The economic impact of international students in the UK

by Stacey Dingwall

A key concern following Brexit has been the status of international students (and academics) in the UK. Going into the general election, Theresa May has declined calls from universities – and some of her most senior colleagues – to remove students from her government’s target to cut migration by “tens of thousands”.

International students in the UK

In 2014-15, 437,000 students came from overseas to study in the UK, making up 19% of all UK university registrations that year. In February, the Office for National Statistics released net migration statistics which showed that long-term immigration to the UK fell by a “statistically significant” 23% to 134,000 in the year ending September 2016 – the lowest estimate recorded in almost 15 years. The number of international students coming to study in the UK accounted for much of this decrease, at 41,000. The majority of this figure was made up by students from non-EU countries (31,000).

In January, HESA released figures on students enrolled in higher education in 2015-16 which indicated that the number of students coming to the UK from EU member states had increased by 2%. These figures were collected before Brexit, however, so it will be next year’s edition before any impact, if at all, can be identified. Figures from UCAS published at the end of March, however, indicate a 6% decrease in the number of university applications from EU students on the previous year.

The ONS migration figures also showed that students from Asian countries made up 68% of the estimated 87,000 non-EU citizens who came to study in the UK during that year. While the UK remains the second most popular destination for international students in the world, after the USA, this is a fall of 23,000 on the previous year.

An economic impact worth billions

So why are some of Mrs May’s most senior colleagues rebelling against her decision to maintain international students within her migration reduction quota? One major reason is clearly the economic benefits generated for the country by the students. In March this year, research conducted by Oxford Economics for Universities UK suggested that in 2014-15, on- and off-campus spending by international students, and their visitors, generated a knock-on impact worth £25.8 billion in gross output to the UK economy. The 2014-15 international student cohort accounted for £10.8 billion of UK export earnings that year.

Tuition fees account for £4.8 billion of the total figure. The research also found that spending by international students supported over 200,000 jobs in UK university towns and cities and that the economic activity and employment sustained by international students’ off campus spending generated £1 billion in tax revenues.

Conservative rebellion and public opinion

Conservative MP Anna Soubry has pointed out that the economic contribution of international students continues even after they have completed their studies, in the form of “goodwill towards our country”, which “ often results in business deals as well as improved international relations and understanding”. It would appear that the public shares her sentiments: a poll conducted by Comres following the publication of Universities UK’s research found that 74% of those asked would like to see the number of international students in the UK either maintained or increased, after being told of the economic benefits they generate.

Despite this, the Prime Minister’s only concession so far has been to allow the newly created Office for Students to publish separate figures on overseas students, although they will still be recorded as part of the overall migration figures.  It has been suggested that a potential Conservative backbench rebellion over the government’s decision to remove the House of Lords’ amendment to the Higher Education and Research Bill on the issue was only defused by the decision to call a snap election – although MPs from both the Conservative and opposition parties have vowed to continue to fight the government’s stance. The Independent has launched a campaign – Drop the Target – supported by Soubry, which is demanding answers from the government on why they are continuing with the policy, which they argue is economically and socially damaging to the country.


If you enjoyed this blog, you may also be interested in our other articles on higher education

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Introducing the Idox Information Service … supporting evidence use for over 40 years

Exterior of the Idox Information Service office in Glasgow

Exterior of the Idox Information Service office in Glasgow

As a team who work every day to supply evidence and good practice to our clients in the public sector and consultancies, it would be easy to feel a bit down about the ease with which the idea of a post-truth world has taken grip.

In fact however, it’s heartening that so many organisations continue to recognise the value that our service brings. Not only does it offer a continuing professional development resource for staff, it also acts as a channel for knowledge sharing between organisations – helping them when they have to review services, look for efficiencies, or transform what they do in light of changing government policy or priorities.

We know that much of what we do can remain hidden, even to our own members. So let’s go under the bonnet of our unique service …

Who we are

The Idox Information Service is a membership library service, which was established over forty years ago – originally under the name of the Planning Exchange. At the outset, the emphasis was on the provision of resources to support professionals working in planning and the built environment in Scotland, but over the years we’ve expanded our subject coverage to cover the whole spectrum of public sector information, and across the UK.

Our members include policy makers and practitioners from organisations including local authorities, central government, universities, think tanks, consultancies and charities. They work in challenging environments and often need evidence to inform service delivery or decision-making.

Our work

Our team is made up of a mix of researchers, public policy specialists and qualified librarians, along with support staff. They have professional memberships, including chartered membership of CILIP and the Social Research Association. This picture shows the typical range of activities in a year:

2014 statsPublic policy is an ever-evolving subject and so current awareness services are a big part of what we do. Members can set up their own subject alerts on anything that interests them, and we also have a set of weekly and fortnightly updates on common topics. Last year we added three new current awareness updates on Devolution, Smart Cities and of course, Brexit!

