Perth college consults over cash savings

Perth College UHI is undertaking consultation talks with its board, staff and trade unions over the need to achieve savings to continue the long term financial sustainability of the college.

The college’s indicative budget for 2019/20 is projecting a deficit, reflecting a similar financially uncertain position faced by other Scottish colleges, as highlighted in the June 2019 Auditor General report on Scotland’s colleges.

This report outlined the increasing cost pressures faced by colleges.

An example of this is Perth College UHI’s decision to close its three learning centres in Crieff, Kinross and Blairgowrie in June due financial difficulties.

The increase in Scottish Government revenue funding for 2019/20 covers only the additional costs of harmonising pay and conditions across the sector and increases in employers’ pension contributions to March 2020 (and excludes cost of living increases).

College principal, Dr Margaret Cook, said: “Absorbing the additional operating costs has become extremely challenging and we need to identify ways of reducing our costs going forward.

“The Auditor General report while reflecting the financial challenges facing the sector, also identified the college having the third highest student satisfaction rate in Scotland at 96.2 per cent, with 85.2 per cent of our students achieving positive destinations.

“This highlights that the experience of our students is important to us and this is due to the hard work of our staff and students.

“We are undertaking early consultations with our board, our staff and with the trade unions on the range of options that we can implement in order to achieve these savings.

“We will endeavour to achieve this with the least possible impact on our students and staff and remain committed to continuing to deliver an excellent student experience.”