Higher education has been singled out for devastating public funding cuts. This Labour Government seems to believe universities will somehow thrive on less money. The simple truth is that cuts cannot be made without consequence. Ministers have to understand that you do not get more for less. Since Britain already spends less of a percentage of its gross domestic product on higher education than our competitor countries, few are likely to agree that slashing funding is the way to ensure this country can retain, let alone improve, its world-class reputation.
The Government has announced plans to cut university spending by £900 million over the next three years and many within the sector fear that worse is yet to come. We are reaching the point of no return. If politicians continue down this path, there won’t be much of a university system left for future generations.
This may sound a little apocalyptic, but even university vice-chancellors have warned that 30 institutions may be forced to close. There are 15,000 jobs already at risk in our universities, while the full devastating impact of the cuts and exactly where the axe will fall
is not yet known. You cannot make these kinds of cuts and expect no problems. We will see teachers on the dole, students in larger classes and a higher education sector unable to contribute as much to the economy or society.
The cuts, which are already beginning to bite in places, will do lasting damage to communities and businesses throughout the country. Let’s take the example of the University of Cumbria, which plans to close down its Ambleside campus with the loss of more than 120 jobs.
Ambleside is a vital lifeline for the surrounding area, with many students renting accommodation and providing much-needed income for the local economy. Local businesses and services attest to the huge contribution students have made and how many have gone on to stay and work in the area.
Lucy Nicholson, who runs several restaurants and a cookery school in the area, says: “Villages and towns die when you take away vital lifelines like Ambleside. My daughters’ partners all studied at Ambleside and have stayed in the local area after graduation. It would be a huge blow to the local area if the campus closed down. Lots of my customers are students and they are a crucial part of this community.”
The story of Ambleside is a familiar one and there will be whole areas in towns and cities across the country that will feel the impact if the cuts go ahead. The University of Leeds is looking to make up to 700 redundancies, with all departments – even those making a surplus – being told to identify between 10 to 20 per cent worth of cuts.
University of Leeds vice-chancellor Michael Arthur, the current chair of the Russell Group of universities, has admitted cuts would have a “devastating impact on staff and students” and warned that the entire university sector could be “brought to its knees” in a matter of months if the government continues to slash away at the higher education budget.
The Government’s response has been little short of astounding. In an incredible exchange in the House of Lords on January 21, Business Secretary Lord Mandelson argued: “Tighter budgets right across the public sector, including in higher education, can be a spur to further diversifying funding of British universities.” He went on to claim that the cuts can also “focus minds on teaching and research excellence and new ways of delivering higher education”.
Does Mandelson really think students will be able to diversify their learning if they are sitting in the biggest classes in Europe? Does he think reduced time with lecturers will help students focus their minds on their work? Does he believe massively increased workloads for the staff who survive the jobs cull will help them prioritise their to-do list?
The Business Secretary’s case was not helped by his junior minister, David Lammy, who, when warning that it may be some years before universities see an increase in public funds, conceded that there could not be excellence in our universities without money.
Why isn’t Mandelson looking at the likes of France, which has just announced an investment of 11 billion euros in higher education as part of its stated aim to create the best universities in the world? Why isn’t the British Government following the example of Germany, which is investing 18 billion euros in order to promote world-class research alongside university education? Why aren’t we copying Barack Obama in the United States, who has ploughed an additional $21 billion into federal science spending? The case for public investment in higher education is clear to all of them. Do we really want to be left behind? These cuts are putting our international competitiveness at risk and seriously hampering our chances of economic recovery.
The planned cuts will hit the Government’s own widening participation agenda. The latest figures from the admission service UCAS reveal a decrease in the percentage of applicants successfully applying to university. In 2008, 78 per cent of students applying to university were accepted. In 2009, the figure dropped to 75 per cent
A slimmed-down university sector is going to make life much harder. The inevitable job losses and course closures will mean that thousands of qualified students will miss out – despite having been encouraged by this Government to apply to university. Those fortunate enough to get a place will face record class sizes and far less one-to-one time with tutors.
Is this really the kind of university experience we want to have? Labour has been laudable in its efforts to get more people into our universities over the past decade. However, rhetoric alone is not enough. Now, more than ever, the Government needs to be brave enough to back its own policy and provide the necessary resources the university sector – and record numbers of students – desperately need.
Some think the only way to plug the funding gap is to raise the cost of tuition fees, but that is not the answer. Increasing fees or the other financial barriers that many students and parents come up against when considering higher education is not the way to deliver a world-class university system.
Instead of looking to students to the foot the bill, the Government should be seeking to get business to pay its fair share. A report from the University and College Union (UCU) shows that, if corporation tax were raised to the G7 countries’ average, there would be enough money to abolish all university tuition fees. This would still leave Britain’s main corporation tax rate below that of France, Japan and the US, and the move would affect just 4 per cent of companies.
The bottom line is that our university system is worth defending. With just 1 per cent of the global population, we produce 7.9 per cent of the world’s research publications and 12 per cent of all citations. The total contribution of higher education to the economy in 2007/8 was £33.4 billion – equivalent to 2.3 per cent of GDP. Britain is the world’s second most popular destination for international students, generating £2.9 billion annually for universities, as well as off-campus expenditure estimated at £2.3 billon.
With a general election fast approaching, now is the time for politicians from all parties to demonstrate their commitment to education by opposing the folly of cuts. If Britain is to remain a leading player in the global knowledge economy, it simply cannot afford these cuts. Higher education, like schools and further education, is one of this country’s greatest success stories and needs sustained investment.

