Latest news with #Hepi
Telegraph
07-05-2025
- Business
- Telegraph
Record number of universities in deficit
A record number of universities are in deficit as pressure grows on the Government to commit to bailouts for institutions that could go bust. Telegraph analysis of the financial accounts for 143 higher education providers in 2023-24 found that 61 chalked up deficits last year – about 43 per cent of the sector. It marks the highest figure on record and a significant jump since 2022-23, when 44 UK higher education institutions were in the red, according to Telegraph analysis. Politicians and experts urged the Government to spell out its plans to ease pressure on the sector amid fears that one or more universities could buckle in the coming months without further support. Nick Hillman, the director of the Higher Education Policy Institute (Hepi), said it was '100 per cent not sustainable' for ministers to continue to rule out rescue packages for any institutions that fail, as he warned that morale within the sector had reached its lowest point in decades. The Telegraph analysed the deficit relative to income at UK higher education institutions last year after removing adjustments to expected liabilities to the pension scheme, which performed well in 2023-24. This provided a better picture of how universities' day-to-day spending related to overall income. Five institutions were found to have recorded a deficit relative to income for the sixth year in a row, including Bishop Grosseteste University, Cranfield University, the Guildhall School of Music and Drama, Scotland's Rural College (SRUC) and the University of Reading. Bishop Grosseteste University, which specialises in teacher training, recorded a 19 per cent deficit relative to income last year, with the Lincoln institution spending £3 million more than it earned. Coventry University recorded the second-highest shortfall of UK higher education institutions in 2023-24, with a 16 per cent deficit relative to income. Mr Hillman said: 'It's not massively surprising, because we all know the way the world's been going, but it is interesting to get the hard numbers because what we've been relying on is projections. 'Multiple years in a row in a deficit – that to me is the crucial point… And it's already got worse since the time period covered by [the] data, because inflation has continued to eat away at tuition fees, and the National Insurance rise has come in. '[It's] 100 per cent not sustainable [for ministers to rule out a bailout]... Every government for decades has said that if a university goes bust, we don't bail them out, but it's nonsense.' Dr Hollie Chandler, the director of policy at the Russell Group, said: 'These figures reflect the situation that universities have been warning about for some time – the financial challenges are significant, and many institutions are being forced to make very difficult decisions to safeguard their futures. 'Sustainable funding' 'Whilst universities are doing what they can to mitigate the situation, these measures alone will not be enough without government action to create a sustainable funding landscape.' Universities have blamed current financial pressures on the eroding value of tuition fees over the past few years and a sudden drop in international students. Bridget Phillipson, the Education Secretary, announced last November that the Government would raise university tuition fees in line with inflation next year for the first time since 2017, with further funding reforms to be unveiled by this summer. But she has said universities should not expect taxpayer-funded rescue packages and instead told institutions to manage their budgets. Leading university figures have warned, however, that the tuition fee rise alone does not go far enough, amid concerns that many universities are now teetering on the brink. It comes after the Scottish Funding Council (SFC) was forced to step in with a £22 million funding package for the University of Dundee in March as the Scottish institution struggles with continuing financial pressures. In a letter to Ms Phillipson sent on Tuesday, Helen Hayes, a Labour MP and chairman of the education select committee, warned that failure to address the worsening crisis across the sector would present a 'grave risk' to some universities. Ms Hayes, who represents a cross-party group of MPs, urged Ms Phillipson to unveil contingency plans 'in the event that one or more universities cease to be able to operate'. 'Serious challenges' 'The committee is clear from our evidence session that there are currently a number of very serious challenges facing the higher education sector which, if left unchecked, present a grave risk to the financial viability of some institutions and courses,' she said. Ms Hayes warned that university bankruptcies would also pose threats to 'the local economy in places where a university is an anchor institution and major employer, and ultimately to the international reputation and standing of the UK'. Vivienne Stern, the chief executive of Universities UK, told The Telegraph that 'the reality for most universities is that they have had to make serious cuts' to weather the storm. Telegraph analysis of the sector's latest financial accounts showed that universities laid off a record number of staff in 2023-24, with 10,223 redundancies across 108 of the country's largest institutions. In total, universities were forced to pay out £210 million in severance payments across the country – almost double the previous year. The University of Oxford laid off 656 staff last year, although many were part of Oxford University Press, costing the institution £5.3 million. The University of Nottingham paid out £13.8 million to 408 staff, while the University of Central Lancashire paid out £10.5 million to 264 staff – their largest round of dismissals in at least a decade. Mr Hillman warned that larger universities with healthy endowment funds would likely be shielded from the financial turmoil, while smaller, more niche institutions are expected to be the most vulnerable. He likened it to the impact of Labour's introduction of VAT on private school fees, which is unlikely to wreak havoc on schools like Eton and Winchester Colleges, while more small-scale institutions have warned it could send them over the edge. 