Further job cuts are planned at Goldsmiths, University of London after it predicted a “significant underlying deficit for 2025-26”, with the institution’s leader blaming?recent policy decisions by the Labour government.
Frances Corner, Goldsmiths’ vice-chancellor, said a decision earlier this month by education secretary Bridget Phillipson to cut the Office for Students’ strategic priorities grant – removing support for courses in media studies, journalism, publishing and information services – will cost it ?87,000.
This is on top of a national insurance bill that has gone up by ?1.3 million and before the impact of a potential new levy on international student fees is felt.
Writing to staff on 28 May to outline why the institution is opening another voluntary severance scheme following last year’s cuts, Corner says the announcement came against “a critical backdrop of government interventions impacting universities”.?
Goldsmiths is in a “regrettable” financial position, Corner says, and the “main reason” for its forecasted deficit is falling student numbers, leading to a lack of revenue to meet rising operational costs.
The university said it will be removing “as many vacancies as possible”, will open a voluntary severance scheme to all employees in June and enact a promotion freeze for the current academic year.?
It is also “exploring further opportunities for savings and efficiencies within professional services departments and academic faculties”.
Last year the university announced plans?to cut 97 roles, prompting staff to call a marking boycott and students threatening?legal action?over course and module closures. The institution eventually rowed back on its plans, with about 60 staff leaving.
Reacting to the latest news, Goldmsmiths’ University and College Union branch said it was “dismayed and frustrated” that more cost-saving measures were proposed and it would “fight against them with all the means at our disposal”.
The branch said it recognised that “clearly the funding model for HE is broken”, highlighting how it had been behind a recent motion to UCU congress calling for an industrial dispute with the education minister.
But it also accused senior leaders of “self-destructive cost-cutting measures that have damaged institutions, overworked staff and impoverished resources for students”, adding that “management must be held accountable”.
Corner writes in the email to staff that the aim is to “to secure a balanced, break-even budget for the year”. Although international recruitment is “looking positive”, she says the university is waiting to see what impact the government’s?recent immigration White Paper will have. Meanwhile, its home student numbers are “below target”.?
“As you will know, the whole university sector is facing considerable financial challenges with the issue now rarely out of the headlines…other organisations are looking at more serious challenges than us, with the action we have taken in recent years ensuring we are not as exposed as other providers,” she writes.
“However, we are not immune to these pressures and must continue to act to maintain balanced finances. This is becoming harder to do as we continue to rely heavily on students’ tuition fees for the significant majority of our income –??show some 76 per cent of our income came from this source.”
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