Investigation into University of Dundee’s finances to be ‘robust process’

Funding chiefs have promised a “robust process” as details of an independent investigation into the finances of the University of Dundee were announced.

Scottish Funding Council (SFC) chief executive Francesca Osowska stressed it is “vital that the circumstances surrounding the financial challenges” at the university are fully investigated.

It comes after Dundee University revealed it is facing a £35 million deficit – with bosses seeking to cut 632 full-time equivalent posts as they look to make savings.

The SFC last week confirmed £22 million of emergency support for the cash-strapped university

The investigation, to be led by former Glasgow Caledonian University principal Professor Pamela Gillies, will examine the causes of Dundee’s “worsening financial situation”, including the extent to which external factors impacted its income.

The terms of reference also make clear the probe will consider reasons why the university “failed to manage its cash prudently, allowing it to deteriorate to critically low levels”.

In addition, it will consider if governing bodies at Dundee University had been “left with a false impression of the university’s financial health”.

That comes after the university’s interim principal, Professor Shane O’Neill, told Holyrood’s Education Committee that there had been a “false assumption towards the end of the last financial year we were close to break even”.

Ms Osowska said: “The University of Dundee is one of Scotland’s world-leading institutions and we are committed to working alongside its senior team as it finalises and delivers a financial recovery plan that will see it return to a position of financial health.

“Alongside this work, it’s vital that the circumstances surrounding the financial challenges at the university are fully investigated, with rigour and transparency, and that lessons are learned to minimise the risk of this situation arising again.

“The appointment of an independent team will ensure a robust process. We will share the findings once this work has concluded and expect the university to act on those findings.”

When so much has gone wrong at Dundee University, this investigation is an opportunity to start setting things right

Scottish Green MSP Maggie Chapman – who was last week elected as the new rector of the university – said the investigation should explore how “weak democratic and governance practices” at the institution led to the “failures”.

Ms Chapman, a North East Scotland MSP, said: “It is clear that management has only made matters worse by determined secrecy and a lack of transparency.”

While she said the investigation will “likely” take place before she begins her role as rector, she promised to work with trade unions and students to “ensure their voices are heard” and to try to “end the years of mismanagement and poor decision-making that has brought the university to such a disastrous position”.

Ms Chapman said: “This crisis isn’t just about a financial deficit – it has revealed a total lack of accountability and a lack of communication between the hardworking people who make this university great, and the management who are supposed to be protecting them.

“When so much has gone wrong at Dundee University, this investigation is an opportunity to start setting things right. No stone can be left unturned. At every step of this investigation, there must be a clear commitment to openness, transparency, and engagement with students and staff.”