The government's coming under more pressure to re-think plans to cap the tax relief on charitable donations.
University vice-chancellors argue that the move will deter wealthy philanthropists from helping to fund new research and facilities.
But ministers say they're determined to clamp down on tax avoidance.
Paul Clark, director of policy at Universities UK, which represents university vice-chancellors, said that universities have received £560m in the last year through philanthropy.
He explained that if these limits to tax relief on philanthropic giving goes ahead, "there will be a substantial number of donors who will either give less money... or think about not giving money at all".
Mr Clark said that this money goes towards: Student bursaries, support for post grads, major research programmes, or support for chairs to professorship in areas which wouldn't otherwise receive support.
"It's not just about libraries," he said.
He said that they believed the Department for Business, Innovation and Skills would want these proposals to be re-thought and make sure universities are not adversely affected.
Get in touch with Today via
or text us on 84844.