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Chamber and committees

Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 5 May 2021
  6. Current session: 12 May 2021 to 20 August 2025
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Displaying 2881 contributions

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Education, Children and Young People Committee

Colleges (Financial Sustainability)

Meeting date: 18 June 2025

John Mason

That is good. That will probably make it easier for everyone.

The SRUC submission states:

“SRUC received support over two years from FY24/25 with a £5m advance of income, a deferral of £2m in FT loan repayments, additionally £8m of FT loans were repurposed to support immediate cash constraints.”

One or two points in there struck me as a little bit unusual. Financial transactions money would still have to be repaid, even though you used it for short-term purposes.

Education, Children and Young People Committee

Colleges (Financial Sustainability)

Meeting date: 18 June 2025

John Mason

That is slightly reassuring.

Ms Nairn, the accounts for the University of the Highlands and Islands look healthier, but you have told us that there is a danger of a deficit coming up. Your reserves were quite low—they were £600,000—but they went up to £4.4 million and then to £9 million, which is reasonably positive.

Education, Children and Young People Committee

Colleges (Financial Sustainability)

Meeting date: 18 June 2025

John Mason

As has been said, you have quite an unusual structure. The University of Edinburgh told us that it has different schools, which it had been allowing to do their own thing. Eventually, it realised that there was a problem and pulled everything together. You are in a slightly different position, but you say in your submission that, if one college has a surplus and another has a deficit, you do not have the powers to move that surplus. Would you like to have the power to do that?

Education, Children and Young People Committee

Colleges (Financial Sustainability)

Meeting date: 18 June 2025

John Mason

Would it be easier to manage if the model was a more centralised one, in which the colleges had fewer powers?

Education, Children and Young People Committee

Colleges (Financial Sustainability)

Meeting date: 18 June 2025

John Mason

Ms Campbell, I was looking at your accounts, which are a wee bit scary. In August 2022, you had £11 million in reserves. You also have revaluation reserves, but if we leave those out, your restated income and expenditure reserves dropped from £11 million to £4 million in July 2023 and £1.3 million in July 2024. That is a concerning picture. I know that you are new to the institution, but where is the college going in that regard?

Education, Children and Young People Committee

Colleges (Financial Sustainability)

Meeting date: 18 June 2025

John Mason

Okay. Mr Witty, is that typical of colleges? Are they all in a similar space?

Education, Children and Young People Committee

Colleges (Financial Sustainability)

Meeting date: 18 June 2025

John Mason

Perhaps this question is unfair, but does the SFC have closer engagement with colleges than it had with the universities? To be frank, we got the impression that the SFC sat back until a university told it that it had a problem. Is it more involved with colleges?

Education, Children and Young People Committee

Colleges (Financial Sustainability)

Meeting date: 18 June 2025

John Mason

The SFC gave us some figures. For example, the figures for 2025-26 separate capital maintenance funding from money for new projects. The figures are £35 million for capital maintenance and £30 million for project funding. You were talking about £1 billion but those figures are nowhere near that.

Education, Children and Young People Committee

Colleges (Financial Sustainability)

Meeting date: 18 June 2025

John Mason

Ms Campbell, I will take your college as an individual example, as we do not have everybody here. What capital challenges is your college facing?

Education, Children and Young People Committee

Colleges (Financial Sustainability)

Meeting date: 18 June 2025

John Mason

Professor Wayne Powell, you mentioned financial transaction money in your submission. Will you explain how you were using that and why it got lost, or whatever it was?