'Serious blow': N.S. universities push back after province's funding announcement

Universities in Nova Scotia are crying foul after the province announced new caps on tuition and funding levels that are below last year's rate of inflation, and which come with strings attached.

The Council of Nova Scotia University Presidents declined an interview request, but said in a media release the province's announcement is the second "serious blow" to the sector in two weeks.

In the release, the council said the one-year plan creates unnecessary financial hardship for many universities.

"The Minister decided on an approach that undermines any sense of partnership, collaboration or vision for the future of one of the province's most strategically important sectors," said David Dingwall, the chair of the council and president of Cape Breton University. "There is much in today's announcement that requires greater clarity."

Small to medium-sized universities will see a two per cent operating grant increase in 2024/25, but Dalhousie University's grant is expected to remain the same as this year until it presents a plan on how it will contribute to provincial priorities. Inflation in Nova Scotia last year was four per cent.

Kim Brooks, the president of Dalhousie University, said the institution's costs have been rising faster than the provincial grant.

"We were already planning for a tighter budget year based on our economic climate and enrolment scenario," Brooks said in a statement. "Now, we know that some of our imminent budget decisions have become a little more difficult." 

Brooks said the university is prepared to engage with the province about how they can align priorities. 

"We know the province is experiencing unprecedented growth, which has created a set of well-known pressures and opportunities," she added.

The Department of Advanced Education said it will cap tuition increases for Nova Scotia students at two per cent, down from three per cent.

Most universities will also be expected to increase international student tuition rates by at least nine per cent — with the exception of Dalhousie University and University of King's College, which raised their rates last year. 

Minister of Advanced Education Brian Wong said the province is moving forward with negotiations with each of the 10 universities in Nova Scotia. 

"We are very confident our university sector is going to come to the table with us," said Wong at a news conference on Friday.

If the universities want to receive the entirety of funding, they will have to fill more than 97 per cent of health-care seats. A failure to meet that benchmark would result in a 10 per cent loss of funding for Dalhousie, and three per cent for others.