UK grey literature is a particular strength of our collection. We spend a lot of time sourcing documents such as technical reports from government agencies, and research reports produced by think tanks, university departments, charities and consultancies which are often overlooked by other databases. Recent research has highlighted the value of grey literature for public policy and practice.

We also write our own research briefings for members on different topics, with more detailed analysis of research and policy developments, and including case studies and good practice. Some of these briefings are publicly available on our publications page.

The interest from members in using our Ask a Researcher service has been increasing, due to the time pressures and other challenges that people face in sourcing and reviewing information. An example looking at the links between employee wellbeing and productivity is on our website. Members regularly comment on the usefulness of the results, and it’s satisfying to be able to make a direct contribution to their work in this way.

Keeping it personal

While our online database allows our members to search for and access resources themselves, there is a strong personal element to our work.

Our members know that we’re always available at the end of the phone or via email to provide them with dedicated support when they need it. It’s important to us that we provide a quality service which keeps pace with the changing needs and expectations of a varied membership base.

Hopefully, this article has provided some insight into the way that the Knowledge Exchange supports staff and organisations across a variety of fields. More information about the service can be found here.


In 2015, the Idox Information Service was recognised as a key organisation supporting evidence use in government and the public sector. It was named by NESTA / Alliance for Useful Evidence / Social Innovation Partnership in their mapping of the UK evidence ecosystem.

We also contribute data to the Social Policy and Practice database, which focuses on health and social care evidence, and is a resource recommended by the National Institute for Clinical Excellence.

Follow us on Twitter to see what developments in public and social policy are interesting our research team.

What’s going on in our universities … and what does the crisis around campus sexual harassment say about our society?

by Stacey Dingwall

One of the most worrying elements of Donald Trump’s election campaign was his apparent attitude towards women. Critics have highlighed a wide range of sexist comments made by the now President-elect over the years – comments he now claims to regret and has apologised for.

The continuing problems of ‘isms’

Sexism is just one of the ‘isms’ that we seem unable to get rid of, despite efforts to create a more tolerant and diverse society. We’ve highlighted this several times on the blog this year; from the persistent gender pay gap to an increase in hate crime. Yet it seems we are still frustratingly far from living in an equal society.

Trump’s critics have suggested that it is in fact insecurity that has driven him to make some of his remarks. Although it is true that large numbers of (white) women voted for him, it has also been argued that part of his success is down to “angry white men” who feel threatened by the progress made by women, ethnic and other minorities towards the creation of a more equal society.

Sexual violence on campus

The all too frequent accounts of sexual harassment on university campuses around the world represent a particularly ugly aspect of enduring inequality within our society. While the media may focus on incidents occurring within the fraternity system in American campuses, the problem is just as bad in Britain. In September, a poll conducted by the charity DrinkAware indicated that 54% of the female students they surveyed had experienced some form of physical or verbal sexual abuse.  15% of male students reported similar experiences.

It’s not only male students who are subjecting their peers to this abuse, or female students who are on the receiving end. Last month, more than 100 women – students and academics – shared their experiences of sexual harassment and abuse at the hands of male university staff.  The stories depict a culture dominated by the male voice, in which women are frightened into silence rather than taking action against their abusers. Many of the victims indicated feelings of futility in terms of reporting their experience, due to the perpetrators’ power and status. Those who did have the courage to make a complaint reported their frustration at the limited action taken.

How is this being addressed?

Recent reviews by the National Union of Students (NUS) and Universities UK have made recommendations to universities on how to tackle sexual harassment on their campuses. A particular focus has been on implementing policies to prevent and deal with the issue: both reviews found that institutions sometimes didn’t have a sexual harassment policy at all, or it was ineffectively tied in with an overarching policy on bullying and harassment.

Universities UK’s review highlights several examples of good practice from universities in terms of improving the reporting process (the University of Cambridge), implementation of policy (SOAS, University of London), and establishment of taskforces to both raise awareness of and deal with sexual violence on campus (Durham University Sexual Violence Task Force).

More prevention work needed

While it’s encouraging that universities are taking action to respond to this problem, and work is also being done in terms of communicating that campuses should be a safe space for all, the majority of initiatives are focused on dealing with the aftermath of abuse rather than prevention. This is similar to the message often communicated by the media and others that people (predominantly women and girls) should take steps to ‘avoid’ being attacked or raped, rather than communicating to men and boys that they shouldn’t perpetrate these crimes in the first place.

While girls are fed these messages from an early age both at home and at school, there is no similar onus placed on their male peers to learn about consent at the same time. The fact that the debate over the provision of a sex education that is appropriate for the society in which we currently live remains unresolved unfortunately means that these depressing statistics on sexual violence in our universities are unlikely to improve in the near future.

Follow us on Twitter to see what developments in public and social policy are interesting our research team.

Why do more girls than boys go on to higher education?

