Income of higher education institutions: £29.1 billion in 2012/13
HESA publication 'HE Finance Plus 2012/13' released today
HE Finance Plus 2012/13 shows that the total income of higher education institutions (HEIs) in 2012/13 was £29.1 billion. Funding bodies provided £7.0 billion of this income, while tuition fees and education contracts contributed £11.7 billion.
The chart below shows the proportions of total income of UK higher education institutions by source in 2012/13:
2012/13 was the first year following changes to tuition fee arrangements. The relative contribution to total income of fees and funding body grants changed as a result. The chart below shows the share of income contributed by each source for the last five years:
Details
The different sources of income in 2012/13 are further broken down in Table 1 below. Income from home and EU domicile students’ course fees was £7.4 billion – 25.3% of the total income for UK HEIs. Non-EU students’ course fees totalled £3.5 billion accounting for 12.1% of total income.
| Table 1 - Sources of income for UK HEIs 2012/13 (£ thousands) | ||||
|---|---|---|---|---|
| Source | Income | % of total income | ||
| Funding body grants | 7,031,856 | 24.1% | ||
| Recurrent (teaching) | 4,154,120 | 14.3% | ||
| Recurrent (research) | 1,944,369 | 6.7% | ||
| Recurrent - other (including special funding) | 455,109 | 1.6% | ||
| Release of deferred capital grants - buildings | 289,249 | 1.0% | ||
| Release of deferred capital grants - equipment | 112,104 | 0.4% | ||
| Grants for FE provision (not applicable to SFC) | 76,905 | 0.3% | ||
| Tuition fees and education contracts | 11,655,756 | 40.0% | ||
| Home and EU domicile students course fees | 7,362,932 | 25.3% | ||
| Non-EU domicile students course fees | 3,532,514 | 12.1% | ||
| Non-credit-bearing course fees | 450,786 | 1.5% | ||
| FE course fees | 57,062 | 0.2% | ||
| Research training support grants | 252,462 | 0.9% | ||
| Research grants and contracts | 4,768,549 | 16.4% | ||
| BIS Research Councils, The Royal Society, British Academy and The Royal Society of Edinburgh | 1,540,056 | 5.3% | ||
| UK-based charities | 976,017 | 3.3% | ||
| UK central government bodies/local authorities, health and hospital authorities | 846,295 | 2.9% | ||
| UK industry, commerce and public corporations | 292,244 | 1.0% | ||
| EU Sources | 690,285 | 2.4% | ||
| Non-EU sources | 377,315 | 1.3% | ||
| Other sources | 46,337 | 0.2% | ||
| Other income | 5,398,125 | 18.5% | ||
| Other services rendered | 1,700,694 | 5.8% | ||
| Residences and catering operations (including conferences) | 1,710,350 | 5.9% | ||
| Grants from local authorities | 11,418 | 0.0% | ||
| Income from health and hospital authorities (excluding teaching contracts for student provision) | 356,215 | 1.2% | ||
| Release of deferred capital grants | 114,901 | 0.4% | ||
| Income from intellectual property rights | 55,495 | 0.2% | ||
| Other operating income | 1,449,052 | 5.0% | ||
| Endowment and investment income | 289,583 | 1.0% | ||
| Total income* | 29,143,869 | 100.0% | ||
| Source: HESA HE Finance Plus 2012/13. An equivalent table for 2011/12 can be found here. | ||||
| * Includes income from joint ventures. | ||||
Table 2 shows the changes in income from the major sources from the previous year. Tuition fee income increased by 20.5% while income from funding body grants fell by 14.9%.
| Table 2 - Sources of income for UK HEIs 2011/12 and 2012/13 (£ thousands) | |||
| Source | 2011/12 | 2012/13 | % change |
| Funding body grants | 8,267,471 | 7,031,856 | -14.9% |
| Tuition fees and education contracts | 9,674,107 | 11,655,756 | 20.5% |
| Research grants and contracts | 4,508,835 | 4,768,549 | 5.8% |
| Other income | 5,168,616 | 5,398,125 | 4.4% |
| Endowment and investment income | 273,861 | 289,583 | 5.7% |
| Total income* | 27,892,890 | 29,143,869 | 4.5% |
| Source: HESA HE Finance Plus 2012/13. See Annex below for England, Wales, Scotland and Northern Ireland figures | |||
| * Includes income from joint ventures. | |||
Expenditure £27.9 billion
Total expenditure of UK HEIs in 2012/13 was £27.9 billion. Staff costs contributed £15.4 billion towards this total. The chart below shows the total expenditure of UK higher education institutions by type in 2012/13:
Table 3 shows the changes in expenditure for the major types from the previous year.
