Transcript Introducing the University of Sheffield

A focus on what has been
happening and what is currently
taking place in the UK
Miles Stevenson
Director of Development
University of Sheffield, United Kingdom
9th March 2011
“A bombshell”
“The most
astonishing rapidity
of changes in
government
policy.”
“The government
has turned its back
on the idea of a
publicly funded
University”
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Durham University
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Durham in 1990
Student composition
Funding
Expectations
Job opportunities
Debt?
Availability of
information
Technology
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Technological Changes
Facebook – 30 million
Blogging andTwitter
Even my Vice-Chancellor
has one!
“Corridor meet-up”
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UK to America?????
Tuition?
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Tuition fees c. 1780
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Tuition fees 1828
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Penn State President
Dr Graham Spanier
Has a personal target
of $1 million ….
every day for Penn
State
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Penn State
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USA alumni
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CASE-Ross Survey of UK
University Philanthropy
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What’s been happening in the UK
over the last twenty years or so?
Are there themes which are
applicable?
What trends do I anticipate?
• The beginnings of a “real” market – highly
competitive
• A reduction in government funding
• A reliance on tuition fees from overseas
students
• UK students paying increasing tuition fees
• More links with business
• Expansion in fundraising offices
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What are the key areas?
Key overarching factors
• Change in scale and complexity in the sector
• Government “interference”
• The student as “customer”
• A decline in traditional funding
• Market forces – internal and global
• What is a University degree for?
• Diversification of funding
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Government “interference”
Taking you back in time c. 1982
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The first big cuts
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A change in attitude?
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Student Maintenance
• Dilution in size of grants from mid 1980s
• Scrapping of grants in 1998 by Tony Blair
• Creation of Student Finance England to
assess student/parental income
• Introduction of Maintenance Loans
• Creation of the Student Loans Company to
manage loans and repayments
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Maintenance 2
• Students can now borrow c. £4,000 p.a. for
living costs
• They will need to repay this when they are
earning more than £15,000 – at a rate of 9% of
earnings above this figure.
• If you were earning £20,000 p.a. this would
equate to c. £35 per month
• The debt is written off after 25 years
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Maintenance 3
• But £4,000 p.a. is not enough to live on!
• Expectation that parents will pay something,
students will live at home, find work, run up
debts
• Concern for poorer students. So in 2006 some
grants (non repayable) were introduced
• £2,906 p.a. if parental income is under £25K;
something between £25,001 and £60,005;
nothing above £60,005
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Tuition fees
• The Dearing Report into the
future funding of Higher
Education - 23 July 1997.
• The Education Secretary David
Blunkett introduced meanstested tuition fees to begin in
September 1998 with students
being required to pay up front
£1,000 p.a. for tuition.
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Tuition fees 2
• In January 2004,
universities were
allowed to charge
£3,000 p.a. for
tuition fees – rising
with inflation (now
£3,375 p.a.)
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Tuition Fees 3
Lord Browne’s
Independent Review
of Higher Education
Funding
Tuition fees to rise
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Tuition Fees 4
Nick Clegg’s pledge
The decision makers got their
time at University for free
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Tuition fees 5
The cap will rise to £6,000
p.a. and universities can
charge up to £9,000 p.a. –
with some conditions
Payment starts when you
earn £21,000.
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Conditions on raising
higher tuition fees
• Access to Higher Education for lower
socio-economic groups
• State/Private school split in student
recruitment
• Widening access proposals - monitoring
• The provision of scholarships
• OFFA (the Office of Fair Access) – which
can fine (£500K)
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Demographics and market
forces
Targets and changes
• In 1992, the former polytechnics were all
changed into universities
• Number of student in HE – from 10% in c.
1985 to an aim of 50% of 18 years olds
• “Education, education, education” T. Blair
• 1960 – 50,000 applications
• Today – 700,000 applications
• Choice (and confusion)
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Targets and changes
• A customer focused environment
• Creation of marketing offices
• Guides on universities – books,
newspapers, “University of the Year”
• Student expectations start to rise
• National Student Satisfaction Survey
(This year Sheffield came 2nd out of 115 uni’s)
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League Tables
The operation of a global market
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League Tables 2
United States 54
United Kingdom 29
Canada 11
Japan 11
Netherlands 11
Germany 10
Australia 9
Switzerland 7
China 6
Belgium 5
Hong Kong 5
Sweden 5
France 4
South Korea 4
Denmark 3
Israel 3
New Zealand 3
India 2
Ireland 2
Norway 2
Russia 2
Singapore 2
Source - Times Higher League Tables 2009
Country breakdown for top 200
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Student Viewpoint
Students
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Key overraching factors
• Students want choice and value for money
• Contact hours from teaching staff
• In the UK “2012” is coming
• Going away to study – declining?
