MPs investigate financial pressures facing universities

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• Education Committee

Dozens of universities are making redundancies and cuts to courses, and the Office for Students estimates that nearly three-quarters of higher education providers could be in deficit by 2025-26.  

In the first of three panels of witnesses (full details below) MPs will examine research funding, the strategic role of universities and what steps the Government could take to support struggling institutions. Sir Philip Augar, who chaired a 2019 review of post-18 education and funding, will be questioned on the Government’s response to his recommendations, which included proposals concerning tuition fees, maintenance grants and limiting the number of perceived low-quality courses. There will also be questions about research funding amid a long-term trend of reduced grant funding from the Government via Research Councils.  

The second panel will hear from groups representing universities, including the Russell Group, MillionPlus and the Universities and Colleges Employers Association. The cross-party Committee will ask about the financial headwinds facing universities and the measures being taken to balance their books, and how the Government should respond if a university becomes insolvent. There are concerns that some institutions have been too reliant on revenue from international student tuition fees, and that some had overestimated the number of international students they expected to recruit. 

The third panel will consider the impacts that financial pressures are having on staff and students, particularly those from disadvantaged backgrounds and care leavers, and how they could be protected if universities become insolvent. MPs will also be interested to hear what effect financial pressures have had on the UK’s sector’s reputation abroad, and about the UK’s relative standing in the international market for recruiting international students following immigration changes brought in by the last government. 

Committee Chair Helen Hayes MP last month released a statement announcing the intention to hold this evidence session. 

Witnesses

From 10.00am   

• Sir Malcolm Press, Vice-President (England and Northern Ireland) at Universities UK 
• Professor Dame Jessica Corner, Executive Chair, Research England at UK Research and Innovation 
• Sir Philip Augar, Chair of the 2019 Independent Panel at Post-18 Education and Funding Review 

From 10.45am   

• Mr Raj Jethwa, Chief Executive at Universities and Colleges Employers Association (UCEA) 
• Dr Hollie Chandler, Director of Policy at The Russell Group 
• Rachel Hewitt, Chief Executive at MillionPlus, The Association for Modern Universities 

From 11.30am   

• Alex Stanley, Vice-President of Higher Education at National Union of Students 
• Jo Grady, General Secretary at University College Union (UCU) 
• Andrew Bird, Chair at British Universities' International Liaison Association 

Further information

• About Parliament: Select committees
• Visiting Parliament: Watch committees

Image: House of Commons