The Scottish Government has announced an additional £10 million in funding to support universities facing financial difficulties. This move brings the total support for the sector to £25 million, alongside the £1.1 billion allocated for university teaching and research in the 2025-2026 budget. The funding will be distributed through the Scottish Funding Council (SFC) and is particularly aimed at institutions like the University of Dundee, which is navigating significant financial challenges.
Education Secretary Jenny Gilruth emphasised the importance of supporting these institutions, stating, “The Scottish Government is providing an additional £10 million support package to assist universities such as Dundee with navigating immediate financial challenges.” She also noted that this support is crucial given the compounded effects of UK Government policies on migration and employer National Insurance contributions.
Gilruth further expressed concern over potential job losses at the University of Dundee, urging the university’s leadership to work closely with government and unions to protect jobs. “While the university is an autonomous institution, it is our clear expectation that the university’s leadership works with us, and engages fully with staff and trade unions, to explore all options to protect jobs,” she said.
Francesca Osowska, Chief Executive of the Scottish Funding Council, welcomed the additional funding, highlighting its importance for the sector’s success. “We welcome Scottish ministers’ continued commitment to the tertiary sector and confirmation of this additional funding,” Osowska noted.
Professor Shane O’Neill, interim principal and vice-chancellor of the University of Dundee, expressed gratitude for the support, stating, “We are extremely grateful to the Scottish Government and the Scottish Funding Council as the funding is vital in ensuring our ongoing sustainability”.
Last week, the University of Dundee outlined plans to cut 632 posts go across all schools and directorates, with many compulsory redundancies to come.
Parts of the university estate, as well as intellectual property rights, are also likely to be sold off as the university seeks to downsize.