'Welsh universities are not going bust'

Welsh Universities are not close to going bust, according to Universities Wales.

However the group that represents all Welsh universities said it "hasn't seen a financial situation like this in decades".

Concerns have been raised about other higher education providers in Wales after Cardiff University announced plans to cut 400 jobs, merge some departments and cut others entirely.

It comes as Vikki Howells, the Welsh government's minister in charge said there was no more money available for the sector.

Speaking on BBC Politics Wales, Paul Boyle, chair of Universities Wales and Vice-Chancellor of Swansea University said: "I don't believe we're in the situation where universities are close to going bust, but I have to be honest, I've never seen a financial situation like this in the decades that I've worked in the sector."

He added that Universities were facing "the toughest position that we've been in, and as a result, universities were having to take really tough decisions".

The Welsh government said it was up to universities to balance the books, but had already raised tuition fees in line with inflation and given an extra £10m to bring the funding of Medr, the body that funds and regulates universities in Wales, up to £200m.

Minister for Higher Education, Vikki Howells, said: "There wouldn't be any additional Welsh government funding available, unless we were looking to cut back from other areas such as the NHS, education, or public services that we all rely on.

Prof Boyle from Universities Wales welcomed the increase in tuition fees by the government, but said: "We, as with many other organisations, saw significant increases in National Insurance, which have effectively wiped out that increase."

Ms Howells added she was looking at reforming higher education funding with the UK government.

"We will be taking part in their work to look at how we can reform the higher education sector across the UK, so that we can look at issues such as migration, international students, competition law and crucially also HM Treasury rules, which govern student finance arrangements," she said.

She said she had had a "positive" conversation with UK government higher education minister Baroness Jacqui Smith.

Professor Boyle said that while they are pleased the UK government was keen to review the overall funding system, "this will take time" and it was "not going to solve the financial issues that we are facing at the current time".

Economist Dylan Jones Evans said "universities are critical for our health service, critical for our economy, critical for so many aspects of Welsh life, not only now, but over the last 150 years".

"They're an integral part of the soul of Wales, and it's time that the Welsh government actually brought the Vice-Chancellors together, sat down with them and said, 'let's create a strategic future for the sector', and, more importantly, the role that the sector can play in the life of the nation."

About 30 people, including current and former students, held a "busk" protest on Sunday over Cardiff University's plans to axe music courses.

Eva Morris, a 19-year-old music student, described the news as "awful".

"We have two years to go and if the music department gets closed down I can't imagine what those two years are going to be like," she said.

Loz Collyer, who graduated from the music School in 2014, said he learned from the "best teachers Wales had to offer" whilst a student.

He added: "I learned to how to compose, conduct, how to arrange a band and now I have my own band. Without Cardiff University to for me to foster all of that it would not have happened."

Conservative education spokesperson, Natasha Asghar MS said the proposed cuts at Cardiff University were an example of "educational vandalism" and said it was time for the Welsh government to act "rather than be sitting at their desks".

She said: "The Welsh Labour government has a responsibility to help and support our universities.

"We have a budget coming up, I can't see why on earth they can't shake their magic money tree, which they're quite happy to shake when it comes to bailing out Cardiff Airport, spending on 20mph and spending on other frivolous activities and actually preserve our prestigious Welsh universities."

She called on the Welsh government to "revise and rejig" their upcoming budget to save the courses under threat.

Cefin Campbell MS, Plaid Cymru's education spokesperson accused the Welsh government of being "asleep at the wheel".

He said: "They've seen this coming, but they haven't acted. They should have put plans in place. They should have had a structural and strategic discussions with vice-chancellors to plan a way forward and to have a review with the funding formula.

"We need to relook at the budget. I think in the short-term, the Welsh government should step in and support the university sector, and during that process we should have discussions with vice-chancellors to devise a better formula and strategy moving forward."

BBC Politics Wales is on BBC One Wales on Sunday 2 February at 10:00 GMT