Welsh lose out in Budget

WELSH universities and colleges have been hit by budget cuts, which will leave them more than Pounds 300 per student poorer than English institutions.

There was no sign of a share for Welsh further and higher education institutions of the Pounds 280 million relief over two years announced last month by Chancellor Kenneth Clarke, as the Welsh Office unveiled its settlement for universities and colleges.

Pressure on the Welsh Office block vote from health service costs, inward investment deals and the effects of the BSE crisis, meant Pounds 14 million earmarked for Wales out of Mr Clarke's package has not been invested in further and higher education.

Instead, Welsh higher education institutions face cuts amounting to Pounds 450 per student over three years, and FE colleges will lose Pounds 600 per student in the same period.

In higher education, total funding is set to drop from Pounds 307 million this year to Pounds 298 million by 1999/2000, while student numbers are expected to rise by 1.4 per cent. This means that funding per student will be cut by 9.4 per cent over three years in real terms.

Most of the cuts are in capital funding, which is projected to drop from Pounds 24 million to Pounds 8.5 million.

Further education colleges face an even steeper fall in funding per student, amounting to 19.2 per cent in real terms over three years. Student enrolments are expected to grow annually in the same period by 4.5 per cent, while recurrent and capital support drop from Pounds 17 million to just Pounds 7 million.

John Andrews, Welsh funding council chief executive, said the "disappointing" settlement was the result of a very tight financial year.

"Nevertheless, Welsh institutions having heard the Chancellor of the Exchequer announce additional capital funding for colleges and universities, and seeing significant increases in England, will find the Welsh settlement very disappointing. There will be severe pressure on staff and resources."

Keith Robbins, vice chancellor of the University of Wales, Lampeter, and chairman of the Heads of Higher Education Wales, said they would press for a reversal of the Budget decision. "The Welsh Office announcement means that the funding crisis which already faces higher education in Wales will be further intensified," he said.

Jeff Cocks, principal of Pontypridd College and chairman of the Welsh FE group Fforwm, said the drastic cuts in capital failed to take into account growth which had already taken place and added that "you cannot get quarts into pint pots".