EDUCATION, as every parent knows, can be a costly business.

University tuition fees alone cost up to £9,250 a year.

Add in maintenance costs, for the likes of food and rent, and the expense of a university education can soar.

Many parents - and increasingly grandparents too - are happy to make financial sacrifices to ensure their children receive the best education.

What they are buying for their offspring isn’t just academic excellence, but world-class sporting, drama and other facilities, as well as a solid preparation for a fulfilling later life.

On top of that, nobody wants their children or grandchildren to leave university saddled with debt.

There are no tuition fees for Scots studying at Scottish universities, and Welsh and Northern Irish students also pay lower fees for universities in their regions.

However, living costs – accommodation, food and so on – still average £12,160 a year, according to the National Union of Students.

State-sponsored loans exist to cover university costs, but that means many students complete their degrees heavily in debt.

Interest starts to accrue on the money your child borrows from the moment it arrives in his or her account.

Students graduate with average debt of £44,500, according to the Sutton Trust.

While this is lower in Scotland and Wales, students here still emerge with sizeable debts at the start of their working lives.

Student loans are not loans in the conventional sense, as repayments are linked to how much the graduate subsequently earns.

Unlike a mortgage or bank loan, if isn’t repaid after 30 years it will be written off.

However, during those 30 years, being heavily in debt can severely narrow opportunities.

It makes getting on to the property ladder harder, making it more difficult to save for a deposit and get a good-value mortgage.

By reducing take-home pay, student debt also hampers the ability to save for the future.

The good news is that the financial cost of education need not be a burden if you plan ahead with care.

Many people leave thinking about how they will fund education costs until their child is about to start school or university.

By that time your options will be limited.

The earlier you start the better.

Many families find that the most effective way to fund education costs is a multi-faceted approach combining earnings, funds from existing savings, gifts from grandparents and a dedicated new savings plan.

Financial planning can take the strain and build an education financial plan suited to your individual needs and circumstances, providing you with peace of mind at every stage of the process.

Brewin Dolphin can carry out a cashflow analysis that will help to establish what you might need in later life, what is available now in terms of capital and income and how you might need to invest in order to maintain your lifestyle in the future.

We can consider all the options available to you from releasing assets from an ISA, making lifetime gifts out of income or downsizing to free up housing wealth.

Our experts will give you clarity about your current and future situation, giving you the confidence to help your family now.

Neil McLoram works in business development at wealth management firm Brewin Dolphin, based in Newcastle

The opinions expressed in this article are not necessarily the views held throughout Brewin Dolphin. No director, representative or employee of Brewin Dolphin accepts liability for any direct or consequential loss arising from the use of this document or its contents. Any tax allowances or thresholds mentioned are based on personal circumstances and current legislation which is subject to change. The information contained in the text is believed to be reliable and accurate, but without further investigation cannot be warranted as to accuracy or completeness. The value of investments can fall and you may get back less than you invested. The information is for illustrative purposes only and is not intended as investment advice.