Metal signpost indicating directions of three world famous universities - Harvard / Cambridge / Oxford

by Stacey Dingwall

In February of this year, ministerial guidance was issued to the Office for Fair Access (OFFA) on doing more to widen the participation of disadvantaged groups in higher education. This was accompanied by the issuing of new access agreement guidance to universities and colleges which, for the first time, specified that they should be doing more to widen access among white men from economically disadvantaged groups.

The new guidance came after Prime Minister David Cameron raised concerns about a lack of diversity in the country’s higher education sector in an article for the Sunday Times in January. While David Cameron’s main criticism was of the lack of students from ethnic minority backgrounds being admitted to elite universities like Oxford, he also noted that “white British men from poor backgrounds are five times less likely to go into higher education than others”.

What does the evidence say?

The Prime Minister’s statement about the gender gap is backed up by two key sources. In their 2015 End of Cycle report, the Universities and Colleges Admissions Service (UCAS) reported that, while entry rates for both male and female students increased, female entry rates increased three times faster than those of males. At 35.4%, the admission rate for 18 year-old female students was 9.2 percentage points higher than male students, making them 35% (proportionally) more likely to attend university. This equates to 36,000 fewer young men than women entering higher education each year and is the widest gap yet recorded by UCAS – in 2007, woman were 27% more likely to attend university. Furthermore, the report notes that female students from the most disadvantaged areas were 51% more likely than their male peers to enter higher education in 2015. Also highlighted is that while female students across all ethnic groups are more likely to attend university than males, the gap is significantly smaller than that between white students: the next greatest gap is between male and female black students, at a ratio of 1.4. This gap has also narrowed since 2006.

In July of last year, the Sutton Trust’s Independent Commission on Fees published its final report. The Commission was set up in 2011 with the aim of analysing the effect of increased tuition fees on students. While the report found that the number of students applying to university had not been significantly impacted by the increase, it did find that certain groups had been adversely affected. These groups included male students from disadvantaged areas: the report suggested that they are 48% less likely to enter higher education than female students in the same circumstances. The Commission also found that this gap is widening rather than narrowing, indicating that there are areas of the country in which males are facing particular cultural challenges, which could result in “the entrenchment of low income and lack of opportunity”.

Why does this gender gap exist?

The Commission’s findings were widely reported in the press at the time. The key question: why has this happened? Analysis of last year’s GCSE results in England found that the gender gap between boys and girls is at its narrowest in decades, and male pupils’ A-level results are also only slightly below the female average. So why are so many male students choosing to end their educational careers at this stage?

According to Mary Curnock Cook, the chief executive of UCAS, the potential of these students is “somehow being let down by the school system”. Cook’s argument suggests that schools are not doing enough to adequately prepare and inspire their male students to continue their education after school. Brian Lightman, of the Association of School and College Leaders, however, has taken an opposing stance on this, and suggests that the narrowing of the attainment gap between male and female pupils can in fact be attributed to schools more closely monitoring the performance of boys. He also believes that changing the focus of assessment from coursework to more exams has in fact resulted in the system now being in favour of male pupils.

The impact of the introduction of tuition fees must also be acknowledged. Speaking to the Guardian in March of this year, male pupils at a school in Ipswich where double the national average of pupils are in receipt of pupil premium funding expressed their unwillingness to enter into years of substantial debt for a course where there is no guarantee of a job at the end. This sentiment perhaps explains why the number of students taking up paid apprenticeships increased by 63.5% between 2010 and 2011. A different group of students from south London also raised the issue of social class. A lot of these boys would be the first in their families to attend university. Their admissions of not wanting to stand out academically for fear of what others may think, or seeming like an “outsider’ reveal the impact that growing up in a disadvantaged area can have on aspiration.

Others suggest that the problem lies in the structure of the post-compulsory education system. Courses in which female students have traditionally dominated, such as fashion and beauty, are increasingly being changed from college courses to three-year undergraduate courses, while qualifications for bricklaying and plumbing continue to be studied at further education and apprenticeship level. Recent years have also seen a focus on campaigns to try and encourage more female students to study more science, technology, engineering and maths (STEM) -related courses, for example, without equivalent targeting of male pupils.

What is being done to reduce the gap?

Following the guidance issued to the OFFA, universities minister Jo Johnson announced that the government had also asked universities to move towards a name-blind admissions system by 2017, and would introduce legislation to scrutinise the process in order to reveal where offer rates for the poorest students were particularly low. Johnson explained that the guidance asks universities, in return for the access agreements that allow them to charge fees up to the maximum of £9,000, to focus more strategically on groups, such as white British boys, with the lowest participation rates by “spending smarter” and focusing their outreach activities where they are most needed.

The answer, it would seem, is for all stakeholders to “do more”. However, despite the government setting a target to double the amount of poorer pupils admitted to university, a specific campaign aimed at narrowing the divide has yet to be announced. It could be argued that placing the onus on universities to increase the number of admissions of white male students is the wrong answer – some, like Tony Sewell, former teacher and CEO of education charity Generating Genius, argue that this is a problem that needs to be addressed at a much earlier stage, as the gap shows signs of developing from primary level.

