Huron Consulting Group projects 442 private colleges risk closure or merger
Updated
Updated · The Wall Street Journal · May 6
Huron Consulting Group projects 442 private colleges risk closure or merger
10 articles · Updated · The Wall Street Journal · May 6
The forecast covers private nonprofit institutions enrolling about 670,000 students over the next decade, as Hampshire College and Vermont's Sterling College move toward shutting down.
The report argues many schools charge high prices while delivering weak returns, with 31% of private nonprofits posting losses in fiscal 2024 and enrolment declines worsening financial strain.
Closures can hurt current students, who research suggests are less likely to re-enrol or finish, but the piece says the trend reflects a slow market correction in higher education.
As hundreds of colleges face closure, is this a healthy market correction or a crisis for American communities?
With new loan rules and AI changing the workforce, how should students now calculate the true value of a college degree?
If a degree no longer guarantees a good job, what skills will the next generation actually need to succeed?
Over 440 Private Nonprofit Colleges at Risk of Closure or Merger by 2036: A Looming Crisis in U.S. Higher Education
Overview
A 2026 analysis by Huron Consulting Group warns that 442 private nonprofit colleges in the U.S. face closure or merger within a decade, putting 670,000 students and $23 billion in endowments at risk. This crisis stems from a sharp 15% drop in undergraduate enrollment since 2010, worsened by pandemic losses and declining college enrollment rates. Financial strains include a steep fall in international students and the upcoming elimination of the Grad PLUS loan program. Small, tuition-dependent colleges with limited endowments and inflexible costs are most vulnerable. Closures will disrupt students, harm local economies, and deepen regional disparities, especially in the Northeast and Midwest, driving a wave of mergers and sector consolidation.