Dundee University to receive further £40m support

Published 9 hours ago• 3 minute read

last week into its financial situation.

The university's new interim principal described the additional funding as "invaluable".

Education Secretary Jenny Gilruth said the new funding was a response to a "unique and unprecedented situation"

PA Media Jenny Gilruth, who has shoulder-length blonde hair and is wearing a grey jacket and a green shirt sits in the Scottish Parliament, holding a piece of paper — Education Secretary Jenny Gilruth said the new funding was a response to a "unique and unprecedented situation"

The award is unprecedented as it will be allocated by the Scottish Funding Council (SFC) on the order of ministers.

The Scottish government has the power under the Further and Higher Education (Scotland) Act 2005 to direct the SFC to target a direct settlement to the university and to place specific conditions on the funding.

This is the first time these powers have been used.

Gilruth said: "Scotland's universities are independent and autonomous institutions.

"In normal circumstances, decisions on the allocation of funding to individual institutions are the responsibility of the SFC.

"However, this is a unique and unprecedented set of circumstances, which requires a unique and unprecedented response."

She added that the funding would only be released once a "sustainable long-term recovery plan" was in place from the university and was subject to further due diligence "prior to any expenditure spending".

Interim principal Prof Shane O'Neill stood down last week following a damning independent report into the university's finances

University of Dundee Prof Shane O'Neill is smiling in a university website picture. He has grey hair and beard and is wearing dark glasses, a dark jacket and grey shirt and tie — Interim principal Prof Shane O'Neill stood down last week following a damning independent report into the university's finances

The university received £22m from the SFC in February as part of funding to support universities facing financial challenges.

Dundee University is shedding 300 roles through a voluntary programme - after initially forecasting that about 700 jobs would go.

Last week's report, which was led by Prof Pamela Gillies, said university bosses and its governing body failed multiple times to identify the worsening crisis and continued to overspend instead of taking action.

Interim principal Prof Shane O'Neill resigned immediately following the publication of the report.

Prof O'Neill took over as interim principal in December but he was previously deputy vice chancellor.

He was identified in the report - along with former principal Prof Iain Gillespie, the chief operating officer, and the director of finance - as one of the university leaders who "did not cultivate a culture of openness and challenge at all levels".

Both men are expected to give evidence to Holyrood's education committee on Thursday.

Prof Iain Gillespie resigned as Dundee University principal in December last year

University of Dundee Prof Iain Gillespie in a blue suit and brown tie and wearing glasses, leans on a wall outside a university building — Prof Iain Gillespie resigned as Dundee University principal in December last year

Prof Nigel Seaton, who was announced as the university's interim principal on Friday, said the institution was "extremely grateful" to the Scottish government and SFC.

He said: "This is invaluable in helping us reach a more sustainable position and will provide welcome reassurance to staff, students and our wider stakeholders.

"We will continue to engage with the funding council on a full recovery plan, and in pushing forward with our ongoing work to strengthen our management and governance."

The professor added that the university did "not take lightly" the responsibilities which came with "this level of additional public support".

He said: "We have to be better as an institution than we have been and I, and my colleagues, are absolutely determined that we will be."

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