University Rich List 2019
Jeremy Hutton October 2019
Introduction
Universities are funded by both taxpayers and students (including graduates) directly. Because of this mixed form of funding, it often seems that the university sector is spared the scrutiny usually applied to other public sector institutions.
In 2018, however, the Office for National Statistics re-classified student loans so that they could only partially be classified as loans in government financial returns. This means that the loans would partially count towards the deficit. The reasoning behind this decision was that the ONS concluded that a “significant proportion” of student loans would never be repaid and as such should count as government expenditure.1
For British taxpayers, this is a matter of great concern. Every year the government loans students over £16 billion, with just 30 per cent of full-time undergraduate loans expected to be repaid in full. By 2050 the total government liability will have grown to approximately £450 billion.2 Despite the clear benefits of a strong higher education sector, this ever-growing debt will place a burden on future generations of taxpayers.
This is not the only challenge facing the higher education sector. The Universities Superannuation Scheme, the main pensions scheme for universities, has amassed a £5.7 billion deficit.3 In response to attempts to modify the scheme to reduce this, lecturers across the UK took to the picket lines for 14 days in 2018 at a cost to students of 575,000 teaching hours.4 This may be repeated later this year.
This research presents total remuneration data from 120 universities for 2016-17, 2017-18 and 2018-19 to highlight that senior pay at many British universities is soaring. Furthermore, there are only small correlations existing between the number of highly paid staff at a university and student satisfaction and employment rates. This research should help students press for the best value from their tuition fees, as well as help taxpayers hold universities to account for the money they are spending.
The data from the different years has been presented as an average figure. Due to variable data, the years used for the average may vary. Turn to the methodology section at the end of the paper for a more detailed explanation on this.
To see the full data set, click here
1 Office for National Statistics, New treatment of student loans in the public sector finances and national accounts, 17 December 2018, https://www.ons.gov.uk/economy/governmentpublicsectorandtaxes/publicsectorfinance/articles/newtreatmentofstudentloansinthepubli csectorfinancesandnationalaccounts/2018-12-17 (accessed 23 September 2019). 2 House of Commons Library, Student loan statistics, 28 June 2019, https://researchbriefings.parliament.uk/ResearchBriefing/Summary/SN01079 (accessed 23 September 2019). 3 Universities Superannuation Scheme, Report and Accounts for the year ended 31 March 2019, page 5. 4 Times Higher Education, Pensions strike forces UK universities to reset examinations, 28 March 2018, https://www.timeshighereducation.com/news/pensions-strike-forces-uk-universities-reset-examinations (accessed 27 September 2019).
Key findings
§ Across 120 universities, there was on average 3615 staff in receipt of over £100,000 each year in total remuneration. § Of these there were 762 staff being remunerated over £150,000.
§ Russell Group universities reported much higher numbers of highly paid staff than other university groups and unaffiliated universities. On average over 2016-17, 2017-18 and 2018-19, Russell Group members remunerated 185 members of staff over £100,000, and 63 over £150,000. § The average numbers for an unaffiliated university meanwhile are 27 staff receiving over £100,000 and five staff receiving over £150,000, with MillionPlus and University Alliance institutions lower still.
§ The University of Edinburgh reported the greatest number of high earners, reporting that 335 staff received over £100,000 in total remuneration, of which 118 receive over £150,000. The university with the second highest number of staff receiving over £100,000 was the University of Manchester, with 331 receiving over £100,000. The London School of Economics had the second highest number of staff receiving over £150,000, with 117.
§ Universities with more staff paid over £100,000 fared better in student satisfaction surveys, though no such correlation exists in terms of the number of staff paid over £150,000. Conversely, there is no clear correlation between universities with more high paid staff and employment rates post-graduation.
§ There is a strong correlation showing that the greater the number of highly paid staff a university has, the higher the average earnings of a graduate. This trend is consistent at both the £100,000 and £150,000 level, it is however much weaker in the case of the highest earning university staff.
