Higher Education Reform

Baroness Blackstone Excerpts

Monday 28th February 2022 Lords Chamber

[Baroness Barran (Con)]

I am delighted to reassure my noble friend that we will not be introducing the sweeping caps to which he alludes. As he said, universities have been extremely successful in terms of social mobility. By consulting on student number controls, we are not taking a position on what the correct proportion of people going to university should be, but we want to tilt provision towards the best outcomes for students and, as I said, make sure that our further education system also offers fantastic pathways to success.

[Baroness Blackstone (Ind Lab)]

My Lords, I admire a great deal of what the Government are trying to do in relation to the future of higher education but I suspect that there is a bit of a muddle going on: the Government’s right hand does not seem to be doing the same as their left; that was just very ably put by the noble Lord, Lord Johnson. I start by asking why it has taken so long—it is two and a half years since the Augar report was published. If the Government are so concerned about having a high-class higher education system, with large numbers of international students, to reach out to the most disadvantaged and to ensure better outcomes, there is some urgency in this. Of course it is complex but perhaps the Minister can say why it has taken so long to reach any kind of conclusions on this report. Moreover, we are going to have a lot more consultation. I am not against consultation, but this one could have started two years ago, in which case we would be rather nearer to getting some kind of conclusion on where we are going next.

I also want to pick up what my noble friend on the Front Bench said about the effects of the proposed changes in student finance. How can the Government justify the much higher repayments that the least well off will pay because of the many years of interest charges—a lower rate of interest than now but, nevertheless, a much longer period for which they will be paying interest—whereas the wealthier students will pay off their loans very quickly and not incur all this interest? Is it not time to introduce a truly progressive graduate tax, rather than the regressive system of repayments being put forward today?

[Baroness Barran (Con)]

The noble Baroness partly answered her first question herself. She understands it very well. This is hugely complex and sensitive. The issues around repayment rates and the relative burden on the taxpayer versus the student all need careful consideration. Obviously, there are huge financial implications. The noble Baroness will have seen the figures on the projected size of the student loan book in 2043 if we did not do anything about this, which is half a trillion pounds—I was about to say dollars, because “trillion” always sounds like dollars, but it is pounds.

On the consultation, I feel slightly that as a Government we are damned if we do and damned if we do not. If we had not consulted, I am sure we would have been criticised. I know that the noble Baroness was asking about the timing of the consultation; that also had to align with the work done on the policy. We hope that the consultation will help to answer some of the disadvantage questions to which the noble Baroness, Lady Sherlock, on the Front Bench and the noble Baroness, Lady Blackstone, referred. We really do want to understand how those groups that might feel the most difficulty in accessing higher education, particularly this new modular approach that will be offered, will be impacted so that we can structure the policy in a way that makes it most accessible.