Higher Education (Monetary Penalties and Refusal to Renew an Access and Participation Plan) (England) Regulations 2019

Debate between Baroness Warwick of Undercliffe and Baroness Garden of Frognal

Monday 20th May 2019 Lords Chamber

[Baroness Garden of Frognal (LD)]

My Lords, we too understand the need for these regulations and thank the Minister for setting them out. Universities certainly need to be held to account for widening participation and supporting students from under- represented backgrounds throughout their studies, and monetary fines need to be part of the mix of sanctions available. However, I note that the Minister himself mentioned the concern that this might take away from provider income, and that in the notes the consultation process identified some concerns that monetary penalties could take away provider income that would otherwise be used for the benefit of students. Are there any safeguards to ensure that that will not actually be the case?

We certainly wish to ensure that all universities work to widen participation across the sector and prioritise their work with schools and colleges that have not traditionally been ones where young people went to universities, and we need every university to be transparent about selection criteria. However, we would also like to see the Government doing their fair share to widen participation by reinstating maintenance grants for the poorest students to ensure that disadvantaged young people do not have the highest loans to repay.

We note that the trend is narrowing but we see also that UCAS warns that for the fourth consecutive year limited progress has been made in reducing the size of the multiple equality measure gap, which remains at a similar value to that seen in 2014. Surely that should be a concern too. It also concluded that among the universities with the highest entry requirements the entry gap is widest, and in 2018 the most advantaged students were 15 times more likely to enter than the most disadvantaged. We have quite a long way to go with this.

The Minister and the noble Lord, Lord Bassam, have touched on most of the issues that I would have mentioned on this, but I have a question for the Minister. Where will the money from these funds go? Will it just go straight back to the Treasury and get lost in the general pot, or is there any suggestion that these fines will be put into a separate fund that will help to benefit disadvantaged students? Money that just disappears into the Treasury is not going to do anything to help the students that we most want to help but, if there were some suggestion that it could be used beneficially for those students, that would be a very reassuring move.

As I say, there are some concerns about the effect of the fines, which I hope will be monitored as we go along to see whether they have an adverse effect on universities being able to provide for disadvantaged students. If not, of course, we have no intention of imposing this measure.

[Baroness Warwick of Undercliffe (Lab)]

My Lords, any regulatory system requires sanctions to be effective, and clearly there is general support for the OfS having proportional powers to act against any providers that breach their conditions of regulation. However, it is important from the start that the OfS convinces the sector that it will indeed exercise its powers in an appropriate, proportionate and risk-based way.

Higher Education and Research Bill

Debate between Baroness Warwick of Undercliffe and Baroness Garden of Frognal

Committee: 5th sitting (Hansard): House of Lords
Monday 23rd January 2017 Lords Chamber

[Baroness Garden of Frognal]

My Lords, I will speak to Amendments 171, 202 and 213 in my name. Amendment 171 proposes that the chair of the quality assessment committee should be independent of government and party politics and builds on the remarks of the noble Viscount, Lord Hanworth, on the importance of independence. There are concerns that, throughout the Bill, the Government will have powers more than is healthy in the affairs of higher education institutions. It is important that the chair of the QAC should be a non-party-political appointment.

Amendment 202 brings us back to a may/must debate—so beloved of your Lordship’s House across a whole swathe of legislation. Here we propose that the OfS “must consult”, rather than “may consult”, about whether there is a body that is suitable to perform the assessment functions. This should not be a matter of choice. Amendment 213 adds additional conditions to any directions given by the OfS to a designated body, such as ensuring that the powers of the OfS to give directions to a designated body do not adversely impact on that body’s suitability to carry out assessment functions, must be compatible with other duties, and must not relate to operational activity without previous concerns having been raised. These measures are designed to safeguard the authority and autonomy of the universities while acknowledging the duties of the OfS. I hope they will be seen as helpful additions to the Bill.

I support the arguments put forward by the noble Lord, Lord Stevenson, for the quality assurance office. Without doubt, with the new measures in the Bill, we need a really robust quality assurance system, and I think the measures proposed could provide that.

[Baroness Warwick of Undercliffe (Lab)]

My Lords, I support an independent quality assessment process, and I believe it is right that an organisation independent of the Office for Students should undertake this role. Most importantly, it needs to be a body that has the confidence of the sector to undertake assessment of quality on behalf of the OfS. As others have said, I would like to see a continuation of the co-regulatory approach to quality assessment, which would allow the QAA to continue in its current role. It is important to ensure that the relevant stakeholders, including the OfS, the Secretary of State and the sector, respect the principles of co-regulation.

Sector ownership of the QAA, with HEFCE and other devolved bodies as essential stakeholders that also fund and direct some of the QAA’s activities, has until recently been highly successful. It has ensured sufficient buy-in from the sector and the academic community, while providing processes for assuring the public about standards and quality that are seen as world-leading outside the UK. Also, the UK is a member of the European Higher Education Area, which is quite separate from the EU, and its standards and guidelines require that the body responsible for quality review be entirely independent of the Government.

