Generate text that refutes this claim: A graduate tax would reduce teh autonomy of universities  If a graduate tax were introduced the money would go to the national treasury which would result in universities competing for the same money as colleges. At the moment the money generated from tuition fees goes straight to where it should go, straight to the universities bank accounts who provide the education. Under graduate tax proposals from the UK’s National Union of Students, raised revenue from the tax would go into a centralized higher education fund which could be distributed by the government through various means which could result in some universities getting unfair levels of funding relative to both their standing and student bodies. (Barr, N. 2009) This is impractical for universities to plan investments as they will never be entirely sure what funding they will have and furthermore and for many arguably most importantly universities will ultimately lose their independence from the state.
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A graduate tax put into an independent trust fund could in fact conversely help universities gain more academic freedom than they have now. They would be more free from market constraints which may restrict them, for example universities could be able to offer courses which may only be taken all be a very small fringe and would not usually be financially viable to run but which are culturally beneficially to have experts in if not useful economically. The argument that the state could interfere with the running of universities under a graduate tax system is erroneous, universities would still retain current levels of freedom from the government as the trust fund would be independent from government decision making and would be controlled by the stakeholders including universities meaning that they could worry a bit less about funding and exercise more independence on academic issues leading to better universities which are concentrating on their students’ needs and not just their own.