Clarification: The following story has been adjusted in regard to the budget increase and simultaneous tuition increase as of  Aug. 24, 2023.

The University of Kentucky has approved its largest budget in history, UK Spokesperson Jay Blanton told the Kernel.

This year’s budget saw a $1.2 billion dollar increase, raising last year’s budget of $5.6 billion to this year’s budget of $6.8 billion.

Blanton told the Kernel that the university’s acquisition of King’s Daughters Medical Center in Ashland, Kentucky was the contributing factor in the budget increase and is separate from the pricing of tuition.

Nonetheless, student still saw a 2.75% increase in comparison to the 2022-2023 tuition costs. Blanton said this is due to other rising costs and inflation affecting the set tuition cost.

Last year, full-time out-of-state students paid $16,138.00 on average and full-time in-state students paid $6,429.50, according to the UK Student Account Services website. 

Both of these amounts saw slight changes as a result of the increased budget.

For the 2023-2024 school year, full-time out-of-state students paid $16,703.00 on average and full-time in-state students paid $6,606.00. 

“The tuition rate for Kentucky undergraduates will mean that the four-year average annual increase is now 1.7%,” Blanton said. 

However, Blanton said the university plans to offset the increases for students.

University grants and scholarships will set a new record amount at $285 million which students can apply for during the 2023-2024 academic year.

“More than 90% of full-time, resident undergraduates receive such aid. Last fall, those students paid, on average, less than $500 out-of-pocket for tuition and mandatory fees,” Blanton said. 

Blanton also said that the amount of financial aid that students don’t have to repay has grown significantly.

In addition to this, students belonging to families where the median family income was less than $25,000 paid no tuition and received an additional amount of $3,171 in aid on average.

For more information on changes in tuition click here.