The senate and leadership of Budapest’s University of Theatre and Film Arts (SZFE) announced their resignation on August 31, saying the foundation set to take over the university on Tuesday under a government decree had deprived them of "all essential powers".

The outgoing officials said "any appearance of the leadership’s independence can only be maintained by making unacceptable compromises". They vowed not to take up any position at the helm of the university "until its autonomy is restored".

Autonomy is key in an effective cooperation and the recently re-written statutes of the SZFE exclude that, they added.

The Innovation and Technology Ministry announced in June that the SZFE’s operations will be taken over by a foundation from September 1.

Hungary's right-wing government has been privatising universities through the model of placing them under the control of foundations, led by people close to the cabinet.

Attila Vidnyánszky, the director of the National Theatre, has been appointed to head the institution’s supervisory board, sparking protests from teachers and students. An online poll conducted by the student representative body of SZFE showed that 100% of students oppose the composition of the board of trustees, which includes Slovnaft’s CEO Oszkar Vilagi, a former consultant to PM Viktor Orban, and strategic director of MOL Gyorgy Bacsa. 

None of the nominees proposed by students and teachers were approved by Innovation and Technology Ministry, which oversees Hungary’s higher education.

The transformation of SZFE is seen by many as an attempt to turn the liberal institution into one less critical to the government.