There is "inevitable uncertainty" about university applications next year in the face of rising tuition fees, Vince Cable is expected to say.
The Business Secretary is due to tell academics he is "cautiously optimistic" student numbers will not drop as fees triple to up to £9,000, but that everyone will be looking closely at university applications.
In a speech to the Universities UK annual conference, Mr Cable is also expected to admit he was not aware of the "full breadth" of the work of universities and colleges a year ago.
The Business Secretary, who has responsibility for universities, will set out his assessment of the last 12 months in higher education (HE), and look at the Government's future plans.
He is expected to tell academics at Royal Holloway College, part of the University of London, in Egham, Surrey: "Looking forward to student recruitment for 2012-13, we will, of course, all be looking very closely at how applications fare.
"There is some inevitable uncertainty with the introduction of the new funding system, but I am cautiously optimistic."
Mr Cable will say that university vice-chancellors are reporting "encouraging" numbers of would-be students attending open days, while the Government's information campaign suggests more young people and parents now understand how the loan re-payment system will work and that they will not have to pay fees up front.
"Nevertheless, young people - especially those from disadvantaged backgrounds or with no prior family experience of university - are still susceptible to negative propaganda and misconceptions about HE and its cost," he is due to say.
To address this the Government will continue its campaign this autumn.
Mr Cable will also address concerns about the Government's plans to allow universities to offer unlimited places to students who achieve two As and a B or higher in their A-levels, and to hand 20,000 places to institutions charging £7,500 or less on average in tuition fees.
