GLASGOW Caledonian University’s idea of creating a New York campus could have been a worthwhile initiative.

The institution has been a real success story for Scotland and exporting its successful brand overseas need not have been a risky endeavour.

However, implementation of the US offshoot has been an absolute calamity.

The New York project was opened in 2014 and, according to the University’s latest accounts, has been funded by a £9.5m loan.

The problem is that the New York campus has no degree students due to the lack of a teaching license.

The New York state authorities, for reasons that have not been explained, are in no rush to make a decision on the University’s application and the entire project is hanging in limbo.

Against this backdrop, it is unfortunate that Glasgow Caley has posted a consolidated deficit of over £5m, as we report today.

Part of this shortfall is down to new reporting requirements - the operating deficit is actually lower at around £2.7m - but in the wake of the release of the figures the feeling persists that the New York campus has been a gamble that has not paid off.

Universities are autonomous institutions, but they receive public money and the New York venture, and the reported deficit, should be of real concern to the Scottish Government.

In the last term, Holyrood passed legislation that provided for greater accountability in University decision-making, but it is clear there is still a problem with risky decisions in higher education.

Given the importance of the university sector, the Scottish Government should be asking for reassurances about GCU-NY and how it will benefit students and staff.

It is also long overdue for Audit Scotland to cast an eye over a project based on good intentions but which has run into trouble.