The Scottish Funding Council (SFC) has launched an investigation into how the University of Dundee’s financial crisis “came as a surprise” to university leadership.?
The funding body has approved a ?22 million support package for the university after Dundee’s leaders warned a Scottish parliamentary committee that the institution could become insolvent by June.?
The SFC is set to examine why Dundee’s financial position “deteriorated so seriously and apparently so suddenly”, and will probe decisions made by university leaders and governing bodies related to investments and spending.?
It will look at the “quality, credibility and accuracy” of the financial information provided to the university executive group and court, and the extent to which these bodies were aware of – or should have been aware of – the institution’s declining financial position.?
Earlier in March, interim principal of the university, Shane O’Neill, said the university had committed to an external investigation and would accept and act on the findings.?
It followed an announcement of plans to cut 632 full-time jobs?– equivalent to one in five posts at the Scottish institution, which has forecast a ?35 million deficit in 2024-25.?
The university first notified the SFC of funding challenges in November 2024 and a?key focus of the investigation will be examining why these concerns were not raised earlier.?
So far this year, the Scottish government has made ?25 million of additional money available to the sector – the majority of which will be used to bail out Dundee.?According to the SFC, the support package will consist of a mix of low-cost loans and capital grants.?
Professor Pamela Gillies, former principal at Glasgow Caledonian University, has been appointed to oversee the investigation, which is expected to be concluded within two months of the full investigative team being appointed.?
“罢丑别 University of Dundee is one of Scotland’s world-leading institutions and we are committed to working alongside its senior team as it finalises and delivers a financial recovery plan that will see it return to a position of financial health,” said Francesca Osowska, SFC chief executive.
“Alongside this work, it’s vital that the circumstances surrounding the financial challenges at the university are fully investigated, with rigour and transparency, and that lessons are learned to minimise the risk of this situation arising again.”
