternative."

Helen Gentry, HSBC's Youth and Student Manager, said: "It's so easy for new students to lose track of their spending, especially if they are not used to budgeting and handling relatively large lump sums of money.

"Students who don't budget may find that they need to work or rely more heavily on 'the Bank of Mum and Dad' to cover costs in their final year. From a parent's perspective, like myself, it just reinforces the importance of putting money aside early in our children's lives to help support them in the future."