• Competition on student accommodation
• Our new student village – what is our core
business? (Not teaching them to
appreciate a good claret!)
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Sheffield Student Village
£160 million Public
Private Initiative
The biggest and the
quickest
We look after grounds;
they look after buildings
– back to us in 40 years
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Our students
• Need for differentials – a language, a year
abroad, a placement, skills – competition
for jobs. What sort of subject of degree?
• Parental power and influence at open days
and beyond
• More interaction with business –
enterprise centres
• A need for better student support – IT,
libraries and facilities
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Sheffield - new buildings
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International Students
Our students
• Internationalisation
• 11.8% of Sheffield’s income came from
overseas tuition last year
• We have students from 137 countries –
and staff from 87
• We would be in difficulty without this
• Markets – India and China
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International students
“A total of 408,685 students were studying
overseas with UK universities in 2009-10,
against 2,493,420 enrolments at
institutions in the UK”
Times Higher Education 20 January 2011
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International students
The University of Nottingham has
campuses in Malaysia and the Chinese
city of Ningbo, and plans to open a third
campus in Shanghai.
Middlesex University has campuses in
Dubai and Mauritius and plans to launch a
branch in India
Times Higher Education 20 January 2011
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Government Cuts
Key figures
• Hefce (Higher Education Funding Council for
England) announcement - 2 February 2011
• 2011/12 £6,507 million for the sector – down
by £940 million (12.9% cut)
• Massive cuts in teaching budgets – hence
need to charge for tuition
• Capital funding cut by 58% to £223 million in
2011/12
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New focus
• The government’s proposal of 2 year non
residential degrees by new private institutions
• The need to engage more with the EU – the
only sector where we are increasing our
grant income
• Concentration of research with fellow
universities (e.g. The White Rose Group) and
with businesses
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Links to business
Rolls Royce - Boeing
Siemens Wind Partnerships
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Philanthropy
Key overarching factors
• CASE – The Council for the Advancement
and Support of Education
• CASE Europe and CASE Asia
• Edinburgh 1990 – 50 delegates
• Fundraising offices
• Training professional fundraisers
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The Thomas Report on
increasing voluntary giving to
Higher Education - 2004
Matched Funding
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Donor growth
Universities received £511m in philanthropic cash
income in 2008/09, up from £430m the previous
year
Matched Funding
Year 1
Donors
180,000
160,000
140,000
120,000
100,000
80,000
60,000
40,000
20,000
0
Donors
2004-5
2005-06
2006-07
2007-08
2008-09
95,286
109,672
132,292
145,476
163,547
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Thames Valley University
Donor v New Funds
Donors v New Funds
900
Matched Funding
Year 1
800
691
Thousands £
700
600
Cash Funds
500
429
New Funds
400
Donors
300
200
28
100
7
0
2006/7
2007/8
2008/9
2009/10
Source: Thames Valley
University
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Massive changes
•
•
•
•
•
Professionalisation
The number of offices
Growth in size of offices
Budgets
Changing political
landscape
• A change in what people
think and say both
internally and externally
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CASE-Ross Survey of UK
University Philanthropy
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Development
• A total of 163,547 people gave to
universities in 2008/09, a 12% increase on
2007/08 and a rise of 24% on 2006/07
• Universities also saw a rise in the numbers
of major cash gifts worth £500,000 + - 165
in total up from 119 two years ago.
• This includes 22 institutions that received
a cash donation of £1m or more, and four
that received gifts of over £4m each.
• .
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Gifts to education
• Oxford, Cambridge, Edinburgh, LSE,
Bristol
• Chalmers, Karolinska Institutet
• INSEAD, ESSEC, ESCP-EAP
• Ecole Polytechnique, Toulouse
• Lille, Louvain
• Bocconi, Milano, Bologna
• Groningen, Erasmus, Amsterdam
• CEU, Bremen…
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Discussion and Questions