Overall, it would appear that addressing issues around social class in the system is key to stopping the divide from increasing any further. While Oxford University rebutted the Prime Minister’s assertion that it did not do enough to attract pupils from all walks of life, the figures speak for themselves: the most advantaged students are still 6.8 times more likely to go to the most elite universities than disadvantaged students. The Social Mobility and Child Poverty Commission regularly reports on a growing social divide in the country, including a system which continues to grant access to the elite universities according to family background rather than aptitude and ability. As the Commission’s latest state of the nation report notes, there is little chance of the government meeting its target until outreach activity becomes more focused on the areas where access is particularly low.

Innovation districts – the way forward for sustainable growth?

London iStock_000005757832Medium_interim2

By Heather Cameron

“Innovation is the lifeblood of any society or any economy” Julian Beer, Birmingham City University

Innovation districts, first coined by Bruce Katz and colleagues at the Brookings Institute in the US, are a recent trend in urban planning that is on the rise across the globe.

They represent a move away from the traditional corporate campuses, socially isolated in out-of-town sites, consisting of clusters of innovative research facilities in working areas that are also liveable, accessible by foot or by bike, and have good transport links.

The move towards these innovation hubs reflects the growing importance of the geography of innovation to urban areas.

Driving economic growth and regeneration

According to the judges and partners of the inaugural Lambert Smith Hampton Enterprise Award, consisting of leading figures from the property industry, innovation districts can drive economic growth and ensure the Northern Powerhouse and UK-wide devolution are successful.

The Sheffield City Region’s Advanced Manufacturing Innovation District (AMID) Partnership was selected as the winner of the £15,000 Award, the proposals of which were highlighted as an example of how developing industry clusters can deliver economic growth, employment and community regeneration. They also called for the AMID Partnership to be considered as a model for regional development.

The AMID Partnership consists of The University of Sheffield, Sheffield Hallam University, Harworth Estates, Sheffield Business Park, Sheffield City Council and Rotherham Metropolitan Borough Council.

This integrated approach utilises newly devolved powers and funding for the greatest economic and social impact.

The role of The University of Sheffield and its Advanced Manufacturing Research Centre (AMRC) in driving productivity improvements and innovation has been recognised in three independent reports.

One of the reports, Making it: the advanced manufacturing economy in Sheffield and Rotherham, notes that “R&D and industry-led innovation in Sheffield-Rotherham has been driven by the AMRC and led by the University of Sheffield, a UK leader in advanced manufacturing and research.”

Another notable innovation district in the UK is Corridor Manchester. Developed over the past 10 years, it is a partnership between the city council, local universities and regional hospitals that supports nearly 12% of the city’s workforce and generates £3bn GVA per annum. The recently opened £61m National Graphene Institute, which is to explore new commercial uses for graphene technology, has been described as “the perfect example of innovation-district potential.”

Growth in collaboration

Such university-industry partnerships are becoming increasingly common as a way for higher education institutions (HEIs) to enhance their research, create new research and development opportunities and increase revenues.

Robert Tijssen, chair of science and innovation studies at Leiden University in the Netherlands, has stated that “university-industry connectivity is now the third mission of a university, next to teaching and training and research.

The most recent Higher education – business and community interaction survey shows a continuing increase in the exchange of knowledge between UK HEIs and the public, private and third sectors.  Between 2012-13 and 2013-2014 these interactions increased in volume by 10.1%, the value of which was £300 million – increasing from £3.6 billion to £3.9 billion.

At a time of reduced government funding, it should be no surprise that such collaboration is continuing to increase.

A recent Universities UK report highlighting the extensive economic value of universities states that they have an important part in supporting businesses to drive product, process and service innovation.  And in terms of policy implications, it argues that:

any policy aiming to promote the long-term economic success of the UK needs to have universities at its heart, recognising the breadth, complexity and significance of their contribution and the need for stable, continued support to enable further impact.”

Barriers to innovation

Despite the wide recognition of the value of such partnerships, it has been argued that the UK’s fiscal policy of austerity acts as a barrier to industry innovation.

According to Simon Marginson, professor of international higher education at the UCL Institute for Education:

As long as the rewards for investment in financial assets are higher than the rewards for investment in knowledge-intensive industry innovation, the latter will be neglected… This is a serious problem in the UK economy, where finance generating finance often seems to be the main game.

Way forward

Nevertheless, it would seem likely that the rise in innovation districts will continue due to the organic nature of their growth, as highlighted by Katz and colleagues. Economic and demographic forces will continue to change the way people live and work.

Brookings has called for local decision-makers, global companies and financial institutions, and government to ‘unleash’, ‘embrace’, ‘support and accelerate’ innovation districts. The result: “a step toward building a stronger, more sustainable and more inclusive economy.”


