A survey of 52 higher education estates professionals conducted by Wates Construction found 79 per cent of institutions intend to start such a major construction project in the next 12 months.

Universities appear to be spending big in preparation for the introduction of the new fees and funding regime in 2012-13, despite current government funding cuts and future losses of student numbers for many institutions in the wake of the reforms.

The survey found that ¡°more than half¡± of those responding identified ¡°the attraction of students as the strongest driver behind their next project¡±.

Almost a third (32 per cent) are considering large-scale commercial tie-ups such as on-campus science parks or hotels, with a further 31 per cent open to such a deal in the future.

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More than two-thirds of respondents state that they are making changes in order to attract and accommodate more international and/or postgraduate students.

However, 43 per cent do not believe they are making efficient use of their current space.

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Ian Vickers, universities lead for Wates, said: ¡°Our survey shows that many are already on the front foot and are investing in first-class buildings and facilities in order to attract students and talent while improving efficiency and controlling costs.

¡°Students are being asked to pay more than ever before for a university degree. That means they expect a quality of experience that reflects the high price they are paying.

¡°In order to remain competitive, universities are therefore looking to deliver modern facilities that have the ¡®wow factor¡¯ while also encouraging more efficient and collaborative use of space.¡±

john.morgan@tsleducation.com