UK universities generate £73bn of output and account for 3% of UK jobs

UCU called on politicians to study the report ahead of the general election and clearly set out policies on how they will support higher education.

The report, from Universities UK, revealed that through direct or secondary or multiplier effects UK universities generated over £73bn of output in 2011-12, up from £59bn in the last study published in 2009 (with figures from 2007/08). 

'Every pound of university output leads to £1.35 being generated... and, as we approach the election, all parties should study this report on the importance and impact of higher education.'Sally Hunt, UCU general secretaryThe impact of universities on the wider economy says universities directly employed 378,250 people (equivalent to 1% of all UK employment in 2011). Through direct or secondary or multiplier effects universities accounted for 2.7% of all UK employment generated, up from 2.6%.

Other key findings include:

• for every 100 full-time jobs in universities, another 117 full-time-equivalent (FTE) jobs were generated through knock-on effects. 373,794 FTE jobs in other sectors of the economy were dependent on universities' expenditure
• for every £1m of university output, a further £1.35m was generated in other sectors of the economy.

UCU general secretary, Sally Hunt, said: 'As well as delivering cutting edge research and providing globally recognised teaching, our universities are substantial wealth creators for their communities and the country. Universities provide a host of employment opportunities both on and off campus and generate vital revenue.

'Every pound of university output leads to £1.35 being generated outside the university as a result of their expenditure. Our university sector is blighted by uncertainty about future funding at the moment and, as we approach the election, all parties should study this report on the importance and impact of higher education.'

The full report will be available on the  UUK website.