Mr. Seamus McCarthy:

The University of Limerick’s financial statements for 2014-2015 show total income of €243 million, and a surplus for the year of nearly €4.7 million. As shown In the figure now on screen, academic fees account for around one-third of the income. Of the total €86 million in fee income, almost €29 million was received directly from the HEA. In addition, recurrent State grant funding from the HEA totalled €34 million; and State funding for pensions amounting to €35 million was recognised. Research grants totalled €35 million while other operating income derived from a variety of sources, including rental income from student residences and income from sports facilities. The university's total expenditure in 2014-2015 was nearly €239 million, of which pay and pension costs accounted for €156 million.

My audit opinion in respect of the financial statements was unqualified, but I highlighted a number of issues in the report. These include a standard note on the reasoning behind recognition of a deferred pension funding asset, which I outlined yesterday. The results of the UL Foundation have not been consolidated with those of the university group, on the basis that the university does not control the foundation, and notwithstanding that the main purpose of the foundation is to support education and research carried out by the university and other bodies associated with the university. I draw attention in the audit report to the fact that at 31 August 2015, the foundation had net assets of €15.1 million. I also draw attention in the audit report to the disclosure in the university’s statement on governance of a number of instances where goods and services were procured without the standard required competitive tendering, and the circumstances in which this arose.