Universities to get smaller funding boost than colleges

Published on Friday 26 February 2010 22:03

COLLEGES are to be given priority funding next year to help more 16- to 24-year-olds win places, the government has announced.

Education secretary Michael Russell, in a letter to the Scottish Funding Council (SFC), which allocates funding to colleges and universities, also urged it to give more cash to rural colleges.

In total 1.77 billion will be given to colleges and universities for 2010 to 2011, which Mr Russell described as a real terms increase in the guidance letter.

Colleges will receive 692.7 million, an extra 44.8m on last year's allocation, and universities will receive 1.076bn – an extra 42.9m for 2010 to 2011.

The move comes after a previous decision to expand college places by 7,500 in a bid to cope with huge demand for places this year sparked by the recession.

Linda McTavish, convener of Scotland's Colleges' principals' convention, said the move would help more students go to college.

She said: "During these challenging economic times, when many school leavers are facing an uncertain future, the need to invest in skills has never been so apparent.

"The Scottish Government is choosing to invest more in tertiary education at the same time when funding for higher education in England is being cut by almost 5 per cent."

Anton Muscatelli, convener of Universities Scotland and principal of Glasgow University, said Mr Russell's letter made "crystal clear" the importance the government placed on universities.

He said: "Universities fully recognise the pressures on public funding and will continue to work strategically and seek to build on our strong performance on efficiency savings."

Mr Russell said the budget came during an "incredibly difficult" economic climate.

He said: "It follows a recession neither predicted nor in our control and a budget slashed by Westminster by more than 500m.

"This settlement is more than fair in the current climate."

Claire Baker, Labour's higher education correspondent, said the extra funding for rural colleges was particularly welcome but urged more finance for the poorest students.

She said: "The cabinet secretary must ensure there is sufficient support. There is a real issue surrounding support for lone parents."

Margaret Smith, Liberal Democrat education spokeswoman, said the extra college places were crucial in preventing a "lost generation".

She added: "But college or university is not for everyone. As well as funding for further education places, the government must make sure apprenticeships, paid internships and jobs for school leavers are made available."