UK universities contribute to economic growth

Universities in the UK contributed £3.4 billion to the economy in 2011-12 through services to business, including commercialisation of new knowledge, delivery of professional training and consultancy.
These comprise part of a much wider economic impact [Note 1].
Analysis by HEFCE of the twelfth annual Higher Education – Business and Community Interaction (HE-BCI) survey shows that the total value of the services [Note 2] which UK universities provide to the economy and society increased by 4 per cent to £3.4 billion in 2011-12, from £3.3 billion in 2010-11.
Particularly significant is the 11 per cent increase in activity benefitting small and medium-sized enterprises (SMEs) which gain a competitive advantage from their association with universities – for example through access to specialist knowledge (via consultancy) or facilities (such as rapid prototyping or computer-aided design).
Engagement with large businesses increased by around 5 per cent overall, including a notable rise (6 per cent) in contract research income, from £343 million in 2010-11 to £365 million in 2011-12. This not only shows UK higher education institutions responding to the needs of business at home, but investment from overseas seeking to take advantage of the UK’s world-class research. Public and third-sector organisations also increased their engagement with universities (by 5 per cent overall) for research, consultancy, training and access to intellectual property. Read more...