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The Welsh University Challenge

Posted in Education, Finance with tags , , , on February 13, 2011 by telescoper

Last week I received an email from BBC Wales asking me to get in touch with one of their reporters. It turned out to be about a blog post I wrote some time ago concerning the recent decision by the Welsh Assembly Goverment to pay the fees of Welsh domiciled students wherever they go to study within the UK. The reporter had read my post and wanted to “pick my brains” for a story she was working on. I didn’t have time  last week as I was too busy, but I found out yesterday that the BBC had indeed run a story.

According to the BBC version, the policy of paying for Welsh students to go to English universities will cost the Welsh Assembly Government £51.7 million in 2015-6 although,  according to their projections, this will be more than offset by an expected £83.5 million coming from English students electing to study in Wales (who will have to pay their own fees).

The net cost of this policy will be about £97.6 million in the same year, allowing for the assumed net profit from English students, which will be met by cutting the core teaching grants to Welsh universities by about 35% – this is less than the cuts in England, but big cut nevertheless.

But these calculations depend on several assumptions. One is what level of fees are charged. If all English universities charge £9K (which is possible) then the outflow of cash related to Welsh students going to England increases. If Welsh university fees are capped at £6K (which also seems likely) then the cash inflow decreases. In fact, in this scenario the differential between  money in and money out completely disappears.

Moreover there is the question of how many students move in each direction. It’s possible that in the Age of Austerity more students will be forced to study near their family homes, which will also alter the balance. In addition, student places are being cut  in Wales while there is a possibility that the cap on numbers in English universities will soon be lifted. This raises the possibility that Welsh students may be forced to study in England anyway, as they might not be able find a place in Wales. We’re certainly not going to benefit much in the School of Physics & Astronomy at Cardiff University from the current boom in applications, as our numbers have been cut since last year despite applications going up by 50%…

On the other hand – and I’ve anecdotal evidence for this from talking to parents at UCAS admissions days – there seems also to be a feeling that the WAG’s commitment to students is serving to convince a number of English residents that the Welsh universities are in safer hands than those in England.

So, although I strongly support the WAG’s reasons for wanting to help Welsh students as much as possible there remains considerable uncertainty about how things will pan out over the next few years. It could get very grim if reality departs significantly from the projections.

One of the arguments put forward by Leighton Andrews (the Welsh Assembly Minister responsible for Universities in Wales) is that the policy of paying for Welsh students to go to England was in fact a commitment made the Labour-Plaid Cymru coalition that controls the Welsh Assembly. That’s fair enough,  but of course it makes one wonder what will happen if the balance changes with the Welsh Assembly Elections due in May 2011.

Only when we know the complexion of the new WAG will we learn whether it might revisit the policy. I’ve heard many arguments for and against, but it still strikes me as very strange to see the devolved administration spending so much of its hard-earned budget in England. That £50.7 million would go a long way if it were kept in Wales.

All things considered, however, despite all the difficulties I think the situation is much more positive for universities in Wales than in England.

Incidentally, another sensible idea being discussed by Leighton Andrews is that Welsh schools might be forced to ditch “soft” A-level subjects, such as (inevitably) Media Studies, in favour of “quality” ones (presumably including mathematics and physics). Perhaps he should do the same for Mickey Mouse degrees in Welsh universities too?

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