Comment 043 February 1990

Page 1

King's College London newsletter

COLLEGEFI

CES: THE L TE T IT

TIO

ments as to the College's financial po ition.

From the Principal, Profe or tewart utherland

In this respect, I thought it might be

Members of the College may be aware of the article which appeared in The Times Higher Education Supplement on 19 January.

helpful, particularly in light of this article, if the text of my response to the Clerk of the Court was published in Comment.

The article in question drew attention to the warning issued by the UFC's Chief Executive, ir Peter Swinnerton-Dyer, to Lord Flowers, London University Vice-Chancellor, that the UFC may send Management Con ulrants into the University of London, following concern about the University' growing financial problems. Atlcast 15 of the Federation's constituent Colleges were apparently giving the UFC cause for concern, eight of which, including King's, were cited as being in serious trouble. The article went on to identify the extent of each College's financial situation contributing to an overall £46 million deficit for the University by July 1993. The Clerk of the Court. in the absence of the Vice-Chancellor, passed on to me the UFC's concern about the overall London financial position and sought specific com-

The text of my response is therefore as follows:-

Dear Peter, Thank you for your letter dated 22 December 1989 concerning the London cost ubmission and, more specifically, the financial position of the University as revealed by the 1989 financial forecasts. You ask for specific comments on the financial position of King's College London, in the light of the UFC's Chief Executive's particular concern, and the Annex dealing with the forecast total general reserve position of the ColJege during the five years ending 1992/93.

1. First, 1 would like to comment on two matters of principle:-

1.1 The financial forecast exercise is regarded by the College primarily as a management tool. Long range forecasting, which has long been the practice at King's has been utilised to determine financial management strategy well in advance of perceived difficulties. In this sense, anned with detailed short term projections, the College's Finance Committee has maintained a tight financial rein on the College's activities. Baroness 1I00per, The Parliamentary Under Secretary of State for Health (left) talking to students taking the MSc in Gerontology course, before giving The Annual Age Concern Institute of Gerontology Public Lecture. The topic for this year's lecture was 'The organisation of community care for older people'. ....::;

The factlhat an annual surplus had been achieved in 1987/88 and 1988/89, and is continued on back page


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Comment 043 February 1990 by King's College London - Issuu