University cuts threaten economy
Monday 10th May 2010
Reports that Scottish universities face losing 20 per cent of their budget will result in universities also cutting student numbers.
The Scottish Funding Council recently revealed that funding for Scotland's 20 universities will drop by 0.6 per cent in the 2010-11 academic year although the Scottish government has told universities to expect cuts of 3.2 per cent or more over the next three years from 2011-12.
Gordon Adam, managing director of Edinburgh-based recruitment firm Head Resourcing, said: "The planned cuts will mean less staff, less university places, and businesses will be starved of workers when the recession is over.
"As the economy recovers key growth sectors will be in construction, energy and the services sectors.
"We all recognise that cuts have to be made but what is vital is that as a country we continue to invest in education.
"This will ensure that Scotland has the retained skilled workforce to meet the demands of the next phase in economic growth."
Head Resourcing recently acted for Edinburgh-based entrepreneur Shaf Rasul to create a new apprentice scheme which would give four young people further education and training in the business sector.
The entrepreneur and Dragon's Den Online star also warned of the dangers of slashing education spending.
He said: "With high levels of unemployment and now fewer opportunities in higher education, we are doing little to inspire a new generation of innovative young Scots to pull us out of the recession."