If you liked this blog post, you might also want to read our previous post on science and innovation

Follow us on Twitter to see what developments in policy and practice are interesting our research team.

Everything you wanted to know about Open Access … 5 great blogs from #OAweek

OA pic2

Image: Flickr user Meredith Khan, via CC BY-NC 2.0.

By Morwen Johnson

This week has been Open Access Week – an annual global event which is a chance for the academic and research community to discuss the benefits of Open Access, and inspire wider participation in helping to make Open Access a new norm in scholarship and research.

We’ve a particular interest in how the open access agenda is evolving. As an information service, one of our aims is to support evidence-based policymaking and increase the availability and uptake of research within practitioner communities. We also have a lot of librarians and information professionals in our research team – so understanding what’s happening in the publishing world is something we follow as part of our own CPD.

With this in mind, here’s the five blogs we’ve seen this week which our team found most interesting …

  • Your questions answered on Open Access

The Conversation blog is one of our favourites for pithy, accessible commentary and insight from academics on hot topics. They invited readers to submit questions on Open Access and this blog article gives a great intro to some of the key issues.

  • Open for Collaboration

In the UK, JISC is one of the main organisations driving the response by higher education to the Open Access agenda (along with other initiatives such as SHERPA).

They’ve published a few interesting resources this week, including a guest blog from the Coalition for Networked Information looking at progress towards openness in scholarship and research around the world. It reminds us that “The movement towards openness is about much more than publishing. It includes being open about methods, tools, software, and data.

  • When sharing isn’t as open as it might seem

Another favourite blog of ours is LSE’s Impact of Social Sciences blog. The article “What does Academia.edu’s success mean for Open Access? The data-driven world of search engines and social networking” looks at the rise of research sharing platforms. The author, Professor Gary Hall from Coventry University argues that “posting on Academia.edu is far from being ethically and politically equivalent to using an institutional open access repository”.

  • Research use by parliament

This blog by Caroline Kenny The impact of academia on Parliament: 45 % of Parliament-focused impact case studies were from social sciences caught our eye as it ties in nicely with what we try to do at the Knowledge Exchange. (*Don’t get us started on how much public money is spent on evaluations where the findings just sit in a report and never feed back into either policymaking or delivery!)

The use of research within Parliament (for example, in evidence to Select Committees) is good to hear about but academics need to do more to engage different stakeholders.

Another academic exploring this issue is Mark Evans – see his June blog Evidence-Based Policy Making: What Westminster Policy Officers Say They Do and Why for more on this.

  • The limits of “open”: Why knowledge is not a public good and what to do about it

Finally if you’ve got a bit more time to spare then this video from the Centre for Information Science at City University features a lecture from Dr Cameron Neylon (Professor of Research Communications at the Centre for Culture and Technology at Curtin University).

A couple of quotes which struck us – “As we deepen, and harden, the shared sense of what is excellent work within a discipline, we necessarily fortify precisely those boundaries where the web could bring us into contact with differing conceptions, precisely those that might bring the most benefits.” And we have the opportunity to see “Openness as a process or practice, not a binary state of an object, something to work towards rather than something that we fail at achieving.

(* As it’s 58 minutes, you may prefer to read the draft transcript available on his own blog.)


Follow us on Twitter to see what developments in policy and practice are interesting our research team.

Graduating into a brighter future?

Image from Flickr user Luftphilla, licensed under Creative Commons

by Stacey Dingwall

Post-recession, the employment situation for UK graduates has not been great. Following the economic crash, headlines and statistical releases alike screamed about how bad it was out there for the recently graduated. Graduates were portrayed as either unemployed or underemployed, i.e. forced to accept roles for which their qualifications were not required or unpaid internships. With the end of the recession however, has the situation improved?

The graduate job recession

In 2010, the number of graduates in full-time work, three months post-graduation was 51% – its second-lowest level since 2003 (57%). And in 2009 The Association of Graduate Recruiters (AGR) was reporting that the number of graduate vacancies being advertised had fallen by up to a quarter since before the recession.

With record numbers of graduates now competing for each vacancy, and competing not only with their own graduating class but also with earlier cohorts, it could have been concluded that the era of the traditional graduate employment route was on its way out.

A return to form?

According to recent figures, however, things are looking up. Previewing the second 2015 update of its Graduate Recruitment survey, AGR describes the current graduate market as ‘buoyant’, and notes that the findings of the previous survey indicated an 11.9% increase in graduate vacancies on the previous year. These findings are backed up by the September 2014 edition of the Higher Education Careers Services Unit’s (HESCU’s) What do graduates do, which described the employment prospects for 2012/13 graduates as ‘dramatically improved’ compared to those of their immediate predecessors, with their unemployment rate six months after graduating down at 7.3% from the previous year’s 8.5%.

