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Value of Staffs and Keele Uni's to the local economy

New analysis has revealed Staffordshire and Keele Universities support 6,170 jobs and add £280 million to the local economy.

The analysis - by Hatch Regeneris for the University and College Union (UCU) - found that between them Keele University and Staffordshire University directly employ almost 2,960 people and support another 3,210 jobs across the city through their supply chains and the expenditure of staff and students.

Stoke is one of 25 cities analysed as part of the work looking at the local economic contribution of universities. Between them, the two institutions bolstered the local economy to the tune of £280 million last year through gross value added (GVA).

GVA is the key measure of economic contribution, capturing the total value of goods and services produced locally by the universities through their supply chains and the money spent by employees and students. The figures show how the universities are among the single largest contributors to the local economy.

Recent YouGov polling for UCU highlighted how people recognised the importance of their local university on jobs and the economy. Two-thirds (66%) said they feared that there would be a negative impact on the local economy if student numbers dropped as a result of the Covid-19 crisis. While three-quarters (75%) feared a negative impact should a local university go bust. 

A third of those in work (33%) said the local university was important to their own job. While over two-fifths (42%) said they knew someone who studied or worked at a local university, or whose employment depended at least in part on the university.

UCU general secretary Jo Grady said: ‘This review shows how significant Stoke’s universities are to the local economy. Universities are vitally important to our society, but their important role in the local economy is often overlooked. This study shows that they have a huge impact in creating local jobs, supporting local businesses, and attracting people and organisations to the area.

‘The Westminster government needs to come up with a comprehensive financial support package to ensure that no university collapses and that local economies do not lose valuable jobs.’

A report from UCU in April warned of a £2.5bn loss in income for universities from a drop in student numbers, which would result in a £6bn hit for the economy. While a report from the Institute for Fiscal Studies earlier this month predicted that the pandemic would leave some universities struggling to survive.

Last month UCU launched its https://fundthefuture.org.uk/protect-education-for-all/ campaign, which calls on the government to provide emergency support for universities to cover income lost due to the pandemic.

 

Institution

Direct jobs within the uni (FTE)

All jobs (including supply chain, induced, student and visitor spend)

Jobs outside uni in the city (indirect, induced, student and visitor related jobs)

Multiplier (=ratio between direct jobs and all jobs)

Total local GVA, £m (including multipliers)

Keele University

 1,810

   3,420

   1,610

   1.89

160

Staffordshire University

 1,150

   2,750

   1,600

    2.39

120

All Stoke-on-Trent

 2,960

   6,170

   3,210

    2.09

280

 

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