University of Edinburgh warns of staff cuts as it faces £140m financial deficit

Vice-chancellor says large-scale savings are needed but union says university should instead use its wealth

The University of Edinburgh is facing a 140m black hole that demands radical actions including job cuts, according to its vice-chancellor, as it becomes the latest higher education institution to reveal its financial turmoil.

Prof Peter Mathieson, the university's leader, told staff that the magnitude of the financial gap that we need to close" amounted to 10% of its annual turnover.