Clearing 2013: elite universities compete for £1bn in student fees

Britain's universities found themselves drawn into an intense competition to recruit students as the annual post-A-level scramble for university places got under way, with £1bn worth of student fees as the potential prize.

The government's decision this year to allow unrestrained competition for students gaining ABB grades and above at A-level has seen members of the elite Russell Group of research universities entering the clearing market – a process known as "adjustment".

At stake is the £9,000 in fees that students may bring with them, making the 2013 clearing round the most lucrative in British university history.

As well as students forced to look for alternative courses after failing to achieve their university offers, this year a wider number of high-achieving students will be able to look again.

For some of the more than 115,000 students who achieved ABB grades or better adjustment is a rare chance to trade up to a more prestigious university or competitive course, with rival universities privately expressing fears at losing students to whom they have already offered a place, and complaining at the degree of uncertainty that clearing now involves.

A spokesman for Warwick University, a member of the Russell Group, said there was more competition for students as a result of the cap being lifted for those with ABB grades. "We've gone from a position of 24 of the top universities competing for those students to 124 universities."

Warwick estimates that inquiries for places through clearing have tripled since last year. Within two hours on Thursday morning the university had added 18 staff to the 10 already accepting calls from students.

Newcastle University said it was hard to define the number of places it was offering this year, and that most of its departments were looking to recruit more students under the ABB rule. It was able to accept more students "within reason", a spokesman said, adding: "We don't want to affect the quality of learning for our students."

The interest from students was intense at other universities, with the University of Birmingham reporting 4,500 calls in the two hours on Thursday morning. Exeter said it received 3,000 calls in the first hour of clearing – despite saying that it was only interested in candidates with straight As.

Ucas, the university admissions authority, said it had fielded 12,000 phone calls by 3pm. It reported that 385,910 applicants had been accepted by an institution, the highest number recorded on an A-level results day, with a record 345,300 applicants accepted by their "firm choice" institution.

The scramble set off in earnest as 300,000 students found out their A-level results. The proportion of students awarded the highest A* grade fell slightly for the second year in a row. Andrew Hall, of the AQA exam board, said overall results were similar to previous years. "The outcomes for A-levels are very, very stable," he said.

The fall was mainly the result of fewer female candidates gaining A* grades, but figures released by the Joint Council for Qualifications showed a shift in the subjects gaining in popularity.

Entries in economics, chemistry and maths grew by as much as 7% since 2012, while subjects traditionally considered less academic have seen a lower takeup. A-level entries in physical education fell by 15% and performing arts by 12%.

Particularly hard hit were modern languages, notably French and German, which both saw falls of 10% in entries. The continued fall in the numbers taking modern languages has prompted the exam boards to announce an inquiry into the lack of demand and poor performance.

David Willetts, the universities minister, said the shift towards more academic subjects was welcome if it meant students were thinking more carefully about their career options. "I still come across young people who have decided, at the age of 15 or 16 – sometimes without proper advice or consideration – on quite a bizarre mix of A-levels, which in turn seriously limits the university course options open to them," he said.

In total, 26.3% of A-level papers were given A or A* grades, compared with 26.6% in 2012, while the total proportion gaining A*-E grades rose by a sliver to 98.1%, the 31st successive annual improvement.

Maggie Atkinson, the children's commissioner for England, said the results were "testament to the hard work, diligence and dedication of our young people and demonstrate just what they are capable of".

The proportion of female candidates awarded A and A* was higher than male, at 26.7% and 25.9% respectively.

Included among the success stories was news that Kirstie Trup and Katie Gee, the two young women injured in an acid attack in Zanizibar, had secured university places. Trup is to study history at Bristol, while Gee will study sociology at Nottingham. Trup is to have a skin graft at Chelsea and Westminster hospital after suffering chemical burns.

Haggerston school in Hackney, east London, celebrated its first pupil to secure a place at Cambridge University. Gokce Tapki is to study history at Newnham College after achieving two A* grades, an A, and a B grade.

Stephen Twigg, the shadow education secretary, called for restoration of the modular exam structure due to be abolished in 2015. He said the fall in number of students taking languages was "extremely worrying".

In response the education minister, Liz Truss, said: "We are restoring credibility to A-levels by putting universities in control and getting rid of the constant treadmill of exams."

Additional reporting by Rebecca Ratcliffe, Mona Chalabi and Zahra Damji