Bosses at the crisis-hit UEA have hit back at "incorrect" claims made in a scathing letter from concerned staff that the institution was at risk of insolvency.

The extraordinary letter, signed by 123 academics, was made public earlier this week, amid ongoing turmoil on the campus.

It came days after the resignation of its vice chancellor and the revelation that its finances were in a far worse state than previously feared, with more redundancies threatened.

In the letter, staff described the leadership of the UEA as "a small clique of non-academic managers" and said the situation was "out of control".

They warned the "chaos" risked causing "irreparable harm" to the institution and raised fears that under current proposals two faculties would be restructured to become "cash cows".

In response, Christine Bovis-Cnossen, acting vice chancellor, said: "I fully acknowledge the depth of feeling and concern which has led to so many senior staff writing this letter.

"These are very worrying times for all colleagues.

"Work is being undertaken across the university to address the financial situation and we have been open about these challenges.

"No decisions have been taken regarding where any possible redundancies may come or on the future vision or structure.

"Claims in the letter, including references to insolvency and to creating 'teaching-intensive cash cows' are simply incorrect.

"There will be engagement with staff as soon as the executive team is in a position to do so.

"Concerns raised by staff are considered by both our executive team and the UEA council."

Prof Bovis-Cnossen previously wrote to members of staff warning of the severity of its financial position.

In this letter, she warned that the financial black hole the UEA is dealing with is millions worse than first feared - with bosses needing to find £45m in savings over the next three years.

These figures come after the university saw its utility bills soar by an estimated £5m and a drop in the number of UCAS applications this year.

The turmoil has seen David Richardson, who led the university as vice-chancellor for close to a decade, resign earlier this week.