The SNP’s controversial Higher Education Bill could seriously damage the university sector to the tune of £1 billion, the Scottish Conservatives said today.
Evidence submitted to Holyrood’s finance and education committees reveals that the proposal to reclassify universities as public bodies could cost the sector a significant amount of money.
Now, the Scottish Conservatives are urging the Scottish Government to come to its senses on the matter.
In a letter to the convenors of both committees, Alastair Sim of Universities Scotland, provided a detailed breakdown of the likely financial damage to the sector and also issued the accompanying independent legal advice which confirms that reclassification would pose "a significant risk".
Speaking ahead of the first evidence session at the education committee, Liz Smith MSP said:
“In a response to my colleague Gavin Brown MSP at the finance committee, Universities Scotland made it abundantly clear just how much the bill would damage the sector. The breakdown of the financial implications for research, for universities' borrowing, capital spending and philanthropy suggest that upwards of £1 billion could be lost across the sector. This is completely unacceptable and it is why university principals are so worried about the effect on their individual institutions.
“As the same Finance Committee, Anton Muscatelli, Principal of Glasgow University put a price on what ONS reclassification would mean for Glasgow and this would be multiplied many times over across the sector.
“In contrast to the Scottish Government which has produced no supporting material about the likely financial costs, Universities Scotland have released both their calculations and the independent legal advice which shows the full extent of the risks involved.
“These are very serious warnings which no government can afford to ignore."