University of California students will be hit with an extra 5 percent fee hike starting this fall, on top of the 25 percent increase approved earlier this month.

UC announced Wednesday that cuts in its state funding would force it to impose the extra fee. For undergraduates who are state residents, the total increase will be $1,150 per year, bringing the annual cost to $5,437. Financial aid will ease the hurt for many students.

UC has had to slash funding for libraries, research, outreach, student services, public service, teacher development and administration because of the state cuts. Employees will not get a cost-of-living increase, and the opening of the new Merced campus will be delayed a year.

"It is clear that the UC system will be taking major cuts that will greatly impact our ability to serve students and the state as a whole," UC President Richard Atkinson said in a statement.

"We recognize that the challenges facing the Legislature were huge and that compromise was necessary in order to get a budget at all," Atkinson said. "But the state's budget situation now very clearly threatens the University of California's historic promise of access and quality."