Questions raised over university expansion funding

A senior Stormont official has raised questions about funding for the continued expansion of the Ulster University (UU) campus in Londonderry.

It currently has 6,500 students with a target to reach 10,000 by 2032.

Ian Snowden, the senior official at the Department for the Economy, said to grow Derry and another UU campus at Coleraine would take an extra £40m a year.

He said that money could only come from the Executive deciding to allocate the money from elsewhere or by increasing student fees.

He said that up until now increasing fees had "not been politically acceptable".

"Those are decisions the Executive will have to take collectively as part of its budget deliberations, in line with all the other pressures," he said.

Snowden said the expansion plans would also depend on what UU believed it could sustainably deliver within its budget.

He said he suspected there would be "a serious conversation quite soon" about what it means "for the trajectory of the numbers".

"They have not indicated to me they would be talking about retrenchment or reduction from the numbers there currently.

"But the funding of the expansion is something that has to be very seriously considered for affordability reasons."

He made the comments as he told MLAs that his budget for next year was under pressure and could mean cuts to university funding.

He said those pressures amounted to £134m or 15% of his budget.

Pressures are a way to describe things a department needs to do or would like to do but does not currently have the budget for.

It does not automatically mean an overspend as spending can be cut or delayed.

The Finance Minister John O'Dowd said it was proof that Stormont needs more funding.

"When I published my draft budget, I was quite clear that I did not have the money I wanted to give to all departments to deliver their frontline services and to continue the expansion of services," he said.

"I believe we can present a case to the Treasury and say 'look at the challenges we're facing, we need to be properly funded', Magee being a case in example."

Foyle SDLP MLA Sinead McLaughlin, said it was "deeply concerning" to learn about the budget pressures and the situation at Magee was "more serious than many people had understood".

"If this project stalls because the necessary funding is not secured, the consequences will be felt for decades," McLaughlin said.

"The Executive must show the ambition needed to deliver Magee at scale and deliver it in full – we have already waited too long."

Mclaughlin said it was difficult to see how the Magee expansion could proceed unless the Executive "steps up with the funding required".