The Corona virus is having significant impact on universities in the UK and elsewhere. The drop in student numbers wishing to attend UK universities in the short term is going to impact severely on them financially.
Research into the impact of Covid-19, conducted by London Economics for the University and College Union, shows that universities face a black hole of at least £2.5bn in fee and grant income for 2020-21 as students both in the UK and around the world defer or abandon their plans to study here.
The new analysis suggests that over 230,000 fewer students will enter higher education in 2020 as a result of the crisis, over half of which are international students. That fall in student numbers would translate into a drop in income of around £1.51bn from non-EU students, £350 million from EU students and £612 million from UK students opting to stay away.
Without a package of financial support from the government, the report’s authors estimate that over 60,000 jobs will be lost, both in universities themselves and in the local economies that surround them. Many of those jobs would be in places where the local university is amongst the biggest employers.
One wonders how many business and institutions the governments of the world can bail out and support before the governments themselves are broke. Tough times for all are coming.
Genius is one percent inspiration and ninety-nine percent perspiration.