| Table 3 - Expenditure by type for UK HEIs 2011/12 and 2012/13 (£ thousands) | |||
|---|---|---|---|
| Type | 2011/12 | 2012/13 | % change |
| Staff costs | 14,804,992 | 15,407,795 | 4.1% |
| Other operating expenses | 9,935,272 | 10,489,655 | 5.6% |
| Depreciation | 1,542,885 | 1,618,103 | 4.9% |
| Interest and other finance costs | 381,529 | 402,378 | 5.5% |
| Total expenditure | 26,664,678 | 27,917,931 | 4.7% |
| Source: HESA HE Finance Plus 2012/13. See Annex below for England, Wales, Scotland and Northern Ireland figures | |||
HE Finance Plus 2012/13
HE Finance Plus 2012/13 includes finance data broken down to institutional level including tuition fees and education contracts, balance sheets, cash flow, capital expenditure, financial profiles and more. HE Finance Plus 2012/13 is available to purchase and instantly download.
The related HESA product, Finances of Higher Education Institutions, containing a subset of the HESA finance collection will be published in May. Results of the 2012/13 HE Business and Community Interaction Survey will be published on 20 March. A full schedule of all HESA releases for 2014 can be found here.
Notes for editors
- Press enquiries should be directed to:
- Simon Kemp
- HESA Press Officer
- 01242 211120
- [email protected]
- 95 Promenade, Cheltenham, GL50 1HZ.
- Data in the tables represent cash figures and are not adjusted for inflation.
- Where comparisons are made between the latest academic financial year (2012/13) and previous years, the previous years' figures are those reported in the re-stated financial statements.
- Values in Charts are shown rounded to the nearest £0.1 billion. The sum of these values may not match the total values given in the text. Percentages in all Tables and Charts are shown rounded to one decimal place and may not sum to 100%.
- HESA Finance data is collected from all publicly funded Higher Education Institutions (HEIs) in the UK, plus the University of Buckingham, which is a non-publicly-funded institution. The 2012/13 data covers 161 HEIs (129 in England, 10 in Wales, 18 in Scotland and 4 in Northern Ireland).
- The data in this release relates to all UK HE institutions. Figures for the individual nations of the UK are available in the Annex below: England; Wales; Scotland; Northern Ireland; Non-EU domicile students' course fees.
- Equivalent press releases for 2011/12, 2010/11 and 2009/10 can also be viewed.
- HESA cannot accept responsibility for any inferences or conclusions derived from the data by third parties.
- Definitions of the terms used in this press release can be found on-line here.
Annex - equivalent tables for England, Wales, Scotland and Northern Ireland
England
| Sources of income for HEIs in England 2011/12 and 2012/13 (£ thousands) | |||
|---|---|---|---|
| 2011/12 | 2012/13 | % change | |
| Funding body grants | 6,686,536 | 5,505,127 | -17.7% |
| Tuition fees and education contracts | 8,376,749 | 10,160,277 | 21.3% |
| Research grants and contracts | 3,647,005 | 3,872,851 | 6.2% |
| Other income | 4,333,995 | 4,568,530 | 5.4% |
| Endowment and investment income | 224,959 | 236,878 | 5.3% |
| Total income* | 23,269,244 | 24,343,663 | 4.6% |
| Source: HESA HE Finance Plus 2012/13 | |||
| * Includes income from joint ventures. | |||
| Expenditure by type for HEIs in England 2011/12 and 2012/13 (£thousands) | |||
|---|---|---|---|
| 2011/12 | 2012/13 | % change | |
| Staff costs | 12,254,098 | 12,766,492 | 4.2% |
| Other operating expenses | 8,304,404 | 8,775,857 | 5.7% |
| Depreciation | 1,289,702 | 1,362,027 | 5.6% |
| Interest and other finance costs | 342,422 | 356,720 | 4.2% |
| Total expenditure | 22,190,626 | 23,261,096 | 4.8% |