I am rather anxious that a body appointed on a statutory basis would be for England only, so would undermine a UK-wide approach to quality. I hope that in his reply the Minister will address both those points. I also reiterate a point that has been made by others: I certainly would not want to see a quality assurance system that was vulnerable to political interference and would undermine the sector’s own vital role in quality assurance.

Higher Education and Research Bill

Debate between Baroness Warwick of Undercliffe and Baroness Garden of Frognal

Committee: 5th sitting (Hansard - continued): House of Lords
Monday 23rd January 2017 Lords Chamber

[Baroness Garden of Frognal (LD)]

My Lords, in the absence of the noble Baroness, Lady Wolf, who is unable to introduce it herself this evening, I shall speak to Amendment 269, to which I have added my name. I support all the amendments in this group that have already been spoken to. This amendment creates a new clause which confirms the role of the Advisory Committee on Degree Awarding Powers within the designated quality body to provide independent, expert advice before degree-awarding powers and university title are conferred, or creates a committee of the Office for Students which fulfils much the same function as the current Advisory Committee on Degree Awarding Powers where no body has been designated. This provides independent, expert scrutiny and advice to the OfS.

The Bill amends the Further and Higher Education Act 1992 to give the newly created Office for Students the ability to give and remove institutions’ degree-awarding powers and to award or remove the use of university title. This power currently sits with the Privy Council, which acts on the basis of guidance and criteria set out by the department for business, with advice from the Quality Assurance Agency. It is important that any new higher education providers awarding their own degrees, or calling themselves “university”, meet the same high requirements as existing universities. Appropriately robust market entry standards serve the interests of students by minimising the risk of early institutional failure or the need for intervention by the OfS, and we are not reassured that this is currently the case in the proposals put forward by the Government. Of course, we support new providers in the system, but we need particularly to scrutinise the fast-track private providers, as proposed in the Bill.

We propose a new clause legislating for a degree of independent oversight of the OfS in awarding degrees and university title to provide checks and balances on these very important decisions. In practice, this would require the OfS to take the advice of an independent specialist committee within the designated quality body or, where no quality body is designated for the OfS, to set up a statutory committee along the lines of the existing Advisory Committee on Degree Awarding Powers. I look forward to hearing the Minister’s response to the various amendments in this group.

[Baroness Warwick of Undercliffe (Lab)]

My Lords, I strongly support the comments made by the noble Lords, Lord Norton and Lord Kerslake. I preface my contribution to this debate by reiterating my concerns about the Government’s proposals to make it easier for alternative providers to award degrees and subsequently to achieve university title. I have not been reassured by any of the Minister’s explanations or by the detailed letters he has so courteously sent us during our debates over the last two weeks. The Government want to further diversify the sector. Yes, we need to reach potential students with different offerings and different types of courses, and in parts of the country that are poorly served. Of course, I support that, but not at the risk of selling these students a pig a poke.

There are enough examples from the States in particular which should give us pause for thought. There is one very familiar name, which I will not mention, but the closure of one of the largest for-profit providers, Corinthian Colleges, has left 16,000 students without certificates or degrees. The risk that the same could happen here does not seem even to be acknowledged by the Government. The Government’s commitment to diversifying the sector will be undermined by introducing this additional risk for students, because the loss of reputation will send a very negative ripple across the whole sector and abroad.

Students are at the heart of the Bill, yet it is students who will suffer if private providers that are going to be given the benefit of the doubt with probationary DAPs cannot deliver, or go under. A recent QAA report highlighted the importance of new entrants working closely with existing providers through the well-established validation procedures. On the whole, these validation arrangements have worked very well and we have not been offered any convincing evidence to the contrary. Indeed, my noble friend Lady Cohen, whose university has successfully gone through this process, said that it worked well and that they learned a lot from it. Of course, if the Bill can improve these validation relationships for the benefit of students, so much the better.

I can understand that potential entrants to the market are frustrated that they have to prove themselves against strict criteria. But it is surely far better for students, and probably in the long term for the providers themselves, that there are high standards for entry which minimise the risk of institutional failure. Why do we need to fast-track? It is not as if we are desperately short of universities. There are around 130 well-established institutions; nor are we short of alternative providers. Nobody seems to know the exact figure, although I hope the Bill’s provisions on registration will correct that. The DfE thinks that there are about 400 which receive some sort of taxpayer funding. A much smaller number has been awarded degree-awarding powers. So far these providers have made a limited contribution to diversity. They are focused largely on law, business and finance, and BPP, we were told, is going into nursing. They are mostly in London and the south-east, rather than in the so-called cold spots, where provision is limited or non-existent. That is scarcely surprising as they need to be in the more lucrative markets to satisfy shareholders of the business’s viability. I do not see that that is changing, even if these new arrangements are introduced.

Finally, who really benefits from probationary DAPs? It is not students, who are essentially paying to be guinea pigs for a new provider; but possibly not even new providers, who may find the label “probationary” more of a challenge when recruiting students and staff than they might as new institutions with robust validation arrangements. I urge the Government to think extremely carefully about this. In doing that I support Amendments 251, 252 and 259.