Universities are trying to widen the range of students they attract

They say even modest help for students from poorer backgrounds can have a "significant positive effect".

Apart from the practical benefit, the money might be reinforcing a desire to study among those with no family history of going to university.

Bursaries are assuming greater importance under the government's plans to reform student funding in England.

From 2006, universities will be able to charge up to �3,000 a year for tuition, compared with the current fixed rate of �1,125.

To charge the maximum, however, they will have to cover the costs of the poorest students with bursaries of at least �300 - though some are planning much higher awards.

Researchers at the University of Plymouth and the University of the West of England have examined the impact of existing schemes on full-time, young undergraduates.

Retention

Those on family incomes of �20,000 or less currently get their fees paid for them. About a third of the students at each university in the research - more than 900 in each case - qualified for this.

Bursaries, even those set at a modest level to cover some of the start-up costs of becoming a full-time student, can have a significant positive effect on student retention and progress Researcher Andy Hannan

In addition, those from certain inner city or education action zone areas, who have no family history of higher education, can get "opportunity bursaries" worth a total of �2,000 over three years.

The two universities supplement these with slightly different schemes of their own. But one incidental finding of the study is that very few students - little more than 2% - were getting bursaries, either through lack of awareness of some deterrent such as the means-testing.

The researchers say the most interesting early finding of their work is that bursary students were more likely to continue with their studies than those not receiving such help - 93% did so on average, compared with 88%.

"The difference between bursary and non-bursary students becomes more striking when the focus is narrowed to include only those students with full fee support," they say - 94% to 86%.

Looking at the reasons why, they say that - obviously - the money itself might simply be useful, but also that it might strengthen the student's commitment to study.

Expectations

They say this reinforces earlier research which suggests that people from families with no tradition of going into higher education make a conscious decision to do so - whereas middle class students may be said to "drift" into it.

One young woman told them: "I think a lot of us are putting ourselves through uni whereas a lot of other groups are expected to go to uni by their parents.

"It's just part of their life. I don't think they feel as responsible for it, as maybe ... we do."

Andy Hannan from the University of Plymouth said: "It appears that bursaries, even those set at a modest level to cover some of the start-up costs of becoming a full-time student, can have a significant positive effect on student retention and progress."

The report says perhaps the most remarkable finding was that the students who received only �300 were just as likely to continue as those in receipt of the more generous bursary.

Sue Hatt from the University of the West of England said: "It seems from this evidence that it is wrong to assume that students from low-income backgrounds are more likely to drop out than their peers.

"Given the current debate on expanding the bursary system for higher education students who are financially disadvantaged, this research provides valuable information about the impact of previous schemes."