Additionally, the most recent release of the High Fliers graduate recruitment study suggests that those graduating in 2015 are doing so into the “most attractive graduate market in a decade”, and predicts 8% more vacancies than the previous year. It also notes that the class of 2015 are the first to graduate having paid tuition fees of up to £9,000 per year; this has led to the end of the image of students merely partying their way through their time at university, with the majority now focused on securing a promising career for themselves from as early as first year.

The new face of the graduate job

The prospect of graduating with tens of thousands of pounds of debt appears to be proving quite the motivation for today’s students. Rather than waiting until their final year to seek out internships and careers advice, High Fliers reports that firms are now taking on first year undergraduates in placement roles. Building up a relationship with a desired employer as early as possible is now the key way of securing a job post-graduation according to the report, with those with little or no work experience described as having “no chance” of receiving the offer of a place on a firm’s graduate programme.

AGR’s chief executive Stephen Isherwood has also pointed towards this trend, suggesting that graduate recruitment is being replaced with ‘student recruitment’, as those leaving university face competition from those still at university who have already been hired by employers for apprenticeships or have succeeded in finding an employer to sponsor them through the rest of their studies.

Another issue, as highlighted by Gerbrand Tholen, is the changing definition of what constitutes a graduate job. He notes that the previous understanding of what made a graduate occupation (those that combined expertise, strategic and managerial skills and interactive skills) has been abandoned in favour of defining the extent to which the role utilises specialist, orchestration or communication expertise.

This has led to a blurring between the lines of graduate and non-graduate roles, and also issues with compiling official statistics on the number of graduates employed in each arena. In 2014, the director of High Fliers, Martin Birchall, criticised the Office for National Statistics for not updating their definition of a graduate job since 2002, after they released data which suggested that 47% of recent graduates were not working in jobs which required a higher education qualification. This issue is further compounded by the issue of ‘over-education’ and ‘under-employment’, and the question of whether employers have been able to benefit from a more highly skilled workforce.

The graduate class problem

An important thing to keep in mind is that reporting on graduate labour market trends tends to focus primarily on the most general of findings – considering graduates as a homogenous group. This is particularly true in terms of the social backgrounds of graduates: research has found, and is continuing to find, significant differences in the labour market experience for graduates from working class backgrounds and their more socially privileged backgrounds. Until this much wider issue of a lack of social mobility within the graduate labour market can be addressed, it is perhaps too early to describe the situation as ‘buoyant’ – at least for everyone.


 

The Idox Information Service can give you access to a wealth of further information on education and employment trends; to find out more on how to become a member, contact us.

Further reading on the topics covered in this blog *

‘Graduate jobs’ in OECD countries: development and analysis of a modern skills-based indicator (LLAKES research paper 53)

What do graduates do? Employment review, IN Graduate Market Trends, Autumn 2014, pp12-14

Graduates’ experiences of non-graduate jobs: stop gaps, stepping stones, or dead ends?, IN Graduate Market Trends, Summer 2014, pp6-8

‘You have to be well spoken: students’ views on employability within the graduate labour market, IN Journal of Education and Work, Vol 27 No 2 Apr 2014, pp179-198

The gap between the proportion of young graduates from professional backgrounds who go on to a “graduate job” six months after graduating and young graduates from non-professional background

We need to talk about graduates: the changing nature of the UK graduate labour market

*Some resources may only be available to members of the Idox Information Service

Can universities power an urban renaissance?

Image: Flickr user Phillip Capper via Creative Commons

Glasgow University image: Flickr user Phillip Capper via Creative Commons

By Morwen Johnson

“If you want to build a world class city, build a great university and wait 200 years” (Daniel Patrick Moynihan in the 1960s)

The evolution of cities, and the rise and fall in their populations, is nothing new. For hundreds of years, people have moved in order to seek opportunities for themselves and their families, and with these population shifts come new challenges. Within the UK, we have seen the industrialisation of the 19th century (and rapid urbanisation) give way to post-industrial decline and the magnet effect of London and the South East, attracting jobs, investment and higher skilled workers.

Earlier this week I attended a talk by Bill Kistler of the Urban Innovation Network which looked at city competitiveness and specifically, the potential contribution of universities.

Survival of the fittest?

Work such as A century of cities has highlighted that to be successful, cities must adapt by reinventing their economies. Understanding how cities compete (regionally, nationally and internationally) in order to sustain their populations and economies, and if necessary stimulate renewal, has also been brought to the fore by the current devolution agenda.

Universities are ‘anchor institutions’ – organisations whose characteristics include spatial immobility, large size and strategic contribution to the local economy as purchaser and employer. And so far this year, BIS, the Centre for Local Economic Strategies and Universities UK have all published reports looking at anchor institutions and the role of universities in economic development. This builds on the Witty Review of 2013 which argued that universities “have an extraordinary potential to enhance economic growth”.

