Mandelson said: "We know that universities have a vital contribution to our economic growth, so we are not going to undermine them. We are asking for savings of less than 5% and we expect universities to make these in a way that minimises the impact on teaching and students. I am confident they will."
Mandelson said: "I am an arts graduate myself. We don't dictate to universities which courses they put on. They tailor courses to meet demand. We want universities to play to their strengths, but we also want to keep this country civilised."
since the universities contribute net profit to the UK, cutting them decreases the UKs GDP. so cutting them ANY percent will have an impact both on students and on everyone else.
of course, being an Arts graduate, Mandelson is probably not numerate to understand this.