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Universities: Finance

Department for Education written question – answered on 19th October 2018.

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Photo of Jared O'Mara Jared O'Mara Independent, Sheffield, Hallam

To ask the Secretary of State for Education, what plans he has to replace potential lost funding for universities as a result of the UK leaving the EU without a deal.

Photo of Sam Gyimah Sam Gyimah Minister of State (Business, Energy and Industrial Strategy) (Higher Education), Minister of State (Education)

We remain confident that we will agree a mutually advantageous deal with the EU – we do not want or expect a no deal scenario. It is, however, the duty of a responsible government to continue to prepare for a range of potential outcomes, including the unlikely event of no deal. Extensive work to prepare for this scenario has been under way for almost two years and we are taking the necessary steps to ensure the country continues to operate smoothly from the day we leave. We have now published 106 specific technical notices – including on Horizon 2020 and Erasmus+ – to help businesses, universities, citizens and consumers prepare for a no deal scenario.

In the event of a no deal scenario the government’s underwrite guarantee will cover funding for successful competitive bids to Horizon 2020 submitted before exit day. In July 2018, we extended this guarantee to cover all successful competitive bids by UK entities to Horizon 2020 calls open to third country participation submitted between exit day and the end of 2020. The guarantee will apply for the lifetime of qualifying projects, even where this extends beyond 2020.

The government will cover funding for successful Erasmus+ bids from UK organisations that are submitted while the UK is still a Member State, even if they are not approved until after we leave. The government will need to reach agreement with the EU for UK organisations to continue participating in Erasmus+ projects and is seeking to hold these discussions with the EU. The government has also extended the underwrite guarantee to cover the payment of awards under successful Erasmus+ bids submitted post-March 2019 until the end of 2020. The eligibility of UK organisations to participate in calls for bids once the UK is no longer a Member State is subject to agreement between the EU and the UK.

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