University of London Bill [Lords]

(Limited Text - Ministerial Extracts only)

2nd reading: House of Commons
Tuesday 16th October 2018 Commons Chamber

[The Minister for Universities, Science, Research and Innovation (Mr Sam Gyimah)]

Last year, the Government passed the Higher Education and Research Act 2017 with the aim of opening up the higher education market. The Act enables high-quality providers of higher education to gain degree-awarding powers more quickly, and also allows those with an excellent track record to achieve university titles.

I recognise, however, that existing legislation poses problems for the colleges in the University of London federation. Under the current rules, colleges that wish to obtain university titles will have to leave the federation altogether, which could undermine both its provision and its reputation. If, however, colleges remain under the current arrangement, their lack of university title may also undermine their prestige and standing, which could have an adverse effect on their ability to recruit students, particularly those from overseas. I therefore fully support this private Bill, which seeks to correct technicalities in existing legislation and allow the colleges of the University of London to become universities in their own right, while remaining part of the university’s federal structure.

[Bob Stewart (Beckenham) (Con)]

Does that mean that Birkbeck College, for instance, will become “Birkbeck University, University of London”, or will it be “Birkbeck University”? How will we refer to it in future?

[Mr Gyimah]

That will depend on how Birkbeck chooses to refer to itself, but I anticipate that once this Bill gains Royal Assent, most of the University of London’s prestigious colleges will apply to gain full university title, and they are very well placed to be successful. The colleges are already fully compliant with the financial sustainability, management and governance requirements that apply to all directly funded higher education institutions, and they also already have their own degree-awarding powers.

The University of London is one of the very few providers whose powers are set out in a private Act. The primary purpose of the Bill is to correct technicalities in the current Act, which disallows the colleges from applying to become universities in their own right. Given that it is uncontroversial—I hope—and long overdue, I expect it to be passed, with a significant number of colleges taking full advantage of the opportunity to gain university status.

I am very aware that the university and its colleges have already invested considerable time and expense in rectifying the existing situation. Any further delay in the Bill’s progress will be a significant setback to them, and will become increasingly harmful. I therefore encourage the House to allow the Bill to proceed with all reasonable speed.

--- Later in debate ---

[Sir Christopher Chope]

Far better than me. King’s College London is 26th, Royal Holloway is 28th, Queen Mary is 38th, the School of Oriental and African Studies is 46th, St George’s is 52nd, Goldsmiths is 62nd and City, which has recently joined the University of London, is 66th. The college to which my hon. Friend referred, Birkbeck, is 125th. We are told that other colleges, beyond the ones I have mentioned, are aspiring to become universities in their own right. They may include the Royal Central School of Speech and Drama, which this league table puts top of the arts and drama institutions. The question I would like to ask is this: what is going to happen to the other colleges within the federation of the University of London? They are probably not going to be in a position to become universities in their own right, and may not even aspire to do so. What is going to be done to protect their position? Obviously, they operate on the basis that they are part of the University of London, with all the prestige that that brings to their activities. A number of the 24 Russell Group universities are in fact colleges of the University of London—King’s College, LSE, Queen Mary and University College. A lot of these colleges are already seen as universities in their own right, so is it really going to make an enormous difference when this Bill is enacted? I am not so sure about that.

I was disappointed that the Minister did not address one of the hot topics of the moment, which is grade inflation. To what extent are these 12 new universities, instantly created as a result of this legislation, going to engage in grade inflation? A report was produced by Reform, and Tom Richmond, the senior research fellow who was its author, has said:

“Rocketing degree grade inflation is in no one’s interest.”

It continued:

“Universities may think easier degrees are a way to attract students but eventually they will lose currency and students will go elsewhere, even overseas.”

It went on to say:

“Restoring the currency of degrees would also mean better value for money for the £18 billion that universities receive each year in tuition fees.”