The Glasgow story

Within the context of Glasgow, there is a strong imperative to address these challenges. In 2005, the six parliamentary constituencies with the highest rates of premature mortality in the UK were in Glasgow. Programmes such as GoWell have been working to assess the effects of ongoing regeneration on area-based health and social inequalities. And £24m funding from the Technology Strategy Board (now Innovate UK) has been used to develop the Future City Glasgow project, using open data and technology to improve the lives of citizens.

Now there is another major opportunity to leverage change – the University of Glasgow’s planned campus refurbishment and expansion into the former Western Infirmary site is estimated to represent investment of up to three quarters of a billion pounds over the next decade. How this investment can be used to benefit the wider city is therefore a pertinent question.

Universities in place-making

Kistler argued strongly that universities are not separate entities but part of the fabric of the city. They are bound together in a shared destiny, as human and intellectual capital is fundamental to city competitiveness. It is also a reciprocal relationship – just as students make decisions on where to study based on various factors including quality of life, quality of the university and the labour market capacity of the area, so do graduates and employers make decisions on where to base themselves.

Universities can offer a chance to redefine places – recent examples from around the world of universities which have used expansion or investment as a catalyst for the revitalisation of their local area include for example, the innovation district Stockholm Life, the Campus Diagonal-Besòs hub development in Barcelona, and the University of the Arts London relocation to Kings Cross and Elephant and Castle as part of wider regeneration plans.

Opportunity or obligation?

As discussed during the event Q&A however, universities also have a social obligation to ensure that they use their position to address inequalities and ensure that economic benefits are distributed across a city. As we’ve previously pointed out in relation to the Core Cities devolution agenda, the rhetoric around growth has a tendency to focus on infrastructure and macroeconomics – ignoring social challenges such as skills, poverty and under-achievement. There are also real risks of negative consequences of gentrification and the crowding out of lower skilled roles by underemployed graduates.

Universities (and cities) operate in a strange dynamic of both competition and cooperation with their neighbours. Building a world class city, or even creating a city where people want to work and live, is not a passive process. Rather than ‘building and waiting’ (in Moynihan’s words), local authorities, business, the third sector and education institutions must jointly develop a long-term strategic vision. And part of that conversation has to be about considering who the winners and losers might be.


Further reading

Our Director, Rebecca Riley, was at the recent OECD Local Economic and Employment Development Forum and wrote about how leadership contributes to inclusive growth at local and city level.

Follow us on Twitter to see what developments in public and social policy are interesting our research team.

We’ve made some of our member briefings freely available. View a selection of our economic development publications on our website.


 

Higher education – widening access or widening inequality?

college graduates groupBy Heather Cameron

While the government maintains its commitment to widening participation to higher education, newly published government statistics suggest that the gap between private and state pupils is actually widening.

Widening gap

The statistics show that 85% of school-leavers from English private schools who turned 19 in 2012-13 were in higher education, compared to 66% of students from state schools – a gap of 19 percentage points, which is six points wider than it was in 2008-09.

A new report from the Higher Education Funding Council for England (HEFCE) has similarly highlighted the gap between the most and least advantaged groups.

Professor of international higher education at the UCL Institute of Education, Simon Marginson, recently argued that equality of opportunity in higher education is “further off than ever”, despite participation rates around the world being at a record high. Marginson suggests that universities should not be left responsible for social mobility as other factors are also at play.

Indeed, a new report from the Social Mobility and Child Poverty Commission indicates that the wealthiest families are using their wealth and status to ‘hoard opportunities’ for their children with less academic ability. It argued that this is creating a ‘glass floor’, protecting some children from downward social mobility.

Budget impact

With the recent budget reforms, it would seem that addressing the inequality issue will be far from easy.

According to the Institute for Fiscal Studies (IFS), the loss of maintenance grants, which are to be replaced with loans, will increase the average debt incurred for the poorest 40% of students to over £50,000. And debt will be highest among those from the lowest-income families.

If given the go ahead, the decision to freeze the repayment threshold for student loans at £21,000 is estimated to increase loan repayments for graduates, hitting middle-income graduates hardest.

In addition to this, the proposal to allow ‘high teaching quality’ institutions to raise tuition fees is predicted to increase the cost to government of teaching undergraduates as not all loans are estimated to be repaid in full.

This could also impact on students from poorer backgrounds applying to such institutions. While it has been acknowledged that the increase in fees in 2012 didn’t result in a reduction in participation among students from poorer backgrounds, it does seem to have had an impact on the choices these students make.

The IFS suggests that if the proposed changes in the budget are all introduced, the likelihood of a negative impact on higher education participation is stronger, while there will be little improvement in government finances in the long-term.

So what can be done?

There are examples of good practice across schools, colleges and universities where they have engaged in activities designed to raise aspirations and encourage young people from disadvantaged areas to access higher education. Such activities include outreach work, early intervention, quality careers advice, summer schools and focused mentoring.

Indeed, intergenerational mentoring has recently been highlighted as beneficial for raising attainment among socially disadvantaged young people and improving their access to higher education.

