Universities: Finance

(asked on 17th June 2025) - View Source

Question to the Department for Education:

To ask the Secretary of State for Education, how many universities are classified by the Office for Students as being at material risk of financial failure.


Answered by
Janet Daby Portrait
Janet Daby
Parliamentary Under-Secretary (Department for Education)
This question was answered on 25th June 2025

The government has not provided emergency funding to any university since 4 July 2024.

Universities are independent from government and as such must continue to make the necessary financial decisions to ensure their long-term sustainability. If a university was at risk of failure, the department would work with the Office for Students (OfS) to ensure that students are protected, recognising the significant impact university closure would have on their future.

The OfS dedicates significant resources to ensuring the sector's financial sustainability but does not provide emergency financial support to universities. It assesses financial sustainability on a case-by-case basis and does not disclose the identity of institutions deemed to be at material risk, as this is considered highly commercially sensitive. The OfS’ most recent report on the sector’s financial condition can be found here: https://www.officeforstudents.org.uk/publications/financial-sustainability-of-higher-education-providers-in-england-2025/.

While the sector is autonomous, we are committed to creating a secure future for our world-leading universities.

The department has appointed Professor Edward Peck as OfS Chair, where he will play a key role in strengthening the commitment of the OfS to monitoring the financial health of the sector. Additionally, we made the difficult decision to uplift tuition fee limits by 3.1% (in line with inflation) from the 2025/26 academic year. The department will publish its plans for higher education reform as part of the Post-16 Education and Skills White Paper this summer.

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