Cardiff University generates £3bn for economy in Wales
AWelsh university contributes £3.2bn to the UK economy and around one in every 130 jobs in Wales is dependent on it, it has been revealed.
For every £1 Cardiff University spends, it generates £6.30, according to a report by London Economics, one of Europe’s leading specialist economics and policy consultancies.
The figure is the highest since the university began recording its economic impact in 2012-13 and has increased by 21% since then.
“The economic impact, calculated for the 2016-17 academic year, is generated by the high calibre of teaching and learning provided to home and international students every year, the consistent delivery of world-leading research and the provision of jobs across Wales and the UK economy as a whole,” the report says.
Driven by an increase in the number of full-time undergraduates beginning a degree compared to 2014-15, the contribution of the university’s teaching and learning activities rose to £1.15bn
The figure takes into account enhanced tax received from graduates entering employment, as well as the enhanced earnings associated with more highly skilled and productive employees.
The report adds that the impact of Cardiff University’s research activities was £709m, an increase of 7% on 2014-15, which reflects the university’s performance in the 2014 Research Excellence Framework in which it was ranked fifth in the UK for research quality.
With more than 5,000 overseas students starting qualifications at Cardiff University in 2016-17, the total value of educational exports was estimated to be £195m. This was driven by the tuition fee income paid by overseas students as well as their off-campus spending during their time at Cardiff.
The report also highlights the impact of the university’s own spending and that of its students both in Wales and across the UK.
It showed that in addition to the 5,875 full-time equivalent staff employed at the university – 87% of whom live in the Cardiff Capital Region – a further 4,108 jobs across the UK are supported by the university’s activities.
It was estimated that around one in every 130 jobs in Wales was dependent on Cardiff University.
The report estimates the impact of the university’s expenditure and the personal expenditures of its students to be £1.18bn, of which £1bn was accrued in Wales.
Cardiff University Vice-Chancellor Professor Colin Riordan said: “The report highlights the significant role that Cardiff University plays in stimulating economic growth both at home here in Wales and across the UK.
“Our teaching, learning and research activities provide a significant boost to the UK economy and offers a substantial return on investment.”
Dr Gavan Conlon, one of the report’s co-authors, said: “Cardiff University has long played a leading role in developing and maintaining the educational and cultural environment in Cardiff and across Wales. This report illustrates that the impact is not limited to higher education alone, but identifies the huge positive economic and social impact the university, its staff and students have on the Welsh economy.”