Business Secretary Vince Cable and Universities and Science Minister David Willetts have written to the Higher Education Funding Council for England to set out the total amount Hefce can allocate to universities. This amount is set to drop by 6 per cent in 2011-12.
Hefce will set out its allocations to individual institutions next year. Hefce chairman Tim Ross says, ‘The funding settlement will be a challenging one for universities and colleges in 2011-12 and also in subsequent years for universities, colleges, students and graduates as the new finance and funding agreements take effect.’
The Government has also announced a ring-fenced £4.6bn a year grant to science and research programmes. This will include funding for the new UK Space Agency and funding for arts, humanities and social sciences research.
Willetts says, ‘Collaboration is one of the key themes of these allocations. There will be significant collaboration among research councils and among universities, tackling issues of national importance, often working with the Technology Strategy Board.’