That report recommended that universities are stripped of their powers to award degrees and that final-year students should instead sit new national assessments for each degree course. The Bill will do quite the reverse by increasing the number of organisations that will be able to award degrees, with the perverse incentive that they will want to be able to make their degrees easier and engage in the grade inflation about which so many people are concerned. I am interested to hear the Minister’s response to that point.

[Mr Gyimah]

I thank my hon. Friend for pursuing this line of argument but suggest that he is making several leaps in his assumptions. The receiving of the university title, and in this case correcting an anomaly, do not in themselves entail the university lowering its standards. University standards are incredibly important, not only for new universities but for existing universities—indeed, for all universities. We can do a lot using the quality bodies, such as the Quality Assurance Agency for Higher Education, to ensure that the problem of grade inflation to which my hon. Friend refers is dealt with, but grade inflation is not an argument against an institution gaining the university title when it does exactly the same work as another institution that has that title.

[Sir Christopher Chope]

I am grateful to the Minister for responding to my point with that long intervention. I shall not engage in a long argument about it, but he is talking about all 18 colleges of the University of London being able to become universities in their own right. Why are they going to want to do that? Currently, the collegiate council can deal with issues relating to grade inflation within the University of London. I am surprised that my hon. Friend the Minister does not think that that is an important issue with which the council should be able to deal. In itself, the creation of a new university obviously does not mean that it will indulge in grade inflation, but when a report has been produced that suggests that fewer, rather than more, universities should award degrees, the Bill seems to me to be going in the wrong direction.

[Mr Gyimah]

I remind the House that we are not talking about institutions that just arrived yesterday. All these colleges have already demonstrated fully, in practice, that they are compliant with the financial sustainability, management and governance requirements that apply to all directly funded higher education institutions. My hon. Friend should keep that in mind when he comments on these institutions and whether they may or may not indulge in grade inflation or should have the title of university.

[Sir Christopher Chope]

Obviously I always take such things into account, but my hon. Friend has not actually told me what the Government are doing to counter grade inflation in universities. From what he has said, it seems implicit that he regards it as a serious problem. If he wishes to intervene again, I would be grateful if he told me what he is going to do about it.

--- Later in debate ---

[Mr Gyimah]

I am trying not to be drawn into that particular issue because it is not germane to this debate, but a significant piece of work is currently being done on quality in higher education, looking into grade inflation, unconditional offers, the quality of teaching and value for money in degrees. All are important to ensure that we safeguard our world-class university system, but I have not dwelt on that because it is not the subject of the debate.

[Sir Christopher Chope]

It may not be the subject of the debate, but it would be very much a pertinent subject for each college that wishes to acquire university status in its own right.

Before I finish, let me refer to clause 4(2), which enables the disengagement of the Privy Council from having to approve what comes out of the collegiate council’s consultation process. It seems to me that what was said in the other place—I referred to it in an intervention—was absolutely germane. We are talking about relaxing the control of the governing body over what happens within the University of London federation. If the safeguard against abuse of that relaxed control is the involvement of the Privy Council, why does the Bill also legislate to do away with that Privy Council involvement? It would be helpful if the answer to that was available now.

We could perhaps also be told at some stage to what extent the Privy Council’s engagement in this process over the years has resulted in changes to processes that would otherwise have taken place without the approval of the Privy Council. Has the Privy Council’s involvement been a pointless exercise, or has it brought pressure to bear to ensure that the only changes carried through are those that are sensible and in the best interests of all 18 members of the University of London’s federal structure?

I fear that colleges in the University of London not becoming universities in their own right will have the consequence of putting tremendous pressure on the other colleges, which may be to their detriment. However, I have to accept that, so far, they do not seem to have complained about it, so all one can do in such a debate is to raise the issue and see what flows from it.

The Bill will now obviously go to an Unopposed Bill Committee, because there are no petitions against it. In recent Unopposed Bill Committees, pertinent questions have quite often been asked about private Bills. I hope that that process will be gone through again, and that, if the Bill needs to be amended in any way, that process will not be avoided but will be facilitated as a result of today’s debate.

Question put and agreed to.

Bill accordingly read a Second time and committed.