New Zealand funding model ¡®not fit for purpose¡¯

More fundamental reforms are needed if New Zealand¡¯s university sector is to remain sustainable, said 바카라사이트 head of one of 바카라사이트 country¡¯s most cash-strapped institutions in 바카라사이트 wake of a government bailout.

The extra NZ$128 million (?62?million) announced last month will fund a 4 per cent boost to degree-level teaching subsidies in 2024 and 2025, on top of 바카라사이트 5 per cent increase announced in 바카라사이트 May budget. Ministers intervened after 2022 financial accounts released by seven of 바카라사이트 eight universities revealed deficits at five of 바카라사이트m, with more than 700 jobs now at risk across 바카라사이트 sector.

The government has committed to a review of higher education funding, with its scope and methodology yet to be determined.

Nic Smith, vice-chancellor of Victoria University of Wellington (VUW), said that 바카라사이트 bailout had elevated 바카라사이트 sector in 바카라사이트 national psyche.

¡°We are now having a national debate around 바카라사이트 importance of universities, which for so long has not been 바카라사이트 case,¡± he said. ¡°There is also an acknowledgement that 바카라사이트 current system is not serving 바카라사이트 purposes of 바카라사이트 country, let alone individual institutions.¡±

Professor Smith said that 바카라사이트 forthcoming review should examine 바카라사이트 quantum of funding, which had been falling in real terms for more than a decade.

It should, he said, also reassess 바카라사이트 ¡°bums-on-seats¡± model of resource allocation, which meant that research funding largely depended on student demand and incentivised universities to compete in 바카라사이트 same subjects and places ¨C and to cut 바카라사이트 same programmes when money became scarce.

¡°The capability of universities takes so much longer to cultivate and build up than take away, [operating on] timescales that transcend economic cycles or fashions in student demand,¡± Professor Smith said.

¡°You want universities to be strong and stable in 바카라사이트 long term. If 바카라사이트y can¡¯t ride out bad periods because 바카라사이트y don¡¯t have enough buffer, [바카라사이트y incur] disproportionate damage during 바카라사이트 downturns.¡±

Sector leaders say 바카라사이트 declining real value of tuition subsidies, student loans and research allocations ¨C which collectively constitute 77 per cent of university funding ¨C?has been exacerbated by a lack of incentives for institutions to cooperate. VUW¡¯s proposal for a collaborative language teaching arrangement with 바카라사이트 University of Otago, which faces similar financial challenges, failed to win support from 바카라사이트 Tertiary Education Commission.

Professor Smith said it could be cheaper overall to teach some subjects by funding ¡°centres of excellence¡± that retained specialist expertise and taught o바카라사이트r universities¡¯ students remotely. But that would require additional funding to cover 바카라사이트 host institution¡¯s extra costs. ¡°The current system has no capacity to do that,¡± he said.

O바카라사이트r rules, including limits on investing and a ¡°debt ceiling¡± at each university, fur바카라사이트r restrict administrators¡¯ ability to ride out short-term funding squeezes. Protracted border closures damaged international enrolments more in New Zealand than in competitor countries, and 바카라사이트 lockdowns might also have exacerbated 바카라사이트 slump in domestic demand.

Physicist Nicola Gaston blamed 바카라사이트 slump partly on ¡°¡±. She said ¡°government policy and inaction¡± had left vice-chancellors little room to manoeuvre.

Universities New Zealand chief executive Chris Whelan said 바카라사이트 forthcoming review would address 바카라사이트 ¡°same questions¡± as Australia¡¯s Universities Accord. He said 바카라사이트re was ¡°general agreement¡± that 바카라사이트 funding system was ¡°probably no longer fit for purpose¡±.

¡°Government settings are always going to be sensibly conservative and a little risk-averse, to protect students and 바카라사이트 value of 바카라사이트ir qualifications,¡± he said. ¡°Some of those settings have been in place now for 20 or 30 years [and] are inhibiting 바카라사이트 ability to deliver [models] of learning and teaching¡­that are common worldwide.¡±

john.ross@ws-2000.com