Forth Valley College considers campus sell-off as it faces ‘difficult’ financial situation

A Scottish further education college has said it may have to sell off one of its campuses as it grapples with an “incredibly difficult” financial situation.

Forth Valley College announced on Thursday it is exploring “multiple possible options” for its Alloa campus, with a final decision expected on September 26.

The college said real-terms drops in public funding, coupled with rising costs and a reduction in credit delivery, mean “some significant changes” to its operating model are necessary.

Options being considered by the college include sale and leaseback of the building, retaining ownership and leaseback of parts of the building, and selling part or all of the campus.

The college, which also has campuses in Falkirk and Stirling, currently employs more than 600 staff and enrols more than 12,000 students each year on a range of academic, vocational and training courses.

Principal Kenny MacInnes said: “It is with great regret that I have to announce that we are having to consider some significant changes regarding our three-campus estate and in particular our Alloa campus.

“I want to emphasise that no final decisions have been made at this stage.

“This follows months of dedicated effort, during which we have explored multiple possible options to secure a positive outcome.

“However, the college’s current financial position – driven by continued flat-cash funding, rising staff and maintenance costs, and a reduction in credit delivery – has left us with no choice but to explore a range of options.

“These steps are being taken to safeguard the long-term financial sustainability of the entire college.

“My senior management team and I are fully committed to finding the best possible way forward in what is an incredibly difficult situation.”

He acknowledged how “unsettling” the news would be for staff and students based in Alloa, as well as the wider community in Clackmannanshire, and said the college “remained committed to serving the local community”.

Responding, the GMB Scotland union said the announcement must “sound the alarm” over funding across further education in Scotland, and said it exposes the Government’s failure to properly invest in the sector.

The union also called on the college to ensure staff have “full involvement” in the decision-making process over the site.

Keir Greenaway, senior organiser in the public sector at the union, said: “Every possible option must be considered but the college falsely suggests staff have been consulted prior to this announcement.

“It insists a decision will be taken within weeks but there has been no genuine consultation or serious engagement with staff, and there won’t be until unions are invited to sit down for urgent and detailed talks with management.

“Anything less than full involvement in this consultative process will be a slap in the face for a skilled and committed workforce plunged into uncertainty by this announcement.”

The Scottish Government has been approached for comment.