New modernisation fund to provide and support 20,000 extra higher education places, while driving up efficiency in universities and colleges
24 Mar 2010
An extra £270 million is being allocated to universities and colleges in 2010/11 to support more students going into higher education next year, and help institutions become more efficient, Lord Mandelson announced today.
The creation of a new ‘Modernisation Fund’ will open up university to 20,000 more students in 2010/11 building on the record total numbers of students currently in higher education.
The Government is taking this action to invest in strong sustainable growth and build a stronger Britain with these new places supporting the industries and new jobs of the future.
The new additional 20,000 places will comprise a range of degree places – full-time undergraduate, Foundation and part-time – reflecting the increasing demand from students for a diverse range of courses to suit an increasingly diverse student body.
Participating universities and colleges will be able to spend the funds on the costs of those places in 2010/11 and on “invest to save” projects which will produce savings that cover the costs of the places in subsequent years.
Business Secretary Lord Mandelson said:
“Universities are vital for economic growth. Highly skilled people creating and applying knowledge power a competitive, high value economy. This is why we are determined to maintain the world class university system we have built over the last decade.
“This further investment will allow universities and colleges to build on their success and continue to expand, offering 20,000 funded places this autumn through a range of degrees students want in the subjects which business and employers most need.
“Building on our record expansion of higher education is more important now than ever as we continue to invest in a highly skilled workforce to win the jobs of the future and build Britain’s economic success.”
There are 390,000 more students in higher education today than 1997 – more than ever before in our history - and today’s announcement increases those already record numbers. The demand for places reflects the welcome rise in attainment by young people in school and college, and the success of the Government’s programmes to raise ambition and widen participation.
Institutions will be invited to bid for a share of the funds, against commitments to provide a total of 20,000 additional places for entry this autumn. The Higher Education Funding Council Education (HEFCE) will be writing to the sector with further details of the fund.
Within the £270 million total additional funding, £20 million will be allocated to HEFCE to support universities and colleges in projects to raise efficiency and value for money through the development of shared services, collaborative procurement and other innovative ways of cutting overhead and back office costs while sustaining the quality of front line teaching and research.
