How Scotland's Former Education and Finance Minister is Creating Funding Anxiety for Scottish Universities
John Swinney has been First Minister of Scotland for less than a year, and since his term began on 6th May 2024, he has been the subject of various controversies. None has been bigger, however, than the budget passed on 26th February, which was so divisive that it almost caused a snap election. Topics under fire included the NHS, children’s welfare, and social security spending; however extraordinarily little was said about the university funding crisis. In his speech on the 22nd January, Swinney said, “we have world- class universities which produce not only cutting-edge research but also a wealth of capable graduates; we have our colleges which are working with employers to upskill our population to meet the challenges ahead,” and yet the situation has reached the point where Edinburgh University is considering selling their buildings due to “flat cash funding settlements from the government.” Previously, Swinney's whirlwind terms as both education and finance minister for Scotland saw a drop in funding for Scottish universities and several votes of no confidence; his role as first minister has not seen much change. While it is clear Scottish institutions have been experiencing a crisis long before the past year, Swinney’s budget is certainly a driving factor in the recent panic surrounding higher education.
One of the first reasons for the lack of funding attributed to universities is likely the revenue Swinney is expecting from international students travelling to study in Scotland. Not only does this level of long-term visiting aid the Scottish economy, but it also provides funding through tuition fees that the government can then dedicate to other issues. In his same speech on 22nd January, Swinney said, “[International students] would benefit our colleges and our universities before their graduation, and it would benefit our economy after their graduation. Indeed, the latest available figures show international students generate £4.75 billion for the Scottish economy.” However, this means that the government gives less attention to the almost 200,000 (and increasing) Scottish university students in favour of cutting funded university places and giving them to those who will pay international students' fees. While this is beneficial for the economy, both home students and the institutions themselves are then left to feel as though they are an afterthought when the government takes their prosperity for granted.
Recently Swinney has been eager to focus most of the government's spending on other issues that will garner support from a wider section of the public. With the new budget and increased coverage of national insurance costs, the Scottish government has a higher public sector budget than before – in particular, dedicating £21bn to the NHS. In an attempt to “renew people's trust in politics,” Swinney said that, “It is imperative we increase capacity in primary care.” Labour attributes SNP’s capacity for public spending to the UK government, yet with this removal of constraints on the public sector allocation there is somehow less to be spent on universities than before. With this drama occurring on the left, it is expected that Reform UK will gain more seats in the 2026 Scottish Election.
The Budget Bill was passed in the Scottish Government with 73 votes to 29, but caused such division that MSPs almost called an election there and then. The reason support shifted so quickly is the realisation that the party balance in Scotland is so precarious that any opposition may have brought disastrous consequences for public opinion. With the Scottish labour holding more seats in Westminster than the current Scottish ruling party of SNP, they seemed reluctant to lose this advantage to the party they gained it from in the first place. Anyone opposing Swinney's budget was quickly won over by the funding settlement with Chancellor of the Exchequer Rachel Reeves; the finance spokesperson for Labour says that the Chancellor's recent budget was “the most progressive, redistribution budget in a generation.” With Labour not wanting to oppose one of their own party members and the rest of Holyrood also reluctant to disagree with such a watertight agreement there is no surprise that the opposition to the university funding cuts disappeared practically overnight.
With the decrease in spending on universities, both students and staff are becoming increasingly anxious about the impact Scotland's former education minister will have on Scottish intellect. Swinney's focus on both domestic and international opinion means that he does not apply any consideration to the demographic of the immediate future. In his speech on the 6th January, Swinney highlighted the importance of the younger generation, saying, “We are one of the richest, most blessed nations on the planet and it is a scandal that one in four children still live in poverty – children who are part of our collective future, essential to our future successes, children whose potential should be nourished not stifled.” Yet considering all these factors, the first minister is still unable to dedicate a part of this vast store of money to ensuring that the potentials of these children are nourished into adulthood. John Swinney is eager to help the younger generation thrive, yet without accessible, functioning higher education for Scottish students this seems like a pipe dream.
Image courtesy of Scottish Government via Wikimedia, © 2024. Some rights reserved.
The views and opinions expressed in this article are those of the author and do not necessarily reflect those of the wider St. Andrews Foreign Affairs Review team.
