Swansea University extends savings programme with more staff cuts expected

Richard Youle, local democracy reporter

Swansea University has extended its savings programme by £30 million and more staff could leave on top of the 342 who have departed in the last 18 months.

A voluntary exit scheme which was open to academics as well as professional services staff no longer applies to the former, though, and the University and College Union (UCU) said it has helped negotiate no compulsory academic redundancies as part of the ongoing cost-cutting.

The higher education sector in Wales and the UK faces financial challenges linked to changes in visa rules for international students among other things.

Home tuition fees have risen in Wales but they followed years of no increases.

Earlier this week, Cardiff University said it proposed cutting 400 jobs and closing some courses.

Savings target

Swansea University’s newly-published review for 2024 said a three-year financial sustainability programme introduced in summer 2023 has been extended by a year and its savings target increased by £30 million.

The university didn’t say what the initial savings target was when asked by the Local Democracy Reporting Service.

A university spokeswoman said the financial sustainability programme had a range of savings and income-generating targets “to help us navigate an extremely challenging financial context”.

The university said this week that 342 staff had left since the voluntary exit scheme was introduced in September 2023. It remains open for professional services staff whose work hasn’t been reviewed yet. Savings are also being made by not filling vacant posts.

Financial challenges

Asked if the university had a certain number of jobs it was looking to cut and whether some could be compulsory redundancies, the spokeswoman said: “There are ongoing financial challenges facing our university and the wider sector and we continue to look for both pay and non-pay savings.

“To date, we have managed to avoid compulsory redundancies and whilst we cannot rule them out entirely, they will remain a measure of last resort.”

The UCU said there wouldn’t be compulsory redundancies for academic staff as part of the current financial sustainability programme.

A union spokeswoman said: “Campus trade unions have worked closely with the university to avoid compulsory redundancies and this announcement shows the impact and importance of good industrial relations.

“The UCU remains concerned about the loss of roles in professional services and opposed to any compulsory redundancies.”

The university said in relation to academic pay savings, while it has avoided compulsory redundancies, the situation remained challenging.

The savings programme also includes an assessment of the university’s building estate.

Capital projects

Some big capital projects have been delayed such as the redevelopment of Fulton House, Singleton Campus.

Others have gone ahead such as the £1.7 million upgrade of its nightclub, Cove, and a £2.2 million Swansea Bay Sports Park investment.

While savings have to be made, the university has no plans to remove individual programmes but is reviewing the curriculum, including looking at the number of modules and also assessment and feedback.

The 2024 review showed a £15 million deficit for the university, excluding pension adjustments, compared to a £33 million surplus the previous year.

University income was £382 million compared to £413 million in 2023, despite an increase in overseas tuition fees. The biggest falls were in funding grants and research income.

There were 21,862 undergraduates and postgraduates in 2024, compared to 24,600 the previous year.

University expenditure was just under £398 million compared to £380 million in 2023, mainly driven by higher workforce costs.

The number of full-time equivalent university staff in 2024 stood at 3,661 – a drop of 53 – while the average annual staff salary rose by £3,000 to £45,000.

The basic salary of the Vice-Chancellor, Professor Paul Boyle, increased from £323,000 to £335,000.

In his introduction to the 2024 review, Prof Boyle praised the resilience and dedication of staff in the face of significant pressures.

Results from a yearly student survey showed improvements, he said, the university was ranked the highest it’s ever been for research impact, and it had been named The Times and The Sunday Times university of the year 2025.

New offices

He added new offices would be opened in Malaysia and the United Arab Emirates.

Asked what three things it would change to boost income if it could, the university said undergraduate tuition fees didn’t cover the full costs of teaching, particularly given higher employer national insurance contributions coming into effect in April.

It also said “effective international student visa policies” were crucial to attract and retain these students.

Since January last year most international students cannot bring dependants with them.

The university added that research was not fully-funded and relied on top-ups via international student revenue.

The UK Government said it was acting to establish certainty and sustainability for higher education and refocusing the role for the Office for Students, concentrating on key areas including monitoring financial sustainability.

The Welsh Government said it was contributing to the UK Government’s plans.

“In addition to grant funding, we have increased the tuition fee limit, providing up to £21.9 million in additional income to universities next year,” said a Welsh Government spokeswoman.