Thursday 1 March 2018 / 8:30 AM Angela Rayner / Education

Vice-Chancellor benefit package increased by 227% since 2010, Labour analysis reveals

Vice-Chancellor benefit package increased by 227% since 2010, Labour analysis reveals

  • Labour analysis of data published by the Times Higher Education Supplement shows that from 2010-11 to 2016-17, Vice-Chancellors’ benefits package increased by 227%
  • Basic salaries have risen by 19%, but total salary has increased by 22.5%, suggesting universities are topping up VC pay with generous benefits.
  • In 2010 Vice-Chancellors’ benefits amounted to £633,999, in 2016 this had increased to £2,071,393
  • Labour will impose 20:1 salary ratios in universities to curb excessive Vice Chancellor pay

Vice Chancellors’ benefit packages include bonuses for performance related pay and tax-avoiding cash payments instead of pension contributions.

The revelation comes as the ongoing strike by the University and College Unions over pension’s cuts is set to continue over the coming week, with negotiations between UCU and UUK taking place.

In response to spiralling Vice Chancellor benefit packages, Labour has reaffirmed a commitment to apply a pay ratio of 20:1 in universities.

Angela Rayner MP, Shadow Education Secretary, said:

“It is a kick in the teeth to students struggling with £9,000+ fees that Vice-Chancellors’ benefit packages have increased by an eye-watering 227%.

“By turning education into a market, with universities run like businesses, the Conservatives have entrenched inequality in our education system.

“The Tories’ trebling of tuition fees is subsidising fat cat pay packets at the top, while hardworking staff face the prospect of losing up to 40% of their pension and students are saddled with up to £57,000 in debt.

“This cannot continue. The next Labour Government will ensure this immoral practice ends and impose a 20:1 salary ratio at publicly funded institutions, including in universities.”