University income
2021/22

University income 2021/22
Income£,000
Funding Body Grants 6,903
Tuition Fees & Education Grants 73,465
Research Grants & Contracts 878
Other Income (1) 10,747
Endowment & Investment Income 190
   92,183

 Pie chart showing areas of income for the University

 

 

 

University expenditure 2021/22

University expenditure 2021/22
Expenditure £'000 
Staff Costs 58,146
Other Operating Expenses (2) 30,193
Depreciation & Amortisation 4,007
Interest & Other Finance Costs 4,053
   96,399

 Pie chart showing areas of expenditure for the University

1. Other income

The main areas within the 'Other Income' section of the University Income chart above are as follows:

Other income
AreaValue
Student Accommodation £5,586,780
Conference, Catering & Hire of Rooms £1,912,052
Project Income - ad-hoc initiatives that Schools/Departments undertake for external organisations £570,112
Car Parking & Permits £285,756
NHS Placement income £236,265

2. Included in other operating expenses

Included in other operating expenses
AreaValue
Student Accommodation - external rentals and related costs £564,534
Catering Expenditure - costs of providing onsite catering facilities  £1,947,849
Electricity, Gas & Water for all University properties including Student Accommodation £2,173,677
Repairs & General Maintenance to all University property and equipment, including Student Accommodation £2,238.230
Partner Colleges - cost of courses affiliated to the University, for example Halesowen College £4,644,555
Student Bursaries £985,411

Analysis of expenditure by activity

Analysis of expenditure by activity
 AreaStaffOther Expenses Totals
Academic Department £33,708,000 £8,721,000  
Academic Services - staff within Learning Resources: Library Services, IT and The Hive £4,657,000 £7,457,000  
Administrative & Central Services - Staff from all the support services, including Registry, Timetabling, Student Support, Comms & Participation, HR, Finance etc. £14,038,000 £5,056,000  
Premises - Facilities Staff, other exp. includes utilities, maintenance £3,009,000 £5,430,000  
Research - Research staff attached to different Schools £1,672,000 £476,000  
Residences, catering and conferences - accommodation staff £1,062,000 £3,053,000  
  £58,146,000 £30,193,000 £88,339,000
Depreciation & Amortisation - method of allocating the cost of a tangible asset over its useful life     £4,007,000
Interest - cost of loans to the University for Capital Investment     £4,053,000
      £96,399,000

The University’s Finances – How Do My Fees Fit In?

All universities are now encouraged to explain as transparently as possible to students both the sources of their income and how they spend their money. This is especially important now that a very large proportion of income a University receives comes from tuition fees. The information above explains where the 桔子短视频 receives money from and analyses the University’s expenditure. The figures relate to the 2021/22 financial year (1st August 2021 – 31st July 2022).  Firstly though, we will address some of the frequently asked questions that are posed about the University’s income and expenditure.

What proportion of the University’s income derives from tuition fees?

The University’s total income in 2021/22 was £92.2m. Of this, £73.5m (80%) came in the form of tuition fees & education contracts along with £6.9m (7%) from funding body grants.

Does the University make a profit?

The University is not a private or limited company and has no shareholders, only stakeholders, which includes our students. Universities are expected to make a surplus, sufficient to allow them to invest in improving facilities, new buildings etc.  2020/21 was the first year in many, where the level of surplus (before other gains and losses) reached a deficit position. 2021/22 has seen this deficit position increase fairly substantially to £4.2m. The fluctuations between years is due to elements of non-recurrent income, differences relating to the movement of pension liabilities, and more recently the on-going impacts of the pandemic, and the recent rise in inflation. Due to the financial challenges ahead a the deficit position is also budgeted for in 2022/23. 

Accounts 2021/22

Income: £92.2m
Expenditure: £96.4m 
Deficit: £(4.2)m

So, from where else does the University receive its income?

The University still receives around £7m in the form of funding body grants – to support expenditure on widening access and participation and additional funding for high cost subjects. Other important sources of income include research grants and contracts and a large sum which the accounts describe as “Other Income” – in 2021/22 this amounted to £10.7m.  Over 50% of this comes from student accommodation, but some of this is offset by operating expenses (see below); any surplus from the leasing of student accommodation is used to fund the on-going programme of improvement and maintenance of halls of residence.

So, what does the University spend its money on?

Investing in academic staff and various academic institutes is vitally important but it accounts for only part of the University’s investment. The University is very much a community, employing around 1700 individual staff and approx 700 student employees and teaching more than 10,000 students. Like any community, the University needs support services – library, laboratories, specialist teaching facilities, computers and IT services, buildings, utilities, and of course a network of people to keep the University going.  Every effort is made to ensure that the University achieves Value for Money in how it uses its income from tuition fees and other sources.

Value for money

Every effort is made to ensure that the University achieves Value for Money in how it uses its income from tuition fees and other sources.

An efficient and financially well-managed institution

The 桔子短视频 is recognised by the Office for Students as an efficient and financially well managed institution. The University spent £96.4m on running the University with a breakdown below. Please note the University paid £4.1m in interest in 2021/22 on loans which have been taken out in the last 15 years to fund a large proportion of the costs of the City Campus, the Arena, the Riverside Campus, new Halls of Residence, new Science Laboratories, The Hive etc., all of which have contributed to the overall quality of the student experience. 

What does the University spend its money on?
Area £'m 
Staff costs  58.1
Payments to Partner Colleges 4.6
Student Bursaries 1.0 
Residences & General Maintenance 5.0
Books, Consumables & Laboratory expenditure 1.5
Heat, Light and Power 2.2
Depreciation 4.0
Interest  4.1
Other running costs 15.9

So, the University has been investing in improving the campus and therefore the student experience then?

Very much so. The University has invested over £31m in campus improvements and new site acquisitions over the last 5 years. 

Capital spend by academic year
2021/222020/212019/202018/192017/18
£12.0m £7.8m £3.7m £3.0m £5.3m

That’s great, but what about spending on teaching and research?

The University spends approx. 60% of its income on staff costs, the overwhelming majority of which is on academic staff costs and costs relating to staff in services which relate directly to student support – Library, Information and Learning Services, Student Services, and Estates Staff who ensure that the University is a clean and safe environment in which to work and study – cleaning staff, maintenance staff, security staff, etc.  In addition, £1m was spent on student bursaries and scholarships.

So, my money is being well spent?

We think so. The University aims to give value for money to its students and to provide an experience which will allow students to flourish and to reach their full potential.  We will continue to invest in the University estate and in staff and facilities.

More details

Visit our Facts and Figures page to download Annual Accounts for recent years.

If you require any further information, please contact communications@worc.ac.uk