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СпутникиРНSpaceXРоскосмосNASAThe university has said the decision is an inevitable outcome of the “lack of a sustainable funding model for higher education in Northern Ireland”
11:36, 06 Aug 2026Updated 12:57, 06 Aug 2026
Ambitious plans to build an indoor sports arena at Ulster University’s Derry campus have been scrapped due to funding pressures.
The university had previously hailed proposals for the multimillion-pound 15,000 square metre Air Dome as “game-changing” for the north-west region and “a first-of-its-scale facility for Northern Ireland”.
However, Ulster University has now confirmed to the Press Association that the project is “no longer financially viable within our current context”.
An MLA has said the decision raises concerns about the future expansion of the university’s Magee campus.
The university has said the decision is an inevitable outcome of the “lack of a sustainable funding model for higher education in Northern Ireland”.
The university had announced plans to build the Air Dome in 2024 at the disused Foyle College site.
Plans included capacity for several thousand spectators and the arena would have housed full-size pitches for multiple sports including rugby, football and Gaelic games.
It was also intended to host community and musical events.
PeacePlus funding at the time was announced of 10.86 million euro (£9.05 million) by the SEUPB (Special EU Programmes Body).
The university had said it would match the funding.
However, it has now concluded that rising costs have made the project unsustainable.
A statement from Ulster University said: “Ongoing construction inflation and unsustainable running cost projections has caused Ulster University to conclude that the Dome Project is no longer financially viable within our current context.
“We are disappointed, but we must prioritise our limited resources on core activities of delivering excellence in teaching, research with impact, and in delivering City Deals.
“This outcome is an inevitable consequence of the constrained financial position we are placed in as a result of the lack of a sustainable funding model for higher education in Northern Ireland.
“This is one of the difficult but unavoidable decisions that we are having to make given the context we are being expected to operate in.”
The statement added: “We are however exploring other options for bolstering our sports facilities on the Derry/Londonderry campus.
“We remain committed to working with SEUPB across a range of projects and with local partners and stakeholders in the north west, even as we navigate these constrained times.”
SDLP Foyle MLA Sinéad McLaughlin said: “This project was announced two years ago to much fanfare as part of the ongoing plans to expand Ulster University’s Magee campus and increase student numbers.
“Today we are being told that it has been scrapped and there will be real frustration and concern in our city about what this means for the expansion of Magee as a whole.
“I understand that Ulster University and third-level education generally faces significant financial pressures and these need to be addressed in tandem with the Economy Minister and Executive.
“However, it feels like when there are projects to be scrapped or cuts to be made Magee is first in line.”
She added: “The SDLP is fully supportive of the expansion of Magee, it’s in our DNA, but for the past few years it has been one step forwards and two steps back.
“The Economy Minister and Ulster University have made commitments to Magee and the people of Derry and they must answer for their failure to deliver upon them.
“This city has waited long enough for the university it deserves.”
University bosses in Northern Ireland have repeatedly raised concerns about their financial position.
Last year, the heads of Queen’s University, Ulster University and the Open University in Ireland had warned that failure to tackle a funding crisis in the sector would force them to cut places for local students, as they insisted the current arrangements are “not sustainable”.
Their call for a rise in tuition fees above the rate of inflation was, however, rejected by Stormont’s Economy Minister Caoimhe Archibald, who said it would have a “seriously detrimental impact on higher education”.
An SEUPB spokesman said it was “disappointed” that the dome project would not proceed due to “external considerations and significant increases in project costs”.
The spokesman added: “Ulster University has concluded that the dome project is no longer financially viable.
“Ulster University has a long-established record of delivering transformative funding projects through SEUPB-managed programmes, and we continue to work closely together on delivery of a range of vital PeacePlus initiatives in areas such as health, innovation, good relations, climate and the environment.
“Across successive funding programmes, SEUPB has worked with various partners to deliver major projects across the north west, including the Peace Bridge, the North-West Greenway and the Transport Hub, and while this project would have been an excellent addition, we recognise Ulster University’s efforts to find a resolution and respect their final decision.
“We will continue to work closely with all our partners to explore future funding opportunities that support sustainable, impactful projects for communities across the area and throughout Northern Ireland and the border counties of Ireland.”
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