| Source: HESA HE Finance Plus 2012/13 | |||
Wales
| Sources of income for HEIs in Wales 2011/12 and 2012/13 (£ thousands) | |||
|---|---|---|---|
| 2011/12 | 2012/13 | % change | |
| Funding body grants | 395,058 | 268,500 | -32.0% |
| Tuition fees and education contracts | 432,178 | 559,823 | 29.5% |
| Research grants and contracts | 169,962 | 175,151 | 3.1% |
| Other income | 269,686 | 262,387 | -2.7% |
| Endowment and investment income | 8,455 | 8,565 | 1.3% |
| Total income* | 1,275,339 | 1,274,426 | -0.1% |
| Source: HESA HE Finance Plus 2012/13 | |||
| * Includes income from joint ventures. | |||
| Expenditure by type for HEIs in Wales 2011/12 and 2012/13 (£ thousands) | |||
|---|---|---|---|
| 2011/12 | 2012/13 | % change | |
| Staff costs | 723,834 | 733,412 | 1.3% |
| Other operating expenses | 446,622 | 449,355 | 0.6% |
| Depreciation | 60,734 | 62,839 | 3.5% |
| Interest and other finance costs | 13,071 | 11,858 | -9.3% |
| Total expenditure | 1,244,261 | 1,257,464 | 1.1% |
| Source: HESA HE Finance Plus 2012/13 | |||
Scotland
| Sources of income for HEIs in Scotland 2011/12 and 2012/13 (£ thousands) | |||
|---|---|---|---|
| 2011/12 | 2012/13 | % change | |
| Funding body grants | 985,146 | 1,067,354 | 8.3% |
| Tuition fees and education contracts | 722,198 | 786,586 | 8.9% |
| Research grants and contracts | 609,886 | 639,225 | 4.8% |
| Other income | 492,510 | 492,599 | 0.0% |
| Endowment and investment income | 32,672 | 37,119 | 13.6% |
| Total income* | 2,842,412 | 3,022,883 | 6.3% |
| Source: HESA HE Finance Plus 2012/13 | |||
| * Includes income from joint ventures. | |||
| Expenditure by type for HEIs in Scotland 2011/12 and 2012/13 (£ thousands) | |||
|---|---|---|---|
| 2011/12 | 2012/13 | % change | |
| Staff costs | 1,545,597 | 1,624,561 | 5.1% |
| Other operating expenses | 1,019,516 | 1,104,962 | 8.4% |
| Depreciation | 164,565 | 164,641 | 0.0% |
| Interest and other finance costs | 21,773 | 28,355 | 30.2% |
| Total expenditure | 2,751,451 | 2,922,519 | 6.2% |
| Source: HESA HE Finance Plus 2012/13 | |||
Northern Ireland
| Sources of income for HEIs in Northern Ireland 2011/12 and 2012/13 (£ thousands) | |||
|---|---|---|---|
| 2011/12 | 2012/13 | % change | |
| Funding body grants | 200,731 | 190,875 | -4.9% |
| Tuition fees and education contracts | 142,982 | 149,070 | 4.3% |
| Research grants and contracts | 81,982 | 81,322 | -0.8% |
| Other income | 72,425 | 74,609 | 3.0% |
| Endowment and investment income | 7,775 | 7,021 | -9.7% |
| Total income* | 505,895 | 502,897 | -0.6% |
| Source: HESA HE Finance Plus 2012/13 | |||
| * Includes income from joint ventures. | |||
| Expenditure by type for HEIs in Northern Ireland 2011/12 and 2012/13 (£ thousands) | |||
|---|---|---|---|
| 2011/12 | 2012/13 | % change | |
| Staff costs | 281,463 | 283,330 | 0.7% |
| Other operating expenses | 164,730 | 159,481 | -3.2% |
| Depreciation | 27,884 | 28,596 | 2.6% |
| Interest and other finance costs | 4,263 | 5,445 | 27.7% |
| Total expenditure | 478,340 | 476,852 | -0.3% |
| Source: HESA HE Finance Plus 2012/13 | |||
Non-EU domicile students’ course fees
| Income from non-EU domicile students course fees by location of institution 2012/13 | |||
|---|---|---|---|
| Location of institution | Non-EU domicile students course fees (£ thousands) | % of total income | |
| England | 3,006,658 | 12.4% | |
| Wales | 135,829 | 10.7% | |
| Scotland | 373,618 | 12.4% | |
| Northern Ireland | 16,409 | 3.3% | |
| United Kingdom | 3,532,514 | 12.1% | |
| Source: HESA HE Finance Plus 2012/13. An equivalent table for 2011/12 can be found here. | |||
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