'Universities hate it when they're compared to independent schools… but I agree the analogy between them is very, very close,' Mr Hillman said. The Hepi director also claimed there was growing discontent among university chiefs over Labour's approach to the sector, with recent policies echoing those of the previous Tory government. Rishi Sunak, the former prime minister, was roundly criticised after announcing a ban in 2023 on most foreign students being allowed to bring family members with them to the UK, which many have blamed for a dramatic drop in international student numbers. Sir Keir Starmer is now considering applying further restrictions on student visa applications from nationalities considered likely to overstay and claim asylum in the UK, The Times reported earlier this week. Mr Hillman told The Telegraph that despite hopes that a change in government 'would mean a new understanding in Whitehall towards universities, that's not how people currently feel'. 'People think that this Government seems to regard universities very similarly to the previous government. There's an even greater sense of demoralisation, because it feels like the flames are getting closer,' he said. 'Firing on all cylinders' Ms Stern told The Telegraph: 'Falling per-student funding, visa changes which have decreased international enrolments, and a longstanding failure of research grants to cover costs are creating huge pressures in all four nations of the UK. 'University leaders are gripping the problem… Our universities are something the UK can be genuinely proud of. They contribute over a quarter of a trillion pounds to the economy each year and are essential to the Government's growth ambitions and the UK's future economic success. We need them to be firing on all cylinders.' The Department for Education was approached for comment. Prof Andrew Gower, vice-chancellor of Bishop Grosseteste University, said: 'As seen across the sector, it is an increasingly challenging operating environment for universities. 'In response to these challenges, over the past three years, Bishop Grosseteste University implemented a programme of transformation to reduce operating costs whilst continuing to grow activity, maintain quality and deepen the impact of our teaching, research and knowledge exchange.' A spokesman for Coventry University said: 'Our deficit for the financial year 2023-24 was consistent with our size, our previous success in recruiting international students, and our strategic decision to reform our structures and practices. 'We didn't create the financial crisis in the higher education sector, but we saw the storm coming and our deficit is partly due to our decision to spend some of our substantial cash reserves to buy time to reshape and resize the group over two years, with three years of planned change happening in year one of that programme.' A spokesman for the University of Reading said: 'While we face many of the same financial challenges affecting many UK universities, we have in recent years made strategic decisions to draw on reserves rather than make short-term cuts, while also focusing on improving teaching. This has supported our key principle of environmental and financial sustainability.' A spokesman for SRUC said: 'Like much of the higher education sector in Scotland, SRUC has faced significant financial challenges in recent years and we are continuing to make good progress in addressing these. We have also recently made a number of strategic investments, including obtaining taught degree awarding powers and launching Scotland's first new vet school in 150 years.'
NZ Herald
27-04-2025
- Business
- NZ Herald
Workers in Northland struggle as wages lag behind living costs
Megan Hepi, who has worked in social services in Kaikohe for seven years helping whānau get jobs and access to services, said people were struggling on very low wages. 'People are working their hearts out. 'Everything has gone up - rent, food, everything - but wages haven't. 'They're living in situations that are not ideal ... unhealthy and unstable situations.' Hepi said it was whakama [embarrassing] for people to talk about having to move back with parents, with whānau, or seek alternative living arrangements. 'I've seen people who have worked all their lives forced to move into temporary accommodation.' The Northern Advocate recently revealed that landlords are exiting Northland's property market due to rising costs, while tenants are struggling to find affordable homes to rent. The median rent is now $585 a week in Northland. Hepi, now an independent contractor, said one woman on a sickness benefit pays $450 a week for a tiny flat, leaving her with $140 to scrape by. Some days, she can't afford food or to keep the lights on at night, Hepi said, and she has even resorted to asking strangers and friends for money. Hepi said many people don't have a driver's licence or cars, and getting jobs in nearby towns comes with hefty travel costs. 'It's extremely hard for some whānau here to get ahead.' Northland's population is now 194,007, 8.3% more people than 2018, according to Census 2023. About 89,520 people are in work. The top industries are construction, healthcare, retail, agriculture, forestry, fishing, education, and manufacturing. Only 11% of those working earn $70,001 to $100,000. Of the working population, 15% earn between $50,001 and $70,000, and a whopping 66% earn $50,000 or less. Why is Northland's median income so low? Infometrics principal economist and lead demographer Nick Brunsdon said the $33,100 takes into account income from everyone over the age of 15. That's a whole bunch of people in different circumstances, Brunsdon said. They include retirees on New Zealand Super, which is $20,000 each for couples and $32,000 for singles. Another category which makes up 6% of the figure, is no income at all. For example, 16-year-old high school students. 