Universities already expect a deficit of 250 million this year

It is the first time in years that all fourteen Dutch universities have lost so much money, EY says in its annual Education Barometer. And the government's cutbacks are yet to come.

Increased costs
After checking annual reports from 2023 and the associated financial forecasts, EY concludes that universities are breaking their piggy banks en masse. Last year, they lost 100 million euros, this year they are likely to lose 250 million. The main factors causing this are housing costs and increased personnel.

Now, the piggy banks are also bulging considerably. Over the years, universities have built up more than four billion euros in equity. That buffer grew considerably during the Covid-19 pandemic. Due to the situation in the labour market, it was not possible to fill vacancies everywhere and money was left on the shelf.

Danger zone
EY believes that this joint reserve will decrease to 3.6 billion euros over the next few years. Though that is not going to make them poor, universities are different from each other. Three to five institutions must be careful not to enter the danger zone in 2026, according to EY. The accounting firm does not say which ones, however.