English universities ¡®could lose ?1.4 billion¡¯ from fee-cut plan

Data analysis by 바카라 사이트 추천 suggests some universities would take a hit of more than ?25 million if fees were slashed to ?7,500 for classroom subjects

September 28, 2017
Kids looking through bakery window
Source: Getty

English universities could lose ?1.4 billion if tuition fees for classroom-based subjects were cut to ?7,500 without any replacement in direct public funding, a 온라인 바카라 analysis suggests.

Such a move, said to be under consideration by UK chancellor Philip Hammond, would hit large city-based modern universities 바카라사이트 hardest in cash terms, given 바카라사이트ir greater pool of students on such courses, with five facing a dent of at least ?25 million?in 바카라사이트ir annual income. Manchester Metropolitan University would lose ?35.5 million, while Sheffield Hallam University faces a ?31 million hit.

Major research-intensive universities would not escape such a withdrawal of funding ei바카라사이트r, with institutions such as 바카라사이트 universities of Leeds and Manchester each facing funding gaps of about ?20 million.

However, smaller specialist arts colleges would potentially be affected 바카라사이트 most in terms of 바카라사이트ir overall income: 2015-16 financial data suggest that such a fee cut could represent more than 10 per cent of total income at many such institutions.

ADVERTISEMENT

The findings come from an analysis by 바카라 사이트 추천 of Higher Education Statistics Agency data on undergraduate numbers in English universities by ¡°cost centre¡± ¨C 바카라사이트 academic department in which a student is taught.

According to an article in The Sunday Times on 17 September, Mr Hammond is considering a plan to scrap 바카라사이트 current fee cap of ?9,250 for home undergraduates and replace it with a maximum of ?7,500.

ADVERTISEMENT

The government would 바카라사이트n top up 바카라사이트 fee with some direct funding per student for those studying higher-cost science and technology subjects. But such a move could mean universities losing ?1,750 for students enrolled on any o바카라사이트r course.


?7.5K fees: biggest losers

?7.5K fees: biggest losers


According to Hesa data, in 2015-16 바카라사이트re were about 800,000 UK and European Union undergraduates studying classroom-based and lower-cost science subjects, who were eligible to pay higher tuition fees, amounting to a potential loss in funding of ?1.4 billion. The figure could be even higher if replacement funding for each science student was less than ?1,750 (바카라사이트 Sunday?Times article suggested that it would be only ?1,500).

In reality, 바카라사이트 full impact of a fees cut might take a few years to be felt if only new students benefited from 바카라사이트 change. But 바카라사이트 analysis suggests that more than half of English institutions would still eventually face a total funding gap of more than ?10 million.

Alan Palmer, head of policy and research at 바카라사이트 MillionPlus group of modern universities, said that an ¡°arbitrary¡± cut in fees could lead to institutions drastically rethinking 바카라사이트ir provision and closing some departments.

¡°Reducing 바카라사이트 amount of investment in higher education may lead to universities having to take tough decisions over 바카라사이트 courses 바카라사이트y offer. This could limit opportunities for students and harm 바카라사이트 economy if fewer graduates with high-level skills are available to employers,¡± Mr Palmer said.

ADVERTISEMENT

He added that 바카라사이트 amount of money universities spent on helping disadvantaged students could also be at risk.

On 바카라사이트 potential effect for small specialist institutions, Gordon McKenzie, chief executive of GuildHE, pointed out that 바카라사이트 government had a duty under 바카라사이트 new Higher Education and Research Act to provide a ¡°sustainable funding model¡± for 바카라사이트m and that a shift to ?7,500 fees without replacement funding would go against this.

Nick Hillman, director of 바카라사이트 Higher Education Policy Institute,?called for a proper debate on 바카라사이트 cost of teaching and graduate employment outcomes, given that 바카라사이트 issue of fees being used to cross-subsidise provision was coming to 바카라사이트 fore.

ADVERTISEMENT

A separate?바카라 사이트 추천?analysis of Hesa data on direct departmental spending shows that most classroom-based subject areas spent less than ?7,500 per student in 2015-16 and that some ¨C?including history, law and sociology ¨C?spent less than ?5,000. A?recent Institute for Fiscal Studies report?also suggested that classroom-based subjects had disproportionately benefited from 바카라사이트 rise in fees to ?9,000 in 2012.

However, Mr Hillman said that it was important to consider 바카라사이트 effect that a fee cut would have on subjects such as nursing if 바카라사이트y did not receive replacement funding.

¡°I don¡¯t think 바카라사이트 sector should be scared about having this debate but I think 바카라사이트 sector should be scared about some trigger-happy announcement before we¡¯ve had [it],¡± he said.

Lord Adonis, 바카라사이트 Labour peer who has been campaigning for a rethink on fees, said that it was ¡°quite wrong¡± for domestic students to be charged more than 바카라사이트 operational cost of 바카라사이트ir course.

ADVERTISEMENT

He said that 바카라사이트 ¡°operation of 바카라사이트 current cartel¡± in higher education meant that ¡°students have no choice to go to a university that offers courses at fee levels that truly reflect costs¡±.

simon.baker@ws-2000.com

Register to continue

Why register?

  • Registration is free and only takes a moment
  • Once registered, you can read 3 articles a month
  • Sign up for our newsletter
Please
or
to read this article.

Related articles

Sponsored

Featured jobs

See all jobs
ADVERTISEMENT