TNAG-0795-FCO40-999-Policy-of-Government-of-Hong-Kong-on-education-1978 — Page 150

10. The UPGC and higher education

10.1

The universities and the Polytechnic derive their capital and recurrent expenditure almost entirely from public funds. While the Government has a duty to ensure that the considerable public resources which are invested in these institutions are spent in ways that meet the needs of the community, it must nonetheless respect the status of these institutions as autonomous bodies. It is the purpose of the University and Polytechnic Grants Committee (UPGC) to serve as a means of reconciling these aims. The UPGC is charged with ensuring that the resources allocated to higher education are used efficiently. The UPGC's terms of reference require it "to advise Government on the application of such funds as may be approved by the Legislature for university and polytechnic education". In order to provide the institutions with an assurance about the continuity of Government funds, this financial planning is conducted over three- or four-year periods. As is appropriate for its task, the UPGC consists predominantly of overseas academics who are knowledgeable of the financial needs of universities and polytechnics, supported by non-academics who are knowledgeable of the local scene.

10.2

As the Government conducts the planning of higher education through the UPGC, it has few direct dealings with the universities, though more with the Polytechnic. It would not be appropriate for Government policy to cover all aspects of higher education planning. There are, however, certain aspects in which the Government has a direct interest. These include:-

(i) the student number targets for each institution;

(ii) the achievement within these targets of certain

manpower objectives;

(iii) the total size of the budget for higher education;

and

(iv) the principal legislation governing each institution.

10.3 The Government is concerned with determining the student number targets, because the size of each institution is the major component of its requirements for public funds, and because the community is concerned about the availability of places in higher education and with the output of graduates being sufficient, but not excessive, in relation to suitable job opportunities. In reaching its proposals for future growth targets, the Government has had regard to the substantial decline in the population in the relevant age group, noted in paragraph 4.1, which will of itself increase greatly school leavers' chances of obtaining a place in higher education.

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