'There's quite a few people in those situations where they've got low income per person,' Brunsdon said. 'Job seekers are probably on around $20k or lower – in that situation that brings down the median.' Brunsdon said the percentage of people on unemployment benefits - including jobseekers, sole parents, and supported living - is higher in Northland: 29% compared to 20% nationally. Northland consistently has the highest proportion of its population on unemployment benefits. According to the Ministry of Social Development, 11% of Northland's working age population – that's 12,327 people - were receiving Jobseeker Support in February. Advertise with NZME. That's significantly more than the next-highest region, Gisborne, which was 9.4%. Brunsdon said another factor bringing down Northland's median income was that people who are in work earn about 12% less than the national average. While he couldn't pinpoint what types of jobs this relates to: 'We do know the nature of Northland's economy is more reliant on lower paying industries'. 'At the other end of the scale, Auckland and Wellington have a lot more higher paying industries like professional services, government, and finance.' Kaitāia Family Budgeting Services senior financial mentor Tania Sneddon said: 'The struggle is real'. Sneddon said there had been 'a huge increase' in KiwiSaver hardship applications, along with Good Shepherd loans aimed at helping people on limited incomes pay for essentials that improve their quality of life. 'There is no answer at the moment,' Sneddon said. 'The working poor are up there, the beneficiaries are there, but they have the option of asking for assistance. 'It's harder for the working poor purely because they may not be eligible for a loan or have family to help them.' Sneddon said some people were using Afterpay to buy essential items like petrol, food, and pet food. Her advice to struggling Northlanders is: 'Come and see us'. 'We're here to teach people to do this for themselves. 'We have people whose power is about to be disconnected, or their car dispossessed. 'The minute they start struggling, they should come and see us; it could be a simple conversation. We're here to help.' Jenny Ling is a senior journalist at the Northern Advocate. She has a special interest in covering human interest stories, along with finance, roading, lifestyle, and animal welfare issues.
Scoop
24-04-2025
- General
- Scoop
Fewer Tangihanga On The Marae: Families ‘Don't Feel Really Connected'
Article – RNZ More Mori are choosing to have tangihanga at home instead of marae, says the Funeral Directors Association. , Journalist More Māori are choosing to have tangihanga at home instead of marae, says the Funeral Directors Association. The increase is being driven by factors such as cost, urbanisation of Māori and cultural disconnection. Rob Moke, 46, is one person who wants his tangihanga at home, due to religious differences with his whānau and lack of time spent at his marae. 'If we went to a marae then kawa, tikanga is dictated by the haukāinga as well as all of our kōrero and our traditions passed down from on the marae. So at least this way, my wife and my daughter will have free reign to do as they please without being hurt. Not only physically but potentially spiritually and emotionally,' Moke said. Eighty-year-old Vivienne Te Rangiita-Kumeroa had her late husband's tangi at home and transformed the carport into a dining room. She said it saved so much money, she has decided to also have her tangi at home. 'It was such a huge difference, I'm talking thousands of dollars difference. You don't have to worry about the big huge cost at the marae, it costs a lot of money to feed people for two or three days,' Te Rangiita-Kumeroa said. It is a trend the Funeral Directors Association has observed across the country. Cultural advisor Larni Hepi said about three in five whānau across the Eastern Bay of Plenty have tangi at home or at a funeral home, instead of the marae. The Whakatanē funeral director said the falling number of number of kaumātua and kuia was a contributing factor, and he was worried important traditions could be lost. 'Tangihanga is one of our main acts of being Māori and when people choose not to have their tangihanga at the marae and apply the customs and the rituals associated with tangihanga, then we have a further disconnect and then it becomes a generational disconnect,' Hepi said. Hepi said cost, cultural disconnection and distance were combining to make Marae tangihanga a luxury. Haami Tohu owns Eternal Tides Funeral Services in Whangārei and said 20 years ago about 90 percent of local Māori held their tangihanga on marae, partly because kaumātua had a big say on what happened. He said among his clients about one in five Māori now held their service at their home often because they were culturally disconnected. 'You get families that hardly go back to the marae, hardly go back to the hapu, not involved with the hapu, don't feel really connected to the marae. You start to see these kind of factors like will anyone turn up, who's going to cook, who's going to dig my hole,' Tohu said. Pouroto Ngaropo said tikanga and kawa around tangihanga has developed and will continue to evolve with each generation. 'We can sit down with the family before that person dies, not turn up to the marae and then 'hey I'm here, what do I need to do' but actually the preparations, the understanding and the communication so that when the deceased passes, everyone understands what everyone is going to do to support one another,' Ngaropo said.
