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Capital investment

The sector continues to make a substantial investment in infrastructure to maintain and enhance its academic and student facilities. In 2015-16, capital expenditure totalled £3.8 billion, an increase of 14.5 per cent compared with 2014-15.

This level of investment is driven by a small number of institutions, with 18 contributing 50 per cent of the sector’s capital expenditure. A total of 53 institutions reported a decline in capital expenditure over the period.

Investment in infrastructure is particularly important given that the sector has increased its estimation of the amount needed to upgrade its non-residential estate to a sound ‘baseline’ condition. This was estimated to be £3.6 billion in July 2016. Inflationary pressures on the cost of construction are likely to push this figure higher.

Page last updated 3 July 2017