Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Up to 30 universities 'could close or face merger' because of government reforms and dwindling student numbers

 

Richard Garner
Monday 24 June 2013 21:53 BST
Comments
77 per cent of the university leaders interviewed believed a number of universities will fail or go bankrupt
77 per cent of the university leaders interviewed believed a number of universities will fail or go bankrupt (Alamy)

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.

Up to 30 higher-education institutions could face closure or merger within the next few years, according to a survey of university leaders.

The survey, by the PA Consulting Group, reveals 77 per cent of the university leaders interviewed believed a number of universities will fail or go bankrupt as a result of government higher-education reforms and dwindling student applications.

The biggest threats are a drop in demand for student places – because of rising fees coupled with a fall in the birth rate – plus the introduction of a more market-based approach to recruitment. This has allowed universities recruiting large numbers of students with top-grade A-level passes to expand, while the rest fight for a small share of the market.

In addition, fears were expressed that the Government’s curbs on immigration will make it more difficult for universities reliant on fees from overseas students to boost their finances to survive.

“Opinions are divided on the prospects for outright institutional failures or insolvencies but over 77 per cent expect significant rationalisation through institutional mergers and takeovers,” the report says.

Mike Boxall, a higher-education expert at PA Consulting Group, said: “We are witnessing a sea change in the dynamics of higher education.”

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