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Cash flow 'concerns' for UK universities

Published: Thursday, 04 December 2008   Category: Government policies

British universities could find themselves in severe financial difficulty if students decide they are unable to afford to study for a degree because of the economic downturn, it has been reported.

According to the BBC, a large number of institutions rely upon international student fees to subsidise courses.

Speaking to the news provider, British Council chief executive Martin Davidson claimed that home students could see course availability narrow if universities see a drop in income.

He said: "A number of universities are highly dependent on foreign students for their viability. If the students do not come, those courses will not run and that will mean our students can't take part in them."

Johnny Rich, editor of student information website push.co.uk, recently claimed that students had now become "customers" of higher education rather than "consumers".

He suggested that the financial commitments involved in attending university were making applicants think very carefully about their education and employment options.

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