Tertiary sector in good financial shape

The tertiary education sector is in good financial shape with growth in surpluses and assets over the last two years, a report shows.

The Tertiary Education Commission's financial performance report, released today, showed tertiary institutions had improved their financial positions year-on-year between 2008 and 2010.

All tertiary sub-sectors improved their surpluses last year over 2008, with combined university surpluses increasing from $75 million to $126 million, polytechnics from $25m to $90m, and wananga from $11m to $15m.

Net assets also increased over the same period, with combined university assets increasing from $5.6 billion to $5.9b, polytechnics from $1.4b to $1.7b, and wananga from $147m to $256m.

Government funding increased 11.4 percent, from $1.9b in 2008 to $2.1b last year, while non-government revenue increased 14.6 percent, from $1.9b to $2.2b.

International student tuition fees increased 15 percent, while research revenues increased 9 percent.

Tertiary Education Minister Steven Joyce today welcomed the results, saying he was pleased institutions had responded strongly to the Government's focus on value for money and fiscal responsibility.

"While the Government's budget remains limited, it's good to see tertiary institutions managing their finances and assets responsibly and positioning themselves to continue to make a strong contribution to New Zealand's educational needs."