Times Higher Education analysis of 104 UK institutions shows 30 posted operating deficits for 2024–25, a stable 29% share but with aggregate losses rising to £365.7 million. Coventry University recorded the largest pre‑tax deficit (£59.3m); other notable deficits include Queen’s Belfast and Sussex. Despite headline losses, the group generated £2.3 billion in net cash from operations, an 87% increase year over year, suggesting improved short‑term liquidity even as structural challenges remain. Universities attribute deficits to lower international student recruitment and high non‑cash costs such as depreciation from recent capital projects. Finance officers say the mixed picture requires careful medium‑term planning: cash can mask structural operating issues, and institutions with weak balance sheets remain vulnerable to enrollment shocks and policy changes.