1. Higher Education and the Economy: a challenge for the University Professor Sir Robert Burgess Vice-Chancellor Presentation to Staff Tuesday 13 July 2010 www.le.ac.uk

2. The University of Leicester 23,000 Students 3,800 Staff £250m Turnover

3. Awards Meetings Industry Marketing Awards THE University of the Year Outstanding Student Support RIBA East Midlands Outstanding Departmental Administration – Museum Studies

4. League Tables 12 th - The Guardian 15 th - The Times Good University Guide Top 3% in the World

5. Some Key Questions How do we maintain a world class University? How do we meet the Government challenge?

6. National Trends: local implications VAT rise to 20%: for UoL - £800,000 per year National Insurance – rise in exempted amount : for UoL - save £400,000 per year Pay Freeze for Public Sector: for UoL - is it the Public Sector? Public Investment in Capital: for UoL - contribution from HEFCE Public Expenditure Cut of perhaps 25% over 4 years from 2011/12: for UoL - impact on budgets of many £m, perhaps up to £15m

7. Financial Forecasts: our purpose Successful thus Far Build on Success National Issues –Government Cuts –Comprehensive Spending Review –Browne Review on Fees University Autonomy ? = some protection

8. Priorities –Forthcoming REF –Increased Student Numbers –Essential IT Infrastructure –Continued Capital Investment Mid-Year Review Enhanced Voluntary Severance/ Retirement Scheme Betterment £2m 2011/12, £3.5m £2013/14, possibly £8m by 2014/15

9. Key Assumptions –25% cut in HEFCE and TDA Grants 2011/12 - 2014/15 –Low Pay Awards –Surplus of 2% to provide some Cash for Capital Investment –Pensions Cost Increase

10. Admissions Target 3506 (HEU: UG + PGT + PGR inc DL) Work to Programme Targets Control Numbers Admissions Tutors/HoDs – a team effort to avoid fines

11. Achievements in Research Annual Research Income up by over 10% for the Second Consecutive Year 10 th on Research Impact in England Leader of a National Institute for Health Research Biomedical Research Centre £5.5m

12. Achievements in Teaching High Student Satisfaction A track record for widening participation and high completion rates 93% of students complete Undergraduate Applications Increased by 16% Developing Employer Engagement

13. Challenge and Change: a way forward Challenges from the Recession: Government Cuts. Developing and consolidating teaching, research, league table and recruitment position. Using higher scores to shift perceptions and unlock new growth and success.

14. REF outcomes and Methodological Reform. Employer Engagement. Removal of the Tuition Fee Cap. Complex and Dynamic International Markets. The University restates its commitment in seeking to avoid compulsory redundancies, if at all possible. Continues to offer a voluntary severance/retirement scheme.