• Home
• News and Updates
• CUC responds to HEPI Debate Paper 33 ‘Because you’re worth it: are vice-chancellors worth the pay they get?

CUC responds to HEPI Debate Paper 33 ‘Because you’re worth it: are vice-chancellors worth the pay they get?

31^st August 2023

The Higher Education Policy Institute (www.hepi.ac.uk) has published a new report, Because you’re worth it: are vice-chancellors worth the pay they get? (HEPI Debate Paper 33), written by Lucy Haire, Director of Partnerships at HEPI.The report discusses the scapegoating of vice-chancellors’ pay and probes the question of how to fairly set the rate of vice-chancellors’ remuneration

CUC response

UK universities are world-leading and recognise that a fair, transparent, and accountable reward system is vital to the trust required for the long-term success of our sector. The people who lead universities are responsible for significant institutions of learning, which are major regional employers and value creators for local and UK economy. They play no role in setting their own salary.

Remuneration has to be sufficient to recruit, retain and motivate staff of appropriate calibre in the context of the market that universities operate within; it needs to take into account the enormous size and complexity of the operations senior staff manage,  balanced with the need to demonstrate the achievement of value for money in the use of resources given that government funding has reduced in real terms over the last few years.

John Rushforth, Executive Secretary of CUC, said: “This is an interesting and thoughtful contribution to the debate, and we welcome the report’s positive references to the CUC Remuneration Code. The Code draws on good practice across a range of sectors, is regularly updated and has been endorsed and implemented by the sector. In response to a reduction in real terms of government funding available, the sector has exercised restraint, with the average basic salary of a substantive Vice-Chancellor on 1 January 2023 being £267,969, an increase of 3.5% compared to an inflation figure of 10.1%.

CUC has recognised the importance of the work of Remuneration Committees and has established a specialist forum for Remuneration Chairs, ensuring that they are given expert advice from within and outside the HE sector.

CUC particularly endorses the Report’s call for less divisive rhetoric on this topic. We will study the report in detail, consider its recommendations and advise our members over the next few months.”

 

• Notes

The Committee of University Chairs (CUC) is a membership organisation and is the representative body for the Chairs of UK universities. As independent Chairs, they are responsible for the long-term sustainability of their University.

The CUC delivers education, learning, advice, and development opportunities to its members by providing a peer-support network that promotes high standards in university governance.

Any queries regarding CUC or its position regarding VC remuneration should be directed to John Rushforth, Executive Secretary (john.rushforth@universitychairs.ac.uk). We will not comment on any individual institution.