Dear students and colleagues,

This afternoon, the University Court (the governing body of the University of Glasgow) discussed a revised draft of the University’s Socially Responsible Investment Policy. The discussion was informed by a consultation exercise with staff and students conducted in late October/early November. Following a lengthy discussion, the University Court decided in principle to endorse the draft policy subject to some amendments.

The policy covers the University’s endowment fund, which is made up of donations given to the University of Glasgow by benefactors. The fund is used principally to provide bursaries and scholarships for students, as well as supporting academic activity. University of Glasgow’s endowment fund had a value of £262m at 31 July 2024.

The revised policy strengthens the University’s commitment to socially responsible investment, placing additional requirements on the external fund managers who look after University of Glasgow’s investments. The policy also defines the process by which groups or individuals can make representations to the University about its policy. These representations will be considered by senior management and relevant committees and may lead to further revisions to the policy over time.

Court considered representations from a student group (Glasgow Against Arms and Fossil Fuels) and campus trade unions, who argued that the University’s endowment fund should disinvest completely in companies that earn more than 10% of their income from the defence sector. This view was backed by a clear majority of staff and students who responded to the consultation exercise. 

However, Court accepted the advice of senior managers that the University should not require fund managers to disinvest, firstly because this could be interpreted as a signal that the University was opposed to the existence of the UK defence sector and secondly in recognition of the University’s ongoing research relationships with a range of firms active in this area. At the same time, Court strongly endorsed the University’s humanitarian efforts to support those affected by conflict, particularly the ongoing wars in the Middle East and Ukraine.

The University is scheduled to re-tender one part of its fund management arrangements during 2025. Court will receive regular updates on this and related matters via the University’s Finance Committee.

Notes: 

1. Data from consultation exercise:

2394 responses with about 5% of staff and students

  • 485 staff
  • 1897 students 
  • 12 affiliate / general council

Overall Results

  • There was broadly similar coverage of respondents across Colleges and US (College of Arts and Humanities: 94, Medical, Veterinary and Life Sciences: 103, College of Science and Engineering: 85, College of Social Sciences: 105, University Services: 98).
  • Staff respondents were generally supportive of the tone and content of the policy (83%), whereas only 49% of student respondents supported it.
  • Most staff (81%) and student (86%) respondents were in favour of divestment with (37%) staff and (26%) of students had circumstances where they would permit reinvestment.
  • Results across both groups were generally aligned (except tone and content and balance of financial return).
  • Only a slight majority of staff (52%) and student (56%) respondents felt that the proposed procedures for making representations on changes to the policy were clear and reasonable.

2. Amongst other activities, the University is working with CARA (the Council for At-Risk Academics) to support academics affected by the conflict in the Middle East and Ukraine.  In addition, it is hosting an international conference on how UK universities can support the restructuring of higher education in Gaza post-conflict.

First published: 20 November 2024

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