Plans for a second university in the Black Country have been scrapped after the Government refused funding.

Sandwell Council had applied for cash to develop a higher-education facility along with Sandwell College and Birmingham City University.

It was hoped the campus would bring millions of pounds into the borough.

Council bosses wanted to build the new university opposite the site of the proposed £77 million Sandwell College in Spon Lane, West Bromwich. Sandwell College would then be able to offer degrees through the university.

But the ambitious plans have now been axed after the Higher Education Funding Council ruled the borough did not meet the strict criteria for investment. Sandwell and Dudley were among 23 areas that expressed an interest in picking up funds to create new higher education centres from a cash pot of £150 million.

Six were given the go ahead in Somerset, Crawley, Milton Keynes, Swindon, Thurrock and The Wirral – the other 17 cases were rejected.

Councillor Ann Shackleton, Sandwell Council’s cabinet member for employment, skills and partnerships, said the local authority had not given up on the idea.

She said: “The initial proposal wasn’t accepted by the Higher Education Funding Council due to the current economic climate, however we anticipate this will be looked at again in the near future. We remain committed to education and training and look forward to the opening of our new Sandwell College.”

Sandwell College Vice-Principal Scott Upton said staff would not give up on the scheme.

“As far as we are aware, in our capacity as a fringe partner in this project, plans are still in the pipeline,” he said.

“However, while the council is still firming up its plans, we have continued to grow our own Higher Education provision within Sandwell College, including level four programmes and new Foundation Degrees, so we remain the largest provider of higher education in the borough.”

The Sandwell bid was submitted to the Government in June.

Strong

Roger Grinyer, spokesman for the Higher Education Funding Council said: “The bids that did well were backed by good local data and demonstrated strong partnerships and clear business cases.”

Other plans rejected by the HEFC included funding applications from Doncaster, Halifax, Wakefield and Wigan and Leigh. Work on the new £77 million Sandwell College has been unaffected by the decision and the piling rig to install the concrete foundations is already on site.