University faces £50m shortfall in finances

The University of Sheffield is facing a £50m shortfall this academic year after a drop in student numbers.

It said student figures fell by 2,200 this year - a reduction of about 7% compared to 2022-23, when 30,307 attended the university.

All departments at the academic institution have been told to make savings over the next year, with no details on potential redundancies announced.

“Like many universities across the UK, we have seen a reduction in the number of international students joining us this year and this will have an impact on our financial position," it said.

The university, which employs 8,606 people, is also reviewing infrastructure projects as it looks to tackle the shortfall.

Recently released Home Office figures show the number of international students applying for visas to study in the UK had dropped.

The University of Sheffield said staff had been told about some of the cost-saving measures it was taking, alongside "seeking to protect the excellent work that takes place across the university".

“We are continuing to speak to the government about the value our research, innovation and education brings to the UK economy, and hope to work together to find solutions to the funding challenges facing higher education,” a university spokesperson said.

The announcement comes shortly after Sheffield Hallam University said it would not be giving staff a pay rise this year as it continues to grapple with its finances.

The University and College Union (UCU) said recent changes including the loss of "dozens of experienced staff" had resulted in The University of Sheffield dropping out of the top 100 in global league tables.

A UCU branch spokesperson said: “The university is facing a time of financial hardship due primarily to the collapse of international student markets that it has come to over rely on, most notably China.

“While this has been partially caused by problems affecting the whole of UK academia, the current leadership has also made decisions for which it needs to take responsibility."

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