Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Higher Education: Universities set to close as funding is slashed by 40 per cent

Education Editor,Richard Garner
Wednesday 20 October 2010 19:00 EDT
Comments
(GETTY IMAGES)

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

Widespread closures of universities and colleges were forecast last night in the wake of a 40 per cent cut in funding for higher education. The budget is to be slashed from its present level of £7.1bn a year to £4.2bn by 2014-15.

Ministers intend the reduction to be offset by a massive increase in tuition fees following the recommendation by Lord Browne's inquiry into student finance last week that the current fee cap of £3,290 be lifted.

Certain subjects will find themselves badly hit by yesterday's cuts. In future, only science, technology, maths and engineering will be funded by the Government, with other subjects being financed by student fee income.

Those institutions which feel they cannot raise their fees to the £7,000 considered necessary to offset the cuts will be in danger of closure or of being merged. A raising of the cap to £7,000 is being considered by the Business Secretary, Vince Cable, rather than the free-for-all which could see some universities charging £12,000 for courses if Lord Browne's recommendations were implemented in full.

The one crumb of comfort yesterday was that research funding – thought to be about to take a £1bn hit – is to be spared. Ministers also announced the creation of a new national scholarship fund to be worth £150m a year by 2014-15, which will help disadvantaged young people.

Professor David Eastwood, vice-chancellor of Birmingham University and a former head of the Government's funding council for higher education, described the universities' package as heralding "a period of unprecedented financial turbulence".

Further education suffered a less severe cut, seeing its budget reduced by 25 per cent to £3.2bn over the four-year period.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in