Memorandum submitted by Cardiff University
ABOUT CARDIFF
UNIVERSITY
Cardiff University is a major international
university. With its research-led mission, membership of the Russell
Group, breadth and depth in learning and teaching, and capacity
for wealth creation, it occupies a unique place within the diverse
provision of higher education in Wales.
Its vision is to be a world-leading university
and its mission is to pursue research, learning and teaching of
international distinction and impact. All of the University's
activities are directed to achieving the highest international
standards in research, learning and teaching, pursued in a rich
and varied research-led environment where all staff and students
can achieve their full potential to the benefit of the wider community
and society as a whole. The University aims to demonstrate the
tangible benefits that an internationally recognised, research-intensive
university brings to Wales and beyond and to make a significant
and sustainable contribution to health, economy, education and
culture for the needs and good of societies throughout the world.
THE GLOBAL
NATURE OF
HIGHER EDUCATION
In terms of higher education it is impossible
to think in a Wales only context. Higher education is a global
business. Staff and students are increasingly mobile and discerning
and will follow quality and excellence wherever it is to be found.
In addition to the 2,500 (approximately) international
students from over 80 countries outside the EU, Cardiff University
also recruits a significant number of students from across the
border in England. (Conversely a significant number of Welsh students
travel to English HEIs). These students bring financial benefits
to the Welsh economy and friendships and networks can bear fruit
in future years for the local economy in business partnerships
and alumni suggesting or locating businesses in Wales or choosing
to trade with Welsh partners.
However, the global nature of higher education
means that Cardiff University is in direct competition with other
higher education institutions from across the UK and beyond, in
terms of the recruitment of high quality staff and students. Thus
for Welsh higher education institutions (HEIs) to be successful
players in this global market they must be aware of and responsive
to the challenges it presents and guard against becoming an insular
sector looking only at challenges within Wales.
Cardiff University has extensive research links
with high quality institutions across the globe, including with
other Russell Group institutions in England, building expertise
and knowledge in collaborative initiatives and allowing students
and staff access to exchange programmes. There is a great deal
of potential for highly productive collaborations between Cardiff
and English HEIs but there are challenges in securing funding
for such initiatives from the respective Funding Councils. There
are often common interests and objectives across the UK and, as
such, it would be helpful if the various administrations could
consult and consider a common way forward. For example, the Research
Assessment Exercise is a good example of where the UK HE sector
needs to present itself as one and has so far done so.
The University also provides a range of continuing
education and professional development opportunities, and in particular,
plays a leading role in the provision of continuing professional
development for health and social care professionals to meet the
medical, social and economic needs of Wales, the UK and beyond.
In terms of the healthcare professions, provision crosses the
border in many instances, and there is potential for difficulty
here in terms of funding regimes.
FUNDING ISSUES
The global nature of higher education highlights
some funding issues which could impact negatively on cross-border
provision and collaboration. The UK government invests only 0.8%
of GDP on HE compared to the OECD and EU average of 1.1%. Some
EU countries have prioritised investment in HE to advance the
development of their knowledge economies in the face of globalisation
and Wales and the UK should aspire to the same goal. The European
Commission has highlighted the role of HE in meeting the Lisbon
targets for growth and jobs and has proposed a specific target
of total private and public investment in HE of 2% of GDP.
The Welsh Assembly Government provides funding
via the Higher Education Funding Council for Wales (HEFCW) for
core funding to cover learning, teaching and research. However,
levels of overall public investment in HE in Wales currently lags
well behind England and Scotland, not to mention key international
competitors. The last analysis by HEFCW estimated a £41 million
funding gap, based on 2004-05 data, between the HE sectors of
Wales and England. We understand that HEFCW has updated this estimate
for the Assembly, but we have not had sight of this report.
HEIs in Wales are committed to helping Wales
succeed in meeting the challenges of globalisation but, without
a level playing field with England and Scotland, Welsh HEIs will
lag behind their counterparts in the rest of the UK in contributing
to the opportunities presented by globalisation.
The Assembly sets out ambitious goals and targets
for the HE sector and it is questionable whether these can be
met within current resources. In order to secure the sustainable
growth and development essential to support Wales' needs, appropriate
and sufficient resources must be made available to secure a vibrant
and competitive HE sector able to compete with the very best in
the UK and beyond.
The sector in Wales is working with Higher Education
Wales (HEW) to make a case for levels of funding that are commensurate
with the public value that can be added by the sector. However,
any efforts by the Committee to draw key decision makers' attention
to this increasing deficiency in core university funding in Wales
would be most welcome.
FEE REGIMES
The divergence of the fee regimes across the
UK also has the potential to adversely affect cross-border provision
of higher education. Whilst variable fees are in operation in
both Wales and England, Welsh-domiciled students studying in Wales
are entitled to an annual grant which considerably reduces the
amount payable by the student. English-domiciled students are
not entitled to such grants whether studying in England or Wales
(even though other EU students are). It is likely that this will
encourage more Welsh-domiciled students to study in Wales and
also possible that there could be a negative impact on the number
of English students applying to Welsh HEIs. English applicants
may find the idea of paying more than their Welsh and EU counterparts
for the same courses somewhat off-putting. In addition there have
been changes to the maintenance grant threshold in England leading
to a greater rate of eligibility for English students.
Tuition fees will be reviewed in England in
2009 with the distinct possibility of the cap being raised allowing
English HEIs to charge higher fees. The Welsh Assembly Government
has stated that it will maintain existing fee levels up to and
including 2009-10. Further divergence between the funding regimes
of the countries has the potential to impact adversely on the
cross-border flows of students as well as on the already significant
funding gap between Wales and England.
It is also worth noting that the recent reorganisation
of Westminster Departments has resulted in the creation of the
Department for Innovation, Universities and Skills. This Department
has responsibility for both the Higher Education Funding Council
for England (HEFCE) and the Research Councils. Thus its remit
covers both England, in respect of HEFCE and the UK, in respect
of the Research Councils. This is something that the Welsh sector
will need to remain aware of to ensure no detrimental virement
of funds between these two remits.
CONCLUSION
Higher education is increasingly a global business
and Cardiff University attracts students both from across the
border in England as well as from across the globe. Cardiff's
Russell Group status puts it in direct competition with English
Russell Group institutions such as the University of Bristol and
the University of Birmingham which are geographically quite close.
However, as well as competition for staff and students there are
also examples of collaboration and potential for further productive
collaborations. The continued divergence of higher education policy,
however, does present challenges. There are now differences in
funding policies, fee regimes and governmental priorities and
these all have the potential to have a negative impact on the
cross-border aspect of higher education provision.
March 2008
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