§ Oxford and Cambridge did not provide the full information requested and so have been excluded from the data. Cambridge did provide remuneration data which excluded pension contributions showing that 357 staff were paid over £100,000 in 2017-18. Oxford meanwhile paid 331 staff a base salary in excess of £100,000. Had total remuneration data been provided it is likely these institutions would have topped the university pay rankings. ffffffffffffffffffffffffffffffffffffffffffffffffffff
Data tables
Table 1: average number of highly paid staff by university group, 2016-17 to 2018-19 University group Receiving over £100,000 Receiving over £150,000 MillionPlus 10 3 University Alliance 24 5 Russell Group 185 63 Unaffiliated 27 5
Table 2: average number of highly paid staff by level of student satisfaction, 2016-17 to 2018-195 Satisfaction (%) Receiving over £100,000 Receiving over £150,000 Less than 80 37 21 80-89 42 9 More than 89 48 11
Table 3: the ten universities with the most highly paid staff on average by £100,000 and £150,000, 2016-17 to 2018-19 University Staff receiving over University Staff receiving over £100,000 £150,000 University of Edinburgh 335 University of Edinburgh 118 University of Manchester 331 London School of 117 Economics University of Cardiff 250 University of Manchester 101 University of Glasgow 246 University of Glasgow 66 Queen Mary University, 207 University of Cardiff 62 London City, University of 178 City, University of London 54 London University of Newcastle 159 Queen Mary University, 52 London University of Leeds 158 University of Dundee 50 University of Dundee 133 Institute of Cancer 23 Research University of York 127 Cranfield University 22
5 Office for students, National Student Survey results 2019, https://www.officeforstudents.org.uk/advice-and-guidance/student- information-and-data/national-student-survey-nss/get-the-nss-data/ (accessed 23 September 2019).
Table 4: average number of highly paid staff by rates of students in employment or further education rate after six months, 2016-17 to 2018-196 Employment or further education Receiving over £100,000 Receiving over £150,000 (%) Less than 90 36 10 90-95 46 12 More than 95 39 8
Chart 1: average number of highly paid staff by graduate average earnings at age 29, 2016-17 to 2018-197
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0 Less than £25,000 £25-30,000 £30-35,000 £35-40,000 £40,000+ £100,000 and £150,000 Graduate earnings at age 29
Number of employees recieving over Staff receiving over £100,000 Staff receiving over £150,000
Table 5: the top five universities with the greatest year-on-year increase in staff paid over £100,000, 2016-17 to 2018-198 University Increase in staff University Increase in staff receiving over £100,000 receiving over £150,000 University of Liverpool 55 London School of 27 Economics University of Ulster 52 University of York 19 University of Edinburgh 48 University of 7 Northumbria University of Leeds 39 City, University of 6 London University of 26 University of Newcastle 6 Surrey/University of Newcastle
6 Higher Education Statistics Agency, Employment of leavers: UK Performance Indicators 2016/17, 5 July 2018, https://www.hesa.ac.uk/news/05-07-2018/employment-of-leavers-tables (accessed 23 September 2019). 7 Department for Education, The absolute labour market returns to different degrees – appendix data tables, 27 November 2018, https://www.gov.uk/government/publications/undergraduate-degrees-labour-market-returns (accessed 23 September 2019). 8 Note that how the year-on-year increase is calculated varied dependent on what data was provided. Please refer to the methodology section for an explanation of this. [email protected] 5
Table 6: average number of staff paid over £100,000, and over £150,000, at each university - full list, 2016-17 to 2018-19 University Staff paid over £100,000 Staff paid over £150,000 Aberdeen 105 3 Abertay 5 3 Aberystwyth 25 3 Anglia Ruskin Inadequate data Inadequate data Arts University Bournemouth 3 1 Aston 33 Inadequate data Bangor 32 6 Bath 50 5 Bath Spa 4 1 Bedfordshire 9 Inadequate data Birmingham City 14 Inadequate data Bishop Grosseteste 3 1 Bolton 5 1 Bournemouth 22 Inadequate data Bradford 16 2 Brighton 21 4 Brunel 83 19 Buckinghamshire New University 3 1 Canterbury Christ Church 11 2 Cardiff 250 62 Cardiff Metropolitan 8 Inadequate data Central Lancashire 34 11 Chester 8 1 Chichester 5 1 City, University of London 178 54 Conservatoire for Dance and Drama 0 0 Courtauld Institute of Art 6 Inadequate data Coventry 44 11 Cranfield University 35 22 Cumbria 7 2 De Montfort 32 9 Derby 19 6 Dundee 133 50 Durham 118 18 East Anglia 67 5 East London 14 4 Edge Hill 13 2 Edinburgh 335 118 Edinburgh Napier 14 4 Essex 65 13 Exeter 106 Inadequate data
