Funding

We will allocate £171.5 million to higher education providers in Wales for the 2020/21 academic year.

Most of our funding is distributed as block grants to institutions, allocated by formulas. These take account of various factors, including recruitment in academic subject categories, mode and level, and the amount of high quality research undertaken in the institution.

Annual grant to higher education institutions

Each spring, we inform directly-funded higher education providers of their core grant allocations for the following academic year. Institutions can allocate the grant as they deem appropriate, as long as it is used to support teaching, research and related activities.

HEFCW funding allocations 2020/21

Circular W20/20HE details allocations to individual institutions and the sector as a whole for 2020/21. It includes premium payments for widening access, disabled students and Welsh medium enrolments.

We provide most funding for research selectively to recognise and reinforce research excellence through our QR – Quality Research -funding stream. We also provide funding to institutions for training postgraduate research students.

GO Wales

We part-fund GO Wales: Achieve through Work Experience, which is a university-led programme offering tailored support and work experience to eligible students under 25.

We also provide funding for other activities and bodies that support higher education, such as well-being and health, Global Wales and Jisc.

Funding teaching

Teaching funding includes funding for expensive and higher cost subjects, and premium funding for disabled students, and students receiving their tuition in Welsh.

Innovation and engagement funding

In 2018 we funded three schemes to promote research, innovation, and engagement activities across Wales:

  • Research and Innovation Capital 2017-18: £7.195 million
  • Enhancing HE-FE Collaboration in Innovation and Engagement 2017-18: £3.5 million
  • Enhancing Civic Mission and Community Engagement 2017-18: £1.8 million

In 2020, we reinstated innovation and engagement funding for higher education institutions:

Latest Funding Circulars

W20/23HE: Capital Funding 2020-21

This circular provides details of the basis on which Capital will be allocated to Higher Education Institutions in Wales in 2020-21, the information required from

We operate four funding methods

Our funding methods take account of factors including subject, mode (full time or part time) and level (undergraduate or postgraduate), and the amount of high quality research undertaken in the institution.

Capital funding

Provision was made for capital funding for three years in our remit letter for 2018-19. This circular provides the available capital allocation for 2020-21. 

Capital Funding