But the UC Board of Regents is considering a change to that plan that would raise the cap on tuition increases to 7%.
Some members of the Board of Regents seemed skeptical of the proposed change, which would also lower the amount of tuition that goes to financial aid for students from 45% to 35%.
"As far as a 5-7% change, to me that seems like a little shock to folks," said UC Regent Mark Robinson. "I'm wondering if there's a circuit breaker idea that could go into effect that if you blow through the 5% you could smooth it out and pick it up in the next year or the next year."
The policy that caps tuition is known as the Tuition Stability Plan, initially approved by the Board of Regents in 2021, in response to decades of fluctuating tuition rates due to inflation and changes in state funding.
But several board members acknowledged that several factors at both the state and federal levels that are making it more difficult for the university system to balance its budget.
"There are true headwinds for this university system," said UC Regent Gregory Sarris. "That includes our medical enterprise, which puts an enormous amount of money back into the institution, and we're seeing those numbers starting to dwindle with changes to Medicaid and Medical and that really concerns me.
"There are (also) issues with what potential state funding could be going forward. That could pose a true existential threat to the University of California."
In response to our request for comment, the University of California's Office of the President issued the following statement:
"Thanks to the Tuition Stability Plan approved by the UC Board of Regents in 2021, moderate and predictable adjustments to student tuition and fees have played a critical role in keeping a UC education affordable, helping students and families plan ahead, and supporting the University's core priorities, such as robust financial aid, enrollment growth, and student support.
"The plan has resulted in increased financial aid that not only fully covered any fee increase for more than one-half of California undergraduates, but also provided students with additional resources to cover increases in living expenses, books and supplies, and other college costs. Even students who do not receive financial aid benefit from the plan since it guarantees their tuition expenses will not change during their time at UC.
"The Regents required that the plan be renewed every five years, with 2022-23 serving as the first year. Accordingly, the plan has been approved through the 2026-27 academic year. This is a preliminary discussion about the plan's renewal."
The UC Board of Regents is expected to vote on the proposal at its meeting scheduled for November 2025. If approved, the new tuition calculations would be made based on the level of inflation starting in Fall 2027.