De Montfort University is given fine after over-recruiting students

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Thursday, July 22, 2010
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This is Leicestershire

De Montfort University will have almost £3.4 million slashed from its annual funding after over-recruiting more students than any other university in the country.

The Leicester institution took on 913 more students than it was allowed to last September – significantly more than that of the second worst offender, the University of Hertfordshire, which recruited an extra 502.

The figures were released by the Higher Education Funding Council for England (HEFCE) today.

The university said "record applications" gave rise to "an exceptional set of circumstances" in 2009.

Speaking to the Leicester Mercury ahead of the fines being made public today, Dominic Shellard, the new vice-chancellor and chief executive at De Montfort University, said controls were now in place to ensure recruitment targets for 2010 and future years were not exceeded.

He said: "We fully accept the fine. Every university was informed of the consequences of breaching the cap in November 2008.

"I have completely rebuilt our relationship with the HEFCE and their chief executive, Sir Alan Langlands, will be visiting De Montfort in October.

"This year we've taken a full review of our admissions process and we hope not to exceed the cap this year.

"Because of our good financial health we're still expecting a surplus on our budget for next year.

"The fine won't affect the quality of our student experience.

"We are not having to take any drastic measures because we are losing this money."

Mr Shellard, who took on the role on June 25, added: "I am extremely proud and honoured to be the new vice-chancellor at the university.

"It's an excellent institution and is well positioned to prosper in the next few years."

The fine will be deducted from the university's funding allocation from the HEFCE for 2010-11.

The funding council is docking grants by £3,700 per additional pupil, leaving De Montfort with a shortfall of £3.378 million.

A HEFCE spokesman said: "This action is being taken to reduce the pressure on student support costs and to safeguard the position of institutions that followed the warnings given by Government and HEFCE about not recruiting above the permitted level.

"They will be implemented in equal instalments from HEFCE monthly grant payments between August 2010 and January 2011."

Despite the fine, De Montfort will still receive a grant of almost £60.4 million for 2010-11 – a slight increase of 0.3 per cent on last year due to other adjustments that have been made to funding.

The university is one of 61 higher education institutions facing fines.

A HEFCE spokesman confirmed the University of Leicester stayed within its limits when recruiting students in 2009. It will receive a grant of £64.3 million – an increase of 2.6 per cent on last year.

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11 Comments

  • Profile image for This is Leicestershire

    by Anon, Anon

    Friday, September 10 2010, 2:35PM

    “From a similarly misguided article's comments:

    "Prof Richard Head 13 May, 2010

    Yet another piece of sensationalism-seeking journalism.

    The matter of fact is that De Montfort DID NOT over-recruit. It was perfectly within the "upward trajectory" set up by ...... HEFCE.

    The real issue is that HEFCE was asked by Lord Mandelson to make cuts worth tens of millions(!) of pounds . So HEFCE went back on its own earlier targets/"trajectories" to formerly "under-recruiting" universities so us to raise money from them"”

  • Profile image for This is Leicestershire

    by Jack, Leicester

    Friday, September 10 2010, 2:31PM

    “@Nick
    It's hardly surprising that if you trek half a mile from the residential areas of Leicester to the DMU campus centre in the early hours of the morning that you're going to find 'noisy' students.

    Do you imagine Leicester Uni/Loughborough are any different?”

  • Profile image for This is Leicestershire

    by Julie, Leicester

    Thursday, July 22 2010, 10:40PM

    “Oh goody, does that mean the new swimming pool will be finished soon then? It must be nearly done, they cleared the land ready by the end of last year.”

  • Profile image for This is Leicestershire

    by John, Leicester

    Thursday, July 22 2010, 7:42PM

    “@Alan I'm sure DMU is very sorry for doing well for itself during hard times for all and after a gov cut half it's grant.

    @Nick you always post the same video, but I didn't see you confirm that anyone in your video was actually a DMU student... As for the start of your video nightclubs look like that at closing time.. in fact thats pretty tame and at least there are no residential properties outside the club.

    @Sadie, if it was a thriving business why did it not make a better offer than DMU for it's lease?”

  • Profile image for This is Leicestershire

    by Alan, Leics

    Thursday, July 22 2010, 5:30PM

    “"Because of our good financial health we're still expecting a surplus on our budget for next year."
    Nice to know somebody is doing so well in this recession.and not having to cut back in fact they are getting an increase, perhaps there is something wrong in the grant assesments.”

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