FURTHER evidence has emerged of the likely impact of a loophole allowing students from Northern Ireland to seek free university education in Scotland.

Under legislation affecting UK residents, students from Northern Ireland were expected to pay up to £9000 a year to attend Scottish universities. However, if these students take up their right to dual citizenship with the Irish Republic they can apply as an EU student and have their fees paid.

Edinburgh University said yesterday some 30% of the 1160 applicants from Northern Ireland had declared joint Irish nationality – up from a quarter the previous year.

At Glasgow University, 25% of applicants from Northern Ireland identified themselves as Irish nationals – 286 out of 1140.

Dundee University recorded a 20% increase in the trend, while Aberdeen University identified 16%.

Although none of the universities yet know how many of these students will take up places – or what route they will choose to apply under – the figures are an indication of the potential scale of the issue.

If students who were expected to pay fees turn out to be publicly-funded it will damage a new private income stream for universities and lead to the costs being picked up by the taxpayer instead. It will also mean greater competition for publicly-funded places in Scottish universities.

However, there may be disadvantages for students applying under the EU route. Robin Parker, president of NUS Scotland, said: "Places in Scotland are capped for Irish and other EU students. If prospective students are not fully informed of this limit, they could find out too late that the place they seek at a Scottish university is not available."

The issue was also raised yesterday in the Scottish Parliament during question time with First Minister Alex Salmond.

Conservative leader Ruth Davidson said: "Will the First Minister now admit this is a problem and will he instruct his Education Secretary to sort it out?"

Mr Salmond quoted figures showing an overall drop in Northern Irish applicants over a year. The total fell 15% from 6131 in 2011/12 to 5211 this year, although Mr Salmond could not break down the figures to show the proportion of Irish or British applicants.