Staff conference: Developing a Sustainable University 4 th January 2008

1. Staff conference: Developing a Sustainable University 4th January 2008

2. Andrew Ironside Strategic Director (Resources) - Economic Sustainability -

3. ECONOMIC SUSTAINABILITY • Its part in securing our future • Key challenges facing the University • Future financial projections

4. SECURING OUR FUTURE Creativity & Innovation Investment Delivering our Mission Resource Management

5. RESOURCE MANAGEMENT • Move towards 3% annual surplus • 1.9% - 06/07 2.1% - 07/08 • Grow Research & Knowledge Transfer income by 10% p.a. • Average level of debt below 40% of turnover • Keep cost of borrowing below 4% • Spend on staff within 56% - 59% of cost base • 57.5% - 07/08 • Apply TRAC principles to all activities

6. INVESTMENT • Total capital plan £105m from 07/08 – 15/16 • Key Projects • Augustine House £30m • Sports Facility £ 4m • St Gregory’s £ 8m • Redevelopment NHR £20m • General building £13m • Equipment £30m

7. CREATIVITY & INNOVATION • Continued emphasis on developing staff • Applying D.R.A.M to Faculties and Departments • Maintaining ring fenced development funds • Encourage diversification – Knowledge Transfer and Research Activity

8. KEY ECONOMIC CHALLENGES • Ambitious investment plans and costs of borrowing • Increased competition across the sector • Lower rates of growth – fees cap • Higher student/customer expectations • Increasing staff costs – including pensions • Need to produce higher level surpluses

9. FUTURE FINANCIAL PROJECTIONS