ABERYSTWYTH University has cut its losses in half but still posted a £2.6m deficit last year, the Cambrian News can reveal.

The institution is currently embarking on a two-year £11.4m savings plan in a bid to stem the losses of previous years, with wholesale restructuring of departments likely to lead to more than £8m in staff cost savings by 2019.

The university’s 2016/17 accounts reveal the institution lost £2.6m - in 2015/16 its losses were over £5.1m.

Lower student numbers account for a large portion of the losses, with university tuition income falling by £2.4m.

University treasurer Timothy Brain said it is “essential” for the future of the university that the cost-cutting plan, introduced just weeks after new vice-chancellor Elizabeth Treasure took up her post last April, is successful, otherwise the institution would not be sustainable.

Mr Brain said: “Aberystwyth University operates in challenging academic and economic environments but despite these circumstances it has continued to carefully manage its financial position.

“In line with expectations, the university continues to incur a deficit.

“Following consecutive years of incurring deficits, during 2017 the university approved a Sustainability Implementation Plan (SIP) with the objectives of maximising income, reducing the costs of running the institution and placing it on a sustainable footing for the future.

“The SIP covers a five-year period and involves considered review of its academic portfolio, ensuring that the teaching it undertakes is sustainable and reflects the expertise of the academic faculty as well as the requirements of the 21st century student and modern society.

“The achievement of the SIP is essential to the future strategy of the university, setting the foundation for a sustainable financial strategy and enabling the university to meet its strategic aims.”

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