Hong Kong's government-funded universities will receive 13 per cent less funding in the next academic year.

The University Grants Committee (UGC) responsible for advising the government on funding for tertiary education has decided to appropriate HK$10.66 billion (US$1.37 billion) to the universities within its scope for the year 2004-2005.

The sum is HK$1.59 billion less than this year's total funding of HK$12.25 billion, a reduction greater than the 10 per cent margin the government announced earlier.

Among the eight universities, the Chinese University of Hong Kong will get the lion's share of HK$2.24 billion, while Lingnan University will receive the smallest sum, HK$187 million.

In terms of the proportion of reduction, the Hong Kong Institute of Education will bear the brunt of funding cuts as it will see one-fourth of its operating funds slashed.

Hong Kong Polytechnic University and the City University of Hong Kong will also suffer larger than anticipated reductions -- 12 per cent and 14 per cent, respectively -- because the government is withdrawing its subsidy for their associate degree programmes.

The UGC explains in the documents it has presented to the Legislative Council that the 13-per cent reduction is necessary because of the government's decision to cut university education funding by 10 per cent, on top of three years of deflation.

The committee explains that the allocation of funding reflects the different roles the various institutions play, their academic development and limitations in resources.

The government has also decided to continue to freeze university tuition fees next year. At present, the tuition fee for the bachelor's programme is HK$42,100, while that of the subsidized associate degree programme is HK$31,575.

Y K Fan, vice-president (development) of Hong Kong Baptist University, said he understood that the government needed to cut university funding in order to help solve the fiscal deficit problems. But he pointed out that the SAR's education policy must not vacillate if Hong Kong is to become a regional education centre.

Y S Chan, vice-president of the Hong Kong University of Science and Technology, said the lack of resources would obscure schools' prospects and faculty members may be attracted to institutions overseas, resulting in a lower quality of education being offered by local universities. He remarked that many professors had already left Hong Kong to teach in Singapore.

(China Daily HK Edition November 26, 2003)