Scoop
24-04-2025
- General
- Scoop
Fewer Tangihanga On The Marae: Families 'Don't Feel Really Connected'
More Māori are choosing to have tangihanga at home instead of marae, says the Funeral Directors Association. The increase is being driven by factors such as cost, urbanisation of Māori and cultural disconnection. Rob Moke, 46, is one person who wants his tangihanga at home, due to religious differences with his whānau and lack of time spent at his marae. "If we went to a marae then kawa, tikanga is dictated by the haukāinga as well as all of our kōrero and our traditions passed down from on the marae. So at least this way, my wife and my daughter will have free reign to do as they please without being hurt. Not only physically but potentially spiritually and emotionally," Moke said. Eighty-year-old Vivienne Te Rangiita-Kumeroa had her late husband's tangi at home and transformed the carport into a dining room. She said it saved so much money, she has decided to also have her tangi at home. "It was such a huge difference, I'm talking thousands of dollars difference. You don't have to worry about the big huge cost at the marae, it costs a lot of money to feed people for two or three days," Te Rangiita-Kumeroa said. It is a trend the Funeral Directors Association has observed across the country. Cultural advisor Larni Hepi said about three in five whānau across the Eastern Bay of Plenty have tangi at home or at a funeral home, instead of the marae. The Whakatanē funeral director said the falling number of number of kaumātua and kuia was a contributing factor, and he was worried important traditions could be lost. "Tangihanga is one of our main acts of being Māori and when people choose not to have their tangihanga at the marae and apply the customs and the rituals associated with tangihanga, then we have a further disconnect and then it becomes a generational disconnect," Hepi said. Hepi said cost, cultural disconnection and distance were combining to make Marae tangihanga a luxury. Haami Tohu owns Eternal Tides Funeral Services in Whangārei and said 20 years ago about 90 percent of local Māori held their tangihanga on marae, partly because kaumātua had a big say on what happened. He said among his clients about one in five Māori now held their service at their home often because they were culturally disconnected. "You get families that hardly go back to the marae, hardly go back to the hapu, not involved with the hapu, don't feel really connected to the marae. You start to see these kind of factors like will anyone turn up, who's going to cook, who's going to dig my hole," Tohu said. Pouroto Ngaropo said tikanga and kawa around tangihanga has developed and will continue to evolve with each generation. "We can sit down with the family before that person dies, not turn up to the marae and then 'hey I'm here, what do I need to do' but actually the preparations, the understanding and the communication so that when the deceased passes, everyone understands what everyone is going to do to support one another," Ngaropo said.
1News
23-04-2025
- General
- 1News
Fewer tangihanga on the marae: Families 'don't feel connected'
More Māori are choosing to have tangihanga at home instead of marae, says the Funeral Directors Association. The increase is being driven by factors such as cost, urbanisation of Māori and cultural disconnection. Rob Moke, 46, is one person who wants his tangihanga at home, due to religious differences with his whānau and lack of time spent at his marae. "If we went to a marae then kawa, tikanga is dictated by the haukāinga as well as all of our kōrero and our traditions passed down from on the marae. "At least this way, my wife and my daughter will have free rein to do as they please without being hurt. Not only physically but potentially spiritually and emotionally," Moke said. Eighty-year-old Vivienne Te Rangiita-Kumeroa had her late husband's tangi at home and transformed the carport into a dining room. She said it saved so much money, she has decided to also have her tangi at home. "It was such a huge difference, I'm talking thousands of dollars difference. You don't have to worry about the big huge cost at the marae — it costs a lot of money to feed people for two or three days," Te Rangiita-Kumeroa said. The Funeral Directors Association has observed the trend across the country. Cultural advisor Larni Hepi said about three in five whānau across the Eastern Bay of Plenty have tangi at home or at a funeral home, instead of the marae. The Whakatāne funeral director said a falling number of kaumātua and kuia was a contributing factor, and he was worried important traditions could be lost. "Tangihanga is one of our main acts of being Māori and, when people choose not to have their tangihanga at the marae and apply the customs and the rituals associated with tangihanga, then we have a further disconnect and then it becomes a generational disconnect," Hepi said. Hepi said cost, cultural disconnection and distance were combining to make Marae tangihanga a luxury. Haami Tohu owned Eternal Tides Funeral Services in Whangārei and said 20 years ago about 90% of local Māori held their tangihanga on marae, partly because kaumātua had a big say on what happened. He said about one in five of his Māori clients now held their service at their home, often because due to cultural disconnection. "You get families that hardly go back to the marae; hardly go back to the hapū; not involved with the hapū; don't feel really connected to the marae. You start to see these kind of factors like, will anyone turn up, who's going to cook, who's going to dig my hole," Tohu said. Pouroto Ngaropo said tikanga and kawa around tangihanga had changed and would continue to evolve with each generation. "We can sit down with the family before that person dies, not turn up to the marae and then 'hey I'm here, what do I need to do' but actually the preparations, the understanding and the communication so that when the deceased passes, everyone understands what everyone is going to do to support one another," Ngaropo said.
