Government delays debate as Unis face financial struggle

Universities around the country at risk for bankruptcy will not see help from the government until after the next general election, which can be no later than spring next year.

A major debate in Parliament expected this year on the current cap on student fees will now remain dormant as many universities struggle to survive.

Adrian Smith, the government's Director-General for Science and Research, sparked controversy when he told The Guardian "that debate has been kicked into touch until after the general election because neither party wants to touch it. In the meantime, universities are going bankrupt because they don't have enough money."

Smith's comments have become an embarrassment to Ministers, who have refused to state their position on fees until a review is complete.

The Department for Innovation, Universities and Skills disagrees with Smith's claim.

A spokesman at the Department told reporters that:

"Universities are not going bankrupt and the timing of the fees review is not a threat to their financial viability, a view shared by the Higher Education Funding Council that administers the Government's record investment in higher education, spending the bulk of the £11 billion a year by 2011.

"It is inevitable that people will talk about tuition fees but Ministers have always been clear that an independent review will begin this year following our debate on the future of higher education. This remains the case," said the spokesman.

Graeme Paton, Education Editor for The Daily Telegraph, reviewed the situation and reported last week that the majority of students at higher universities currently pay more than £3,000-a-year to cover tuition costs.

"So-called 'top up' fees were introduced in 2006 despite widespread opposition from MPs, students and academics," said Paton. "Critics claim students will be left with debts topping £20,000 when they leave university under the new system."

Vice-chancellors around the country have been hoping that the government would raise the cap as the economic climate worsens. Yet, speaking in London, Smith questioned whether the current system is viable in sustaining universities through the economic trouble.

"Sooner or later," the UK may have to "abandon the complete market-forces, student-demand-led model of higher education," said Smith.

"[Do we say] actually 'some things are too important just to be left to student demand [and] other things are not so important that they should be allowed to expand hugely because kids happen to want to do those subjects?

"This is quite heavy stuff... how do we design the future and the financial sustainability of the higher education system?"

For now, the battle in Westminster continues.

Adam Afriyie, the Conservative Shadow Science Minister, told The Daily Telegraph:

"It is extraordinary that such a senior civil servant should launch such a blistering attack on the Government's failure on science.

"It is a desperate act of a failing Government if ministers are deliberately exaggerating improvements to hide their failure.

"We need a robust qualifications system in our schools and a stronger presence for science in government."

David Laws, the Liberal Democrat schools spokesman, added: "This is a damning criticism of the Government's education policy.

Ministers cannot simply ignore these comments from someone working at such a senior level in their own department.

"These comments totally undermine what little faith there was in the new diplomas and there must now be an even greater concern that our education system is failing to stretch the most able children.

The fact that such a senior civil servant believes that ministers are exaggerating improvements will shatter confidence in the Government's entire education strategy."

Robert Costa

Deputy News Editor