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Why are overheads charged?

charged overheads
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Why are overheads charged?

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The University provides significant infrastructure for the support of research, including access to the University’s computing systems; libraries; networked information retrieval facilities, physical accommodation; all risks insurance and professional indemnity insurance; animal and human ethics clearances; safety clearances; financial management and auditing; power, heat and water; cleaning and garbage services and basic telecommunications services. “Infrastructure” is another common term used to describe these “indirect” or “overhead” costs. The full cost of a project is a combination of “direct” project costs such as salaries, travel, maintenance and equipment etc and infrastructure costs. As a general principle, a contribution towards the cost of research infrastructure or overheads is required for all external funding for research and should be included in the project budget.

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