12 Dec 2017
Loughborough University helping to drive growth across the UK
The importance of Loughborough University to the economy and employment, both regionally and nationally, has been highlighted by a new report.
The report outlines the impact of the University, its staff and students, and its business engagement activities. It shows that the University contributes approximately £940m to the UK economy and supports 14,400 jobs across the country. This financial impact is defined as Gross Value Added (GVA) - the measure of economic output at the level of an organisation, sector or region.
Analysis also includes the University’s impact at two other levels; the Midlands Engine (West and East Midlands combined) and Leicester and Leicestershire Enterprise Partnership (LLEP) areas. It estimates that the University contributed 11,900 jobs and £720m GVA in the Midlands, and 8,100 jobs and £510m GVA in the LLEP areas.
Loughborough University’s direct impact is quantified by the number of staff it employs (2,800 full-time equivalents) meaning its total direct contribution to GVA is £190m. The economy is further boosted by staff and student spending and also by visits from friends and relatives throughout the academic year. The University also impacts the economy by using external suppliers.
The report looks at the economic impact of the University’s research activities and business collaborations. It also highlights the importance of the Loughborough University Science and Enterprise Park (LUSEP), where it states the total economic impact of the science park equals 4,100 jobs and £270m GVA in the UK.
Combined, these contributions give the University a total GVA impact of £940m. The full impact can be broken down as follows:
|
|
Leicester and Leicestershire LEP |
The Midlands Engine |
UK |
|||
|
|
GVA (£m) |
Jobs |
GVA (£m) |
Jobs |
GVA (£m) |
Jobs |
|
University |
190 |
2,800 |
190 |
2,800 |
190 |
2,800 |
|
External suppliers |
5 |
140 |
35 |
650 |
60 |
980 |
|
University staff |
30 |
460 |
75 |
1,200 |
120 |
1,700 |
|
Students and graduates |
96 |
1,800 |
172 |
3,200 |
260 |
4,200 |
|
Visitors |
10 |
210 |
15 |
340 |
5 |
140 |
|
Business and research collaboration |
5 |
50 |
10 |
170 |
35 |
500 |
|
Science Park |
170 |
2,600 |
220 |
3,500 |
270 |
4,100 |
|
Total |
£510m |
8,100 |
£720m |
11,900 |
£940m |
14,400 |
Source: Regeneris Consulting calculations. Numbers are rounded so do not always sum exactly to totals.
The report also estimates that Loughborough graduates will go on to contribute £390m to the UK economy over their working lives, of which £100m will be within the Midlands Engine.
Specialist economic development and regeneration consultancy Regeneris produced the report using data provided by the University for the 2015/16 academic year, together with nationally available information and commonly used multiplier calculations.
Commenting on the findings, Vice-Chancellor Professor Robert Allison said: “This report shows very clearly the vital role the University plays as an anchor institution in the local, regional and national economy.
“Working with a wide range of partners, we are able through excellent research, teaching and enterprise to help create significant economic and social prosperity.”
The full report is available here.