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I think there are a range of considerations which need to be thought about when a student chooses a university. An unconditional offer regardless of grades or a promise of a bursary is something which might be important to some students. Going to a university with the best rank possible for an individual’s grades might be important to others. It is difficult to criticise the practice of making offers of financial support or other incentives because each person’s case will be different and different circumstances will suit different people.
I think that there should be a regulatory body in order to maintain fairness but for the student perhaps it is a case of the buyer beware. There is no reason why a university course should not be looked upon as any other major financial commitment and thoroughly investigated before making a commitment.
Universities which have a declining enrolment will suffer in terms of the staff they are likely to attract and the programmes and research they are able to conduct. For these reasons, it is understandable that universities want to maintain a strong student body. Perhaps this is an ideal market for students who might be able to secure a good deal for themselves.
Knowing what you are looking for, and what will be helpful to you as a student, is the most important way to make a good choice.