The new university would have catered for 30,000 students

Talks between the University of Glamorgan and the University of Wales Institute Cardiff (Uwic) were called off on Tuesday.

Uwic's board of governors pulled out of negotiations, saying the merger would not be in the "best interests of Uwic and its students".

The board of governors has determined to withdraw from any further work on merger with the University of Glamorgan Gordon Harrhy, Uwic

A difference in direction between the two universities has been blamed for the termination of the talks.

"In considering whether or not to end discussion on the proposed merger, the governors had to be certain that such a move would be in the best interests of Uwic and its students," said Gordon Harrhy, chairman of Uwic's board of governors.

"The board of governors has determined to withdraw from any further work on merger with the University of Glamorgan.

"It has become evident to us that the position on how best the two universities can address the needs of Wales and the objectives outlined in the Reaching Higher strategy are different for UWIC and for the University of Glamorgan."

Talks to bring together the colleges began after Welsh Education Minister, Jane Davidson, told higher education institutions to work more closely and end the replication of some courses.

The merger was seen as a way of protecting the two institutions from any future cuts.

Separate merger

Similar plans to create an even larger college in Cardiff between two other universities next August are still on course.

That proposal would see Cardiff University and the University of Wales College of Medicine (UWCM) becoming a joint institution with 39,000 students.

With an annual budget of £250m, the new Cardiff University would be the biggest higher education institution in Wales.

The merger is expected to create 1,850 academic and support posts and a further 1,350 research jobs within six years.