A mentoring project conducted in Scotland aimed to support S5 and S6 pupils taking their highers and considering going on to higher education. The programme aimed to help young people in their studies, help them navigate the higher education landscape, support them through the application process and discuss opportunities open to them. The results indicate that this model of mentoring presents an affordable opportunity for intervening to support widening access to higher education.

However, as HEFCE has indicated, despite isolated work in individual institutions that is undoubtedly having a positive impact, it is fragmented and not well evidenced.

HEFCE therefore recommends a joined up sector wide response to ensure that all students can truly fulfil their potential regardless of their background.


Idox supports universities and students in their bid for funding via a dedicated suite of funding solutions including GRANTfinder 4 Education and Open 4 Learning. For further information, please contact our Grants team here.

Further reading

Abolition of maintenance grants in England from 2016/17 (House of Commons Library briefing no 07258) (2015, House of Commons Library)

College-based degrees ‘reflect inequality’, IN Times Educational Supplement, No 5154 10 Jul 2015

Widening participation to higher education of under-represented groups in Scotland: the challenges of using performance indicators (Working paper 1) (2014, Economic and Social Research Council)

Progress made by high-attaining children from disadvantaged backgrounds (2014, Social Mobility and Child Poverty Commission)

Breaking the cycle of disadvantage: early childhood interventions and progression to higher education in Europe (2014, RAND Europe)

Limited access (widening university access), IN Holyrood, No 316 14 Apr 2014, pp50-51

School and college-level strategies to raise aspirations of high-achieving disadvantaged pupils to pursue higher education investigation (Research report no 296) (2014, Department for Education)

*Some resources may only be available to members of the Idox Information Service

Rise of the Datavores … showing no fear of data, it takes skills

Datavores infographicPrevious work by NESTA highlighted companies with apparently no fear of data. They called them ‘datavores’. When making decisions about how to grow their sales, they rely on data and analysis over experience and intuition.

Does being data active have an impact?

According to a new NESTA report published this week Skills of the datavores: talent and the data revolution, those organisations which are more ‘data-active’ perform better than those that are not, as the infographic above illustrates:

  • Datavores are 10% more productive
  • But, only 18% of companies are datavores
  • If all “dataphobes” became “datavores” it would add a 3% uplift in productivity
  • Data-driven firms are 40% more likely to launch new products and services.

What does a skilled data workforce look like?

The research suggests that the biggest issue facing the industry is the lack of skilled data analysts/scientists, where demand has grown 41%. Businesses are using a combination of actions to solve this lack of supply of skilled people, including off-shoring the roles, recruiting best fit and using a combination of inhouse, on the job and external training to grow their own.

Many organisations are also developing inter-disciplinary teams to create a data literate workforce because the skills needed within a data scientist are so rare; as the report says, as rare as “unicorns”. Our own experience of recruiting a data scientist would support this.

The workforce which is emerging is one focussed on adaption and flexibility, based on data sciences across the board, such as qualitative researchers, mathematicians, statisticians, developers and business analysts. Within this mix of skills, the new workforce also needs to have a creative flair and business knowledge that enables them to use the data in the organisation’s best interest and to add value.

What does it mean for skills suppliers?

As an emerging profession, it is difficult to pin down the exact skills an employer needs which in turn makes it difficult for schools, colleges and universities to supply the right type of education. The accompanying policy briefing from NESTA and Universities UK, Analytic Britain: securing the right skills for the data-driven economy, makes a number of recommendations, highlighted in the infographic above, many of which focus on the skills suppliers.

Universities are both a supplier and user of these skills and have a unique opportunity to really enage with the market. The focus on metrics in both the proposed Teaching Excellence Framework and Research Excellence Framework means that universities themselves are in need of the same skills and have an opportunity to supply based on experience.

For universities these recommendations have a number of impacts, and data issues are increasingly at the forefront of policy thinking. Universities UK has reviewed how data analytics are taught across disciplines and reflects on the shortage of academic staff who are confident in teaching data analytics in this way and the varying skills of students entering higher education.

The pervasive nature of the data revolution explains why a variety of disciplines and skills are being brought together. No one can argue against the need for more and better data to improve policy making and business planning. Plenty of data is now being captured but not used, and in the words of John Lennon “you say you want a revolution” and “we all want to change the world” … data is changing our world significantly but are you equipped for it?


The Idox Information Service can help you access further information on the use of data science, and the skills needed. To find out more on how to become a member, contact us.

Download the Datavores Infographic.

Further reading on the topics covered in this blog and infographic*:

Skills of the datavores: talent and the data revolution

Are you a Datavore? Insights on the use of online customer data in decision-making

UK data capability strategy: seizing the data opportunity

Information economy strategy

Inside the Datavores: how data and online analytics affect business performance

Employer insights: skills survey 2015

Big data analytics: assessment of demand for labour and skills 2013–2020

UK corporate perspectives: new technologies – where next?

*Some resources may only be available to members of the Idox Information Service