Pam Cox

Pam Cox

Labour — Colchester

Speaking in the House of Commons on 2 April 2025

Debate

Universities: Funding and Employment

Contribution

It is a pleasure to serve under your chairship, Mr Vickers. I thank my hon. Friend the Member for Bedford (Mohammad Yasin) for securing this important debate. I draw attention to my entry in the Register of Members’ Financial Interests. I am a member of the UCU and a former professor in higher education. As someone who dedicated over 20 years to teaching and research in higher education, I have seen at first hand the transformative power of that work. Students’ lives are changed, economies grow, communities are transformed and cities are lifted. Despite the challenging times facing the sector, I remain optimistic about the future of our universities and the vital role they play in our society, but we need to act before it is too late—which means sooner rather than later. The current financial model for universities is the most challenging it has been since the previous Labour Government enabled so many to access higher education. Members will know that in 2012 a cap on the domestic tuition fee was introduced, which increased only slightly in 2017 and again this year. It has not kept pace with inflation, and the financial strain is felt across the sector. Research funding is another area of concern. We cannot have universities without research, because the research informs the teaching. That is the nature of the beast and of the game. The UK rightly prides itself on being a global leader in innovation. Our universities are world class and attract people from around the globe. Research often runs at a loss and is subsidised by education provision, even though that research underpins our productivity and economic growth. That is the case in any sector I could name: AI, defence, health, life sciences and the creative industries. If the universities were taken away, where would we get that innovation—accessible innovation that is open to all—from? As my hon. Friend the Member for Bedford said, international student recruitment has been severely affected. The University of Essex, where I taught, has seen a 47% decline in EU student enrolments post Brexit, and recent changes to visa policies have contributed to a 40% drop in international student numbers. The subsequent reduction in income exacerbates the financial challenges faced by the sector. Despite the difficulties, universities have been proactive in seeking solutions—I was personally involved in creating those solutions over many years. At the University of Essex, we introduced efficiency measures, diversified income streams, invested in transnational education and merged departments. We have done an awful lot over the past few years—I felt myself slipping back into using “we” there, in a rather odd way. The university also collaborated with local businesses. Indeed, I ran a doctoral training consortium that spanned 10 universities across the south-east of England, and my whole job was to get money in from business to support collaborative master’s and PhD programmes. Industry and business do need to step up in this regard. They benefit from universities and those who are educated there, and they need to step up and provide assistance. The contribution of universities to economic growth is palpable. For every £1 of public money invested in universities, we get £14 back, so there is a good economic case to be made. I am encouraged that the Education Committee is to start an inquiry into higher education and funding on 8 April, and I urge the Minister to take seriously the issues raised. I encourage her to meet those of us who have worked in the sector to explore solutions that involve the unions, business and all the other stakeholders.

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