Institutions told To PREPARE FOR SMALLERS BUDGETS

Universities are facing massive cuts to their budgets of about £1bn as the Government tries to slash public spending to reduce the national debt.

By The Newsroom

Published 16th Feb 2010, 15:12 BST

Updated 16th Feb 2010, 17:11 BST

Ministers said that the higher education budget will be cut by 449m in 2010/11 and universities have been told to expect cuts of 600m from 2012.

Graduate donations represent only a fraction of universities’ massive budgets and several alumni offices in the region say the public funding cuts have led to universities chasing such cash more actively.

Business Secretary Lord Mandelson told universities they need to adapt and take their fair share of economic pain. He also told the House of Lords the cuts would give universities a chance to improve.

Leeds University vice chancellor and chairman of the Russell Group – which represents the UK’s top research universities – Professor Michael Arthur has warned that the cuts could bring a great education systems “to its knees”.

Government