Results of a study of the costs of examinations in further higher education (FHE) in England and Wales are presented, based on a survey of 12 FHE institutions, 6 local education authorities (LEAs), and a number of examining bodies. After a brief review of the system of assessment in England and Wales, attention is directed to the range of fees paid by examining boards to examiners and moderators, and the fees they charge to candidates. Examples are provided of costs and fees associated with examinations. LEA policies and systems associated with examinations are also examined. Conclusions include: generally, an increasing number of students undertake some form of assessment (e.g., skills tests, continuous assessment, achievement records); examining bodies are willing to fill any gap in a student's education with some recognized certificate of achievement; the system of assessment in further and higher education is complex, competitive, expensive, and uncoordinated; colleges are finding it increasingly difficult to advise students and to match the available assessment opportunities to their particular needs; and the costs of assessment appear to be rising more than the rate of inflation. (SW)