University plans £40m cuts amid 'visa refusals'

News imageGetty Images The exterior of a large university building with a blue and orange sign outside reading 'University of Sunderland - Sir Tom Cowie Campus at St. Peter's.Getty Images
The University of Sunderland wants to make massive cuts within a year

A university is aiming to make £40m cuts to its budget within a year as it grapples with visa changes that threaten a major reduction in income from foreign students.

The University of Sunderland, which is also embroiled in a row over its cost-cutting closure of the National Glass Centre, said significant financial pressures were exacerbated by the "impact of increased visa refusals".

An email to staff, seen by the BBC, said cuts must come from "both staff and non-staff costs, and must be recurrent and permanent".

A university spokesperson said: "We are working with staff across the university to identify where we can reduce costs, without compromising student experience."

In March, the UK government announced the suspension of student visas to people from Sudan, Myanmar, Afghanistan and Cameroon.

Sunderland University later confirmed to the BBC that Myanmar is a country it actively recruits from and 69 offers previously extended to applicants had been withdrawn.

In the latest email sent to staff, chief financial officer Ben Dale said of the "financial pressures" faced by the university: "These have been exacerbated by a sudden and immediate impact of increased visa refusals... which has significantly reduced the numbers of international students we are able to recruit."

A government spokesperson said it welcomes genuine international students, but "this must not be at the expense of robust controls and checks to protect our immigration system from abuse".

"As universities are independent from government, it is up to individual institutions to manage their own finances, but we expect them to engage constructively with their workforce when making decisions that may affect them."

'False economy'

The university claimed it would take a measured and transparent approach to the cost-cutting process and that staff and students would be supported throughout, but has not suggested how either will be affected.

In his email, Dale told staff: "By September 2027, we must be operating on a budget that costs £40m less than it does currently.

"The savings we make come from a range of measures, covering both staff and non-staff costs, and must be recurrent and permanent - in other words, the costs taken out cannot reappear in future years."

Hinting at long-term reductions, he added there was a focus on "ensuring we are structured for our future scale [and] size of student population".

The latest financial announcement comes two months after the closure of the National Glass Centre, which the university said needed significant remedial work at a cost of between £14m and £45m, though this figure has consistently been disputed by campaigners fighting to retain the facility.

Unison's northern regional organiser Victoria Murray said: "It's particularly disappointing this latest announcement comes so soon after the university closed the National Glass Centre in the summer.

"Cutting jobs is a false economy that will harm the university experience for students."