Managers at UHI Perth are discussing scrapping degrees just 14 years after gaining university status in a desperate attempt to tackle financial pressure.
Papers seen by The Courier show board members suggested looking at “options around stopping higher education delivery”.
In a March meeting, former chairperson Graham Watson – who quit earlier this month – said there was a “need to see the implications and benefits of this”.
He warned other ideas to scale back costs “appear to merely tinker around the edges”.
It’s understood the drastic move is being floated while bosses at the University of Highlands and Island’s Perth College headquarters devise a recovery plan.
Perth College was granted university status as part of the Highlands and Islands group in 2011, allowing it to offer degrees as UHI Perth.
But the institution has been plagued by financial problems in recent years.
If approved, the institution would focus on “further education” provision – which would include college courses and vocational studies.
Perthshire SNP MP Pete Wishart warned this would be an “absolute disgrace” and a “step backward two decades”.
He told The Courier: “Perth quite literally brands itself as a university city – it’s the first sign you read when you drive in, and is an integral part of the city’s identity.
“But the diminishing of UHI Perth over the past few years has been a disgrace and is completely unsustainable.”
He added: “To break from this current downward trajectory requires effective leadership.
“However, after these string of events, I am concerned as to whether those at the very top of the current senior management team are up to the task.”
Financial problems explained
It comes after an aviation firm linked to the university which has trained pilots and aircraft engineers for nearly a century went into administration earlier this month.
UHI Perth chiefs were branded “utterly disastrous” for failing to react after being warned this could happen seven months ago.
Last year, the institution announced the closure of its nursery due to “financial unsustainability”.
UHI Perth set savings targets of £3.2 million last year.
The institution’s deficit stood at £3.3 million in July 2024, but this has since been brought down by £1.3 million.
Remarkably, papers show the university was “unable to prepare budgets” last summer because of “ongoing staff restructuring”.
Minutes from board meetings say 50 UHI Perth staff took voluntary redundancy at a cost of £964,000.
It’s not known how many jobs would be lost if all university courses are axed.
Some Perth students initially start out studying at college then go on to complete a degree.
A spokesperson for education union EIS said: “We were concerned to learn about these discussions.
“There has no communication with staff about this proposal from senior leadership.”
A spokesperson for UHI Perth said: “The minutes of our board of management meetings reflect a wide range of ideas and ongoing discussions.
“These conversations are part of a broader process and do not necessarily represent final proposals.
“We are carefully exploring all available options to address financial challenges, with a firm commitment to securing the long-term sustainability of UHI Perth while keeping any impact on our students and staff to a minimum.”
A spokesperson for the University of Highlands and Islands said: “We are aware of the financial challenges facing UHI Perth and the wider education sector.
“Our commitment to providing accessible, high-quality higher education remains unwavering.”
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