‘We must invest in our education’

Universities were hardly out of the headlines over the summer. And the looming review of tuition fees promises to keep the temperature high through the autumn and winter too.

The economic climate and pressures on the public purse have collided with a period of relentless change in the higher education sector. This leaves university leaders having to answer tough questions about standards and value for money.

But there is no doubt in my mind that universities have a positive story to tell. A Universities UK report next month will show that universities generated £59billion of output last year, an increase of more than a third over four years.

Students are understandably concerned about the value of a degree in a tough jobs market. Yet it is still absolutely clear that having a degree both boosts a young person's chances of getting a job and increases their earning power.

Funds available to UK universities have increased substantially over the last decade. But our international competitors are not standing still - they are investing heavily in higher education to gain an advantage over UK Plc.

UK universities are world leaders. We have to keep investing to ensure that the experience our students gain remains among the best in the world. More and better teachers, access to technology, new books and equipment all cost money.

If we want universities to continue to be the engine for growth in the new, global, knowledge economy, we must have the courage to make the investment that is needed.

Professor Steve Smith is president of Universities UK and vice-chancellor of Exeter University.