Name of University Staff paid over £100k Staff paid over £150k Falmouth 5 3 Glasgow 246 66 Glasgow Caledonian 23 8 Glasgow School of Art 7 1 Gloucestershire 9 3 Goldsmiths 7 1 Greenwich 13 1 Guildhall School of Music and Drama 4 1 Harper Adams 6 1 Hertfordshire 15 Inadequate data Highlands and Islands 7 2 Huddersfield 28 5 Keele 12 Inadequate data Kent 31 5 Kingston 13 1 Lancaster 78 12 Leeds 158 Inadequate data Leeds Arts University 4 2 Leeds Beckett 28 6 Leeds Trinity University 5 1 Leicester Inadequate data 6 Lincoln 13 3 Liverpool 79 Inadequate data Liverpool Hope 7 3 Liverpool John Moores 17 Inadequate data Institute of Cancer Research Inadequate data 23 London School of Economics Inadequate data 117 Loughborough 43 5 Manchester 331 101 Manchester Metropolitan 40 6 Newcastle 159 22 Newman 7 1 Northumbria 36 9 Nottingham Trent Inadequate data 2 Open University 35 8 Oxford Brookes 23 7 Plymouth Marjon 1 1 Portsmouth 24 Inadequate data Queen Margaret 3 1 Queen Mary 207 52 Ravensbourne 5 2 Reading 58 10 Robert Gordon 18 5 Rose Bruford College 3 0
Name of University Staff paid over £100k Staff paid over £150k Royal Academy of Music 4 2 Royal Agricultural University 3 1 Royal Central School of Speech and Drama 4 1 Royal Conservatoire of Scotland 1 0 Royal Northern College of Music 2 1 Royal Veterinary College 17 4 Salford 18 Inadequate data Sheffield 105 Inadequate data Sheffield Hallam 12 3 Solent University 8 South Wales 12 2 St Andrews 82 8 St George's, University of London 16 1 St Mary's, Twickenham 10 2 Stirling 18 4 Strathclyde 50 7 Suffolk 3 Inadequate data Sunderland 13 4 Surrey 123 10 Sussex 64 Inadequate data Swansea 38 9 Trinity Laban 1 1 Ulster 56 9 University College Birmingham 8 2 University of the Arts London 18 Inadequate data West London 8 2 West of England, Bristol 19 3 West of Scotland 11 Inadequate data Winchester 4 1 Wolverhampton 6 1 Wrexham Glyndŵr 4 1 Writtle University College 1 0 York 127 15 York St John 4 2
Methodology
This research was conducted through contacting 153 universities by freedom of information request, asking for information about: A) the total number of staff at each institution in receipt of total remuneration in excess of £100,000, B) the total number receiving in excess of £150,000. The data was requested for the years 2016-17, 2017-18, and 2018-19. Different to already published data, total remuneration includes base salary, any financial benefits or bonuses, and employer pension contributions. This makes clear what the true cost of a position is to the taxpayer.
Of those contacted, 115 universities provided the data requested pertaining to remuneration in excess of £100,000, and 98 provided data pertaining to remuneration in excess of £150,000.
Of those higher education institutions that did not fulfill the requests, there were a limited number of reasons why. The two most common reasons were: that provision of the data would have taken longer than the 18 hour time limit for a freedom of information request (this was cited by leading universities such as Oxford, Cambridge and SOAS); and that the information requested constituted personal data. This was in spite of the information requested not requiring individual identification.
In several instances universities were unable to provide data for each required year. Most commonly this meant no data for 2018-19 was given (in a limited number of cases predictions were given, or only part-year data was supplied. If the latter, it was excluded from this report). As such, when calculating the year-on-year increase, this was done as best possible with the data provided. If possible, the increase from 2016-17 to 2018-19 was calculated; if not the increase from 2016-17 to 2017-18 was used instead.
Beyond the remuneration data compiled through use of FOI requests, numerous data such as student satisfaction levels, employment rates and future income have been found through a range of government sources.
References
Department for Education, The absolute labour market returns to different degrees – appendix data tables, 27 November 2018.
Higher Education Statistics Agency, Employment of leavers: UK Performance Indicators 2016/17, 5 July 2018.
House of Commons Library, Student loan statistics, 28 June 2019.
Office for National Statistics, New treatment of student loans in the public sector finances and national accounts, 17 December 2018.
Office for students, National Student Survey results 2019.
Times Higher Education, Pensions strike forces UK universities to reset examinations, 28 March 2018
Universities Superannuation Scheme, Report and Accounts for the year ended 31 March 2019.