The University of Barcelona generates a total of €4.97 in European economics for each €1 it receives
For each single euro it receives, the University of Barcelona generates €4.97 in European economics. This is one of the conclusions of the report “Economic Contribution of the LERU Universities”, presented today in Leuven. The report was elaborated by the independent consultancy BiGGAR Economics at the request of the League of European Research Universities (LERU), an organisation that gathers 21 European research-intensive universities.
For each single euro it receives, the University of Barcelona generates €4.97 in European economics. This is one of the conclusions of the report “Economic Contribution of the LERU Universities”, presented today in Leuven. The report was elaborated by the independent consultancy BiGGAR Economics at the request of the League of European Research Universities (LERU), an organisation that gathers 21 European research-intensive universities.
Data show that, in 2014, the University of Barcelona generated 1,400 million euros in Catalan gross value added (GVA) —which represents 0.72 % of total Catalan GVA—, and had a direct effect on 21,870 jobs. At the Spanish level, the UB generated 1,700 million euros in GVA, which means 0.17% of the total, and 26,540 jobs. At the European level, these figures raise to 1,800 million euros and 29,650 jobs. In total, the group of 21 LERU universities generated 71,200 million euros in European GVA, which represents 0.57% of the total, and 900,065 jobs.
The main conclusion of the report is that investment in higher education, research and innovation not only is returned but also profitable. In this sense, the rector of the University of Barcelona, Dídac Ramírez, affirms: “In 2014, LERU universities took 16,300 million euros and generated 71,200 million euros in European GVA”. “This means that for each one euro invested in universities, they generated €4.37 in GVA”, emphasized the Rector. In the case of the University of Barcelona, the rate is even higher: a contribution of €4.97 to the European GVA for each €1; this figure raises to €5.92 if spending in supplies are deducted (direct gross value added).
In order to calculate the economic value of LERU universities, five different thematic areas were analysed: university core contribution, like staff and capital spending; student contribution; knowledge transfer contribution; tourism contribution, and graduate premium.
In 2014, 47,570 students (full time) of the University of Barcelona generated €276 million in Catalan GVA, €884 million in Spanish GVA and €333 million in European GVA. Moreover, 6,790 jobs in Catalonia were supported by student spending, employment, volunteering and placements. In the case of Spain, the figure raises to 7,670 jobs, and to 8,829 in Europe.
Concerning knowledge transfer activities —spin-offs, patents, agreements with companies and activities developed by science parks—, the University of Barcelona generated 205 million euros in Catalan GVA, which means 5,119 jobs; 270 million euros in Spanish GVA and 6,590 jobs, and 338 million euros in European GVA and 8,250 jobs.
LERU universities: a profound impact on European economics
Report data reveal that LERU universities educate 674,000 full time students, employ 186,000 staff and earn €16.3 billion turnover. Students of LERU members generated €9.7 billion GVA and supported 220,000 jobs in 2014. Outside the University, students spent an average of €7,937.
Research and knowledge transfer activities generated €21.9 billion in GVA and supported 298,500 jobs. LERU members undertook €1.5 billion of contract research for private and third sector organizations.
Concerning graduates, 172,300 students graduated from LERU members in 2014. On average, it is estimated that these graduates will go on to earn an additional €89,700 over their working lives as a result of their university degree.
The UB, a key agent within the Catalan business sector
Data provided by the reports “Economic Contribution of the LERU Universities” and “Economic Contribution of University of Barcelona” prove that the UB is a key agent in Catalan and Spanish business sectors as its direct and indirect activity supports 22,000 jobs in Catalonia and 26,500 in Spain. The report also proves that the UB is the most important education institution in Catalonia. The UB hosts a high rate of international student —5,725—, a figure that represents more than 40% of the total of international students who come to Catalonia.