UK university earnings from industry grow dramatically

United Kingdom universities' earnings from working with industry rose to a record £2.6 billion last year.

The figures, from the Higher Education–Business and Community Interaction (HE–BCI) survey, were a 17 percent increase in business funding compared with the previous year.

Universities and colleges earned nearly £670 million from collaborative research with industry in 2006–07, a 12 percent rise on the previous year. Income from consultancy rose by 19 percent to £288 million in the same period.

The institutions increasingly played an important part in keeping the United Kingdom connected to the global economy and attracting investment and talent to the country, according to the report.

Through interacting with business and the community they helped to turn knowledge into new companies, products and services. They also delivered professional training to improve skills, provided consultancy to solve problems and undertook projects to tackle social challenges.

"Over the next ten years the UK will increasingly compete with other countries in terms of the ability of our universities to work with business to provide a global edge," said Science and Innovation Minister Ian Pearson in a statement.

"Companies large and small can improve their performance by drawing on the knowledge and skills within higher education."

Confederation of British Industries director-general Richard Lambert in a statement said a strong relationship between the sectors was critical to helping the United Kingdom maintain competitiveness.

"And both sides can benefit – businesses from new thinking and high quality graduates, universities from practical insights that enrich their teaching and research, as well as much needed funding."

The joint Higher Education Funding Council for England (HEFCE)/Department for Innovation, Universities and Skills (DIUS) report is at this web page.