ABSTRACT
In many parts of the UK there can be two, three, four or more HEIs within the same city or region. Such a concentration suggests the possibility of duplication of effort and, not surprisingly, HEIs are being encouraged to collaborate more with each other to make better use of public funds and ultimately to merge. However, care is needed. Firstly, experience from other sectors has shown that often the scope for cost savings through collaboration and merger is over-estimated. More often than not the main benefits of merger come from the creation of synergies which can lead, in turn, to new streams of income. Secondly, unlike mergers of FECs, potential mergers of HEIs should not just look at teaching synergies but should also consider potential synergies in research and third-stream activities. Thirdly, collaborations and mergers in the HE sector are strongly inhibited by the culture of status. The academic staff of older HEIs are often resistant to merger with a newer HEI since they see this as a dilution of their academic excellence. Whatever the merits of or errors in such an argument, the reality is that many of the possible mergers that could take place within UK cities would necessitate an old-new merger
arrangement. This is likely to act as a severe brake on such mergers taking place unless the financial position of the older institution is so dire that merger is the only realistic option.
