Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

UK: Universities warn of going bust without emergency funds

Universities across the UK are calling for emergency funding of at least £2bn, warning some institutions will go bust without it.

Universities UK says the coronavirus pandemic is threatening to sharply cut overseas student numbers and put universities in financial danger.

They are asking for controls on student numbers in each university, to keep fee income at similar levels to last year.

Universities are promising to honour any offers already made to students.

"Without government support, some universities would face financial failure, others would come close to financial failure and be forced to reduce provision," says a letter from higher education leaders to ministers across the UK.

Alistair Jarvis, chief executive of Universities UK, says the proposals would help universities to "weather the very serious financial challenges posed by Covid-19".

He says academic researchers have made a "huge contribution" to tackling the coronavirus pandemic - and their expertise will be needed in the "recovery of the economy and communities following the crisis".

They are calling for an extra £2bn in research funding and on top of that to provide emergency loans for universities that faced "significant income losses".

"Targeted support" should be available to protect strategically important subjects such as science and medicine, say the industry leaders.


This would be in response to cash pressures from the pandemic:

Universities receive almost £7bn in fees from overseas students - and there are fears that their numbers could be much reduced this autumn
The university sector says it has already lost £790m in cancelled business activities, such as conferences, catering and student accommodation
There is also uncertainty about whether campuses will be able to re-open in the autumn and whether many UK students will defer entry this year
There have been warnings of unprecedented "volatility" in this year's admissions - which, if left unchecked, could see some universities expanding but others left with too few students to be financially viable.

This is a particular risk for universities in England and Wales, which are highly dependent on tuition fee income.

In response, Universities UK is asking for controls on the number of students each university in England and Wales can recruit this year, keeping them to levels expected before the coronavirus outbreak, to stop financially unsustainable swings in numbers.

The scale of concern was suggested in an internal email from a Russell Group university seen by the BBC this week, which warned the university could lose a quarter of its income next year.

The letter from Universities UK to ministers says that to provide "stability" for students currently applying, all offers already made would have to be honoured if students made the required grade.

There is also a call to push back by a year the point at which European Union students are categorised as overseas students, when they will face higher fees and visa restrictions.

Jo Grady of the UCU lecturers' union said the plan was a "piecemeal approach that fails to recognise the size of the problem, or the damage we risk doing to our academic capacity".

Eva Crossan Jory, vice president of the National Union of Students, said any extra funding must support students, "especially considering the mounting discontent that courses are not being delivered as promised and demands for refunds".

She backed calls for the government to "step in" to protect higher education, but said it should include "refunding or all or part of the fees".

"The scale of the financial challenges facing higher education institutions are clearly very serious", said Scotland's Deputy First Minister John Swinney.

He promised to work closely with universities to help them "emerge from this crisis".

A Welsh government spokesman said universities had been "at the forefront of the battle against the coronavirus" and ministers would work to ensure they had the "necessary investment".

In England, a Department for Education spokeswoman said: "The outbreak poses significant challenges to the sector and the government is working closely with universities to understand the financial risks and implications they might face at this uncertain time."

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
France Faces New Political Crisis, again, as Prime Minister Bayrou Pushed Out
Nayib Bukele Points Out Belgian Hypocrisy as Brussels Considers Sending Army into the Streets
France, at an Impasse, Heads Toward Another Government Collapse
The Country That Got Too Rich? Public Spending Dominates Norway Election
EU Proposes Phasing Out Russian Oil and Gas by End of 2027 to End Energy Dependence
More Than 150,000 Followers for a Fictional Character: The New Influencers Are AI Creations
EU Prepares for War
Trump Threatens Retaliatory Tariffs After EU Imposes €2.95 Billion Fine on Google
Tesla Board Proposes Unprecedented One-Trillion-Dollar Performance Package for Elon Musk
Gold Could Reach Nearly $5,000 if Fed Independence Is Undermined, Goldman Sachs Warns
Uruguay, Colombia and Paraguay Secure Places at 2026 World Cup
Trump Administration Advances Plans to Rebrand Pentagon as Department of War Instead of the Fake Term Department of Defense
Big Tech Executives Laud Trump at White House Dinner, Unveil Massive U.S. Investments
Tether Expands into Gold Sector with Profit-Driven Diversification
‘Looks Like a Wig’: Online Users Express Concern Over Kate Middleton
Florida’s Vaccine Revolution: DeSantis Declares War on Mandates
Trump’s New War – and the ‘Drug Tyrant’ Fearing Invasion: ‘1,200 Missiles Aimed at Us’
"The Situation Has Never Been This Bad": The Fall of PepsiCo
At the Parade in China: Laser Weapons, 'Eagle Strike,' and a Missile Capable of 'Striking Anywhere in the World'
The Fashion Designer Who Became an Italian Symbol: Giorgio Armani Has Died at 91
Putin Celebrates ‘Unprecedentedly High’ Ties with China as Gazprom Seals Power of Siberia-2 Deal
China Unveils New Weapons in Grand Military Parade as Xi Hosts Putin and Kim
Rapper Cardi B Cleared of Liability in Los Angeles Civil Assault Trial
Google Avoids Break-Up in U.S. Antitrust Case as Stocks Rise
Couple celebrates 80th wedding anniversary at assisted living facility in Lancaster
Information Warfare in the Age of AI: How Language Models Become Targets and Tools
The White House on LinkedIn Has Changed Their Profile Picture to Donald Trump
"Insulted the Prophet Muhammad": Woman Burned Alive by Angry Mob in Niger State, Nigeria
Trump Responds to Death Rumors – Announces 'Missile City'
Druzhba Pipeline Incident Sparks Geopolitical Tensions
Cost of Opposition Leader Péter Magyar's Economic Plan Revealed
Germany in Turmoil: Ukrainian Teenage Girl Pushed to Death by Illegal Iraqi Migrant
United Krack down on human rights: Graham Linehan Arrested at Heathrow Over Three X Posts, Hospitalised, Released on Bail with Posting Ban
Asian and Middle Eastern Investors Avoid US Markets
Ray Dalio Warns of US Shift to Autocracy
Eurozone Inflation Rises to 2.1% in August
Russia and China Sign New Gas Pipeline Deal
Von der Leyen's Plane Hit by Suspected Russian GPS Interference in an Incident Believed to Be Caused by Russia or by Pro-Peace or by Anti-Corruption European Activists
China's Robotics Industry Fuels Export Surge
Suntory Chairman Resigns After Police Probe
Gold Price Hits New All-Time Record
UK Fintechs Explore Buying US Banks
Greece Suspends 5% of Schools as Birth Rate Drops
Apollo to Launch $5 Billion Sports Investment Vehicle
Bolsonaro Trial Nears Close Amid US-Brazil Tension
European Banks Push for Lower Cross-Border Barriers
Poland's Offshore Wind Sector Attracts Investors
Budapest Central European Fashion Week Kicks Off
U.S. Celebrates Labor Day
Hungarian National Team Captain Scores Epic Goal
×