Higher Education: Financial Pressures

Baroness Garden of Frognal Excerpts

Thursday 30th March 2023 Lords Chamber

[Baroness Garden of Frognal (LD)]

My Lords, I thank the noble Lord, Lord Knight, for this debate. I am very pleased to speak on this very important subject which is close to my heart.

The UK’s universities and colleges are world-regarded, as the noble Lord has already set out. However, like much of the country at the moment, they are under extreme financial pressure to do all that they need and would like to do, but are deprived of the resources to do it. I thank all those who have sent us briefings—Universities UK, MillionPlus, Horizon, London Higher and others I shall mention later. I will concentrate my remarks on a couple of issues: the Turing Scheme and part-time education, which of course impacts local communities.

First, I turn to the Turing Scheme. It is a poor replacement for the wonderful Erasmus, which the Conservative Government assured us would be kept after Brexit—another broken promise. We have heard from the British Council and the University Council of Modern Languages of their concerns. Modern languages are more important than ever since Brexit. Our European neighbours no longer need to speak English as we are no longer in the club, but British ability to speak French, German, Spanish, Italian and other languages has been seriously depleted since a GCSE in a modern language is no longer regarded as important. It was good to hear the King speaking in German on his visit to Germany, and I gather that, had he been allowed into France, he would have spoken French too—a great example. But what about Mandarin and Arabic, arguably the languages of the future? How can we communicate, trade and understand each other without other languages, and how will this impact on international relations?

As we know, unlike Erasmus+, inward mobility is not supported by the Turing Scheme, nor does it provide funding for staff placements. Significantly, the scheme does not cover tuition fees, and these are expected to be waived by host universities—how is that working, I wonder? Erasmus+ helped to enhance language skills and ensured that UK-based students and staff could work across different cultures and within a diverse workforce, as well as establish critical international partnerships. Following the loss of this Erasmus+ opportunity for UK study, and the introduction of a student route points-based immigration system, students from the EU, EEA and EFTA face increased costs due to the change in the home fee status and eligibility for tuition fee loans. Before the transition period ended these students were able to study in the UK without a visa, which will now cost them money that they may well not have.

Additionally, the financial settlement for the Turing Scheme is to be renewed on a yearly basis, so HEIs can no longer assure students applying for their degree that funding will be available for a year abroad. This creates considerable uncertainty for students, particularly for those whose degrees would historically have been expected to include a year abroad component—for example, language degrees. Can the Minister say what plans the Government have to ensure a long-term commitment to funding the scheme and make sure more certain levels of funding are available, so that students can plan and universities can commit to students of modern languages and others who would like to study abroad?

By the time funding is confirmed with institutions and then with individuals, students need to have planned their period of residence abroad. This makes planning difficult for universities and causes significant anxiety for students, who plan their year abroad with no guarantee of financial support. However, we know that the value of modern languages for trade and general economic competitiveness is widely acknowledged. Furthermore, the uncertainty of funding disproportionately affects the widening participation of students.

I should also like to raise part-time higher education in England, which has long been the Cinderella of the HE sector, where financial pressures are very acute. Wonderful organisations such as the Open University and Birkbeck have long opened opportunities for adult learners, or indeed younger people who choose to study at their own pace. I need to declare an interest as a fellow of Birkbeck and a long-time supporter of the Open University. Enrolment has dropped. We know that all students are struggling with the cost of living, but pressures will be particularly felt by part-time students. They tend to be older—seven out of 10 are aged 25 and over—and, as a result, are more likely to have significant financial and caring responsibilities. Part-time students in England are also unlikely to be eligible for government support with their living costs. The vast majority—90%—are excluded from maintenance support, and part-time students are unable to access support offered to students who are parents via the parents’ learning allowance and the childcare grant. Financial burdens are also likely to have an impact on student well-being and mental health, again feeding through to a heightened risk of non-continuation.

Part-time higher education is a critical enabler for flexible lifelong learning. It is desperately needed to spread opportunity to all and boost productivity, but it needs support and incentivising, with government policies and funding. Why is it, for instance, that part-time distance learners are still locked out of maintenance support in England, apart from a very small minority who have a serious enough disability to be able to claim it? That is clear in the Government’s response to the lifelong loan entitlement consultation, but there is no reason why. However, this support can be accessed by part-time students in Wales. At this morning’s meeting of the Education for 11-16 Year Olds Committee, we heard that Wales is leading the way in a number of educational initiatives—I am sure that is music to the ears of the noble Baroness, Lady Wilcox. If it is good enough for Wales, why is not good enough for England?

The LLE feels optimistic. We Liberal Democrats proposed a skills wallet that would provide grants, not loans, which are more acceptable for adults with many calls on their purses. We are very pleased to see an end to the ELQ rule, and trust that the new per credit fee limit will be applied as the rule and not the exception.

In her reply, can the Minister offer any assurances on the future of modern languages in the UK and the future of part-time learning? Both are significant for our economic prosperity, our well-being and our place in the world.