The value to the economy of the eight most research-intensive universities in the Northern Powerhouse region is almost double that of the entire Premier League, a report reveals today.
The N8 universities contribute £6.6bn of GVA (gross value added) to the Northern economy per year.*
The scale and breadth of the economic impact of the universities is revealed in a report by the N8 Research Partnership – Power of 8: Knowledge, Innovation and Growth for the North – launched today.
The report also reveals the universities of Durham, Lancaster, Leeds, Liverpool, Manchester, Newcastle, Sheffield and York together delivered a total of 119,000 FTE jobs – equivalent to all the jobs within a city the size of Salford.
And it found that the N8 universities attracted £1.26bn of research funding per annum, of which £127m (some 13%) came from European Union sources, the vast majority of that from EU Government sources.
The research by the N8 Research Partnership, the collaboration body for the northern research-intensive universities, and Viewforth Consulting, was launched today at an event in Leeds.
The Government’s Northern Powerhouse agenda can and should play a major role in creating an environment that enables our universities to generate even more benefit to the Northern and wider UK economy
The findings prompted calls by Professor Koen Lamberts, Vice-Chancellor of the University of York and Chair of N8, for Prime Minister Theresa May to accelerate the Government’s plans by increasing investment in infrastructure and innovation in the North.
Professor Lamberts said: “This research paints a compelling and comprehensive picture of the contribution our universities make to the Northern economy, creating jobs and prosperity for people from all walks of life. It makes abundantly clear that N8 universities are not just world-class research institutions, but also major economic enterprises, generating significant revenue and economic activity and driving inward investment.
“The Government’s Northern Powerhouse agenda can and should play a major role in creating an environment that enables our universities to generate even more benefit to the Northern and wider UK economy.
“Such benefit can only come, however, if there is further investment in innovation in the North: in inward investment, in transport and infrastructure.
“We need to be able to attract and retain the world’s most talented academics, researchers and students; we need to ensure that our students, staff and partners can easily access our world-leading facilities; and we need to attract innovative overseas businesses so that we have a genuinely international innovation and enterprise eco-system.”
The report highlights the role played by the N8 universities in helping to establish new businesses, the commercialisation of innovation, and the development of the next generation of entrepreneurs.
Professor Lamberts also encouraged the Government to resolve uncertainty over international research funding for UK universities in light of the Brexit vote.
He said: “While some uncertainties remain because of the Brexit vote, we should be confident that we can face the challenges this may bring. The N8 universities have always been global in outlook, focused on contributing to the world beyond the lecture hall or campus and this will continue despite the referendum result. The UK has some of the best universities in the world and our academics, researchers and students play a significant part in that success.
“However, we believe the Government must act swiftly to address the potential gap in research funding that might arise through our withdrawal from the EU. Such funding is essential if we are to retain our global standing and attract the brightest and best talent. It also plays a significant role in research and innovation, which directly leads to UK business creation and employment growth.”
The report has been endorsed by Former Deputy Prime Minister, the Rt Hon Lord Heseltine who, writing in it, says the findings show that the research-intensive universities of N8 can be at the forefront of a rejuvenated Northern economy.
*N8 Universities economic impact as measured in GVA includes direct activity, knock-on activity and student body impact ion 2014/2015. Ernst & Young (EY) Economic Impact Assessment of the Premier League, published May 2015, indicated a GVA contribution of £3.4bn in the 2013/2014 season.