Higher Education: Finance
The question
To ask the Secretary of State for Education, what assessment she has made of the potential impact of levels of funding in the higher education sector on the performance of British universities in the QS World University Rankings 2026, published on 19 June 2025.
Answered by Janet Daby
To maintain the UK higher education (HE) sector's world-leading status, universities need a stable financial footing. This government is committed to securing our universities’ future, which is why we have acted quickly to address the sector’s financial challenges.
The Office for Students (OfS) continues to dedicate significant resources to ensure the sector's financial sustainability. The department has appointed Professor Edward Peck as OfS Chair, where he will play a key role in strengthening this commitment. 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 HE reform as part of the Post-16 Education and Skills White Paper this summer.
We also recognise that research funding is integral to universities’ financial sustainability. This government has committed to record funding of research and development (R&D). The Department for Science, Technology and Innovation’s (DSIT) R&D budget has increased in real terms by 8.5% from 2024/25 to 2025/26, and DSIT's allocation to UK Research and Innovation (UKRI) is £8.8 billion, sustaining unprecedented levels of investment to support the UK’s R&D ambitions.
This government is determined to work with the sector to transition to sustainable research funding models, including by increasing research grant cost recovery, as announced by UKRI in March.
Verbatim has judged this answer against the question that was actually asked — answered, partly answered, or evaded. Sign in to see the verdict →