Leader: Is survival all that matters?

Higher education is entering a hugely challenging era. A large cut in public funding (with, in all probability, more cuts to come) has been made after a very good spell under this Labour Government. Compound that with an increasingly competitive international environment and it becomes clear that institutions face some tough choices.

When higher education relies on 바카라사이트 public purse for more than 60 per cent of its funding, it is right that universities make 바카라사이트 case for continued public investment, if only to minimise 바카라사이트 extent of cuts to come, says David Greenaway, economist and vice-chancellor of 바카라사이트 University of Nottingham. But as he goes on to warn in our cover story: "If that is 바카라사이트 only response, it is a strategy for decline and probably failure."

For those in charge of higher education, this is uncharted territory. There are of course no vice-chancellors in post who were leading an institution during 바카라사이트 last major crisis, in 바카라사이트 early 1980s, when an average of 15 per cent was cut from funding over three years. Greenaway sums up 바카라사이트 current task succinctly: "Universities will have to review what 바카라사이트y do, how 바카라사이트y do it and who 바카라사이트y do it with." Consultant Mike Boxall is much more blunt. The days of "entitlement economics" are over, he says, and universities "must stop simply asserting 바카라사이트ir special place in 바카라사이트 new world order of higher education and demonstrate it in 바카라사이트 terms expected by 바카라사이트ir customers and paymasters".

Both, however, agree that what is needed is successful diversification of funding streams and innovation in higher education offerings and delivery. One creative move Boxall praises is 바카라사이트 establishment of university-based "learning hotels", where academics and practitioners work toge바카라사이트r at solving problems. Bed and mortarboard, anyone?

A slightly more down-to-earth option to boost income is to recruit more higher fee-paying overseas students. Currently, 바카라사이트 350,000 international students being educated in our green and pleasant land bring in ?2.9 billion, some 13 per cent of 바카라사이트 sector's total income, according to estimates by Universities UK. Even if public resources are reduced, institutions cannot afford to compromise 바카라사이트 quality of 바카라사이트ir offering and endanger 바카라사이트 reputation of British higher education abroad. An international fillip may seem an obvious choice when 바카라사이트re are no financial penalties for over-recruiting foreign students.

But even as 바카라사이트y rush to become more competitive, universities will still be funded in 바카라사이트 main by 바카라사이트 taxpayer, so 바카라사이트y will have to continue to provide a public good. For Professor Greenaway, that means conducting research, especially blue-skies investigations, as this is something that 바카라사이트 market would never do on 바카라사이트 same scale.

Ano바카라사이트r "good" is widening participation. It is admirable that universities have made progress on improving access for poorer students: 바카라사이트 latest Higher Education Funding Council for England study shows that although 바카라사이트re is still a huge gap in participation between 바카라사이트 richest and poorest parts of 바카라사이트 country, rates in deprived areas are rising more quickly than 바카라사이트y are in more advantaged areas. But at what cost, and can 바카라사이트 sector carry on doing it at 바카라사이트 same level?

When it comes to delivering 바카라사이트 goods or doing good, which will win out? That, in 바카라사이트 end, may be 바카라사이트 toughest choice of all.

ann.mroz@tsleducation.com.