Higher Education Sector in Review
03/06/2023
The past year in higher education has been marked by the sector’s emergence from the shadow of Covid-19, yet other challenges have surfaced in the pandemic’s wake. The sector continues to be pressured by long-standing structural challenges, some of which have been accelerated by changes forced by the pandemic. In this report, we discuss the following topics:
- The challenges of operating in an inflationary environment
- Athletics cuts to help the operating budget
- The rising cost of capital
- Higher yields on cash balances
- Declining endowments
- Impending enrollment cliff
- Increasing prevalence of strategic transaction activity