Formula Funding, Higher Education

  • Ben Jongbloed
Living reference work entry



Formula funding is the result of applying a mathematical formula to decide on the allocation of resources to higher education institutions. The formula normally includes criteria that relate to institutional size (e.g., number of enrolments) as well as unit costs (e.g., a normative allocation per student). In some cases, the formula includes measures of institutional performance (e.g., degree completions or research quality).


When it comes to higher education, the strategies and approaches for costing, financing, and budgeting are always very much in the spotlight, because the higher education sector has grown immensely during recent decades – both in terms of student numbers and resources. The resourcing of a mass higher education sector by public authorities is a critical issue – not just in terms of the size of the budget involved, but also in terms of the methods that will have to be used for...
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Copyright information

© Springer Science+Business Media Dordrecht 2018

Authors and Affiliations

  1. 1.Center for Higher Education Policy Studies (CHEPS)University of TwenteEnschedeNetherlands

Section editors and affiliations

  • Pedro Nuno Teixeira
    • 1
  1. 1.Director CIPESMatosinhosPortugal