Rachel Hewitt, chief executive of MillionPlus, which represents modern universities, said the change from government was “positive”, but that the affected students’ lives had been “turned upside down”.
“Students and universities deserve further clarity, and the government should pause this action entirely, protect affected students and work with the sector on a fair and workable solution,” she added.
The BBC understands ministers became concerned that support wasn’t being provided as consistently or urgently as needed.
Nine of the universities involved took the first step towards legal action last week over what they called an “abrupt” decision, which risked penalising mature students on low incomes trying to get a better qualification.
Those nine universities said it was “disgraceful” that Monday’s change was announced in Parliament before students were informed, adding that there were still more questions than answers.
In a statement, they added students were getting in touch with questions – “many of whom are among the most vulnerable, many are parents, many are from low-income backgrounds, many chose weekend study precisely because it was the only way they could access higher education around work and family commitments”.
Some of the courses caught up in the row are delivered by private companies which have a deal with a university to teach their degrees, often in buildings hundreds of miles from the main campus.
The government has expressed concern this part of the system is open to abuse, and has said it will soon tighten regulations so that any of these franchise providers with more than 300 students have to register with the higher education regulator, the Office for Students.