Danish higher education and university research are under-financed compared with the US, Sweden and Switzerland, the Danish Rectors' Conference says in a report about the country's 11 universities.
Although Denmark devotes much money to education, very little goes to higher education, the rectors say.
University funding rose in the 1990s, but at a pace lower than inflation and certainly far below the growth in student numbers. Funding will fall in 2002-06 following a government decision earlier this year to cut grants by up to 15 per cent.
This makes the future bleak, the report says.