Lifelong Learning (Higher Education Fee Limits) Bill

Debate between Lord Willetts and Lord Storey

Monday 10th July 2023 Grand Committee

[Lord Willetts (Con)]

My Lords, I shall indeed ask some further questions of the Minister arising from the proposal in this amendment, because I think that it is aimed at learning as much as possible about this very bold initiative. First, following on from some of the points made by the noble Baroness, Lady Twycross, how will this scheme interact with employer spending? Clearly there are upsides and downsides. It is possible that the ability to spend some money from this loan alongside spending from an employer will make vocational courses and provision viable when they otherwise would not have been, and that is a good thing. On the other hand, there is the risk of some employers shedding their responsibilities and expecting an employee to use this loan scheme to finance training that they would otherwise have funded. It would help a lot of us if in her answers—they are always very helpful and informative—the Minister could explain exactly how the Government envisage they are going to monitor and manage that process so we know how we get the best possible outcome of the extra total spend on training and not the worst outcome, which would be the taxpayer simply picking up more of the bill with no increase in the total. Any indications on how employer spending might react would be very helpful.

Secondly, on the provision of courses offered by higher and further education providers, the Minister will know that I am interested in one possible use of this scheme being that at last we have a clear indication of public finance through loans for four years of higher education. Of course, that could be taken at different points over someone’s life in lots of different engagements with higher education, but equally, it could be four years in one go. If she could offer an indication of the Government’s support for that way in which students could benefit, it would be helpful.

I hesitate to add any suggestions of uncertainty when there is quite a lot of cross-party consensus on this issue, but it would be understandable if some people young thought “I don’t know how long this lifelong loan scheme is going to be around; if I’m currently eligible for it, I am going to take my chance now and get on with it rather than necessarily being confident it’s going to be around in 20 years’ time when I’m at a different stage of my career”. Being clear on the opportunity for people to take a four-year loan now would be helpful, and I hope the Minister can inform the Committee further on that.

[Lord Storey (LD)]

I rise to support my noble friend Lord Addington’s amendment. I want to tease out of the Minister some answers on sharia law and its effect on accessing education opportunities for all. I was with a group of about a dozen Somali women on Sunday. They have that conflict between faith and education. The Minister will remember that in 2014—nine years ago—the Government published a report on Islamic finance in the UK that acknowledged the lack of an alternative financial product to conventional student loans. It was a matter of concern. The report also identified a solution: a frequently used non-interest-bearing Muslim financial product. The Government explicitly supported the introduction of such a product. However, since then no sharia law-compliant student finance scheme has been made available. Why not, Minister, and what we are going to do about it?

Higher Education and Research Bill

Debate between Lord Willetts and Lord Storey

Report: 2nd sitting (Hansard): House of Lords
Wednesday 8th March 2017 Lords Chamber

[Lord Storey]

My Lords, I too thank the Government for their amendments, which are much needed and beneficial. I have put my name to Amendment 116A because the four-year period is absolutely right. As the noble Baroness, Lady Wolf, has said, it would enable students to go through a cycle of university education and into the labour market. There would then be feedback and we could see clearly whether any issues needed ironing out before that awarding status is given. Feedback should also include things such as facilities: for example, the quality of the library and, dare I say it, perhaps the quality of teaching as well.

I apologise for just throwing this out—it may be that I have missed it—but perhaps I may take the liberty of asking the Minister this. If a private provider gets degree-awarding status and, goodness forbid, that provider goes into liquidation, what happens to the student loans that have been taken out? Will the Government guarantee that they can get those loans back, so that they can pay for the course somewhere else?

[Lord Willetts (Con)]

My Lords, I briefly intervene in this debate to welcome the proposals that the Government have now brought before us. There is, as we recognised in debates at earlier stages, always a balance to be struck. On the one hand is protecting the interests of students, which must be paramount, and the reputation of British higher education as a whole. On the other hand, the fact is that most of the innovation and advances in higher education in England have occurred as a result of new providers coming in and doing things differently. The history of the growth in, and success of, higher education in our country has been that doing things differently from the start is easier than changing an existing body. The arrangements in the new clause today get that balance right.

If anything, the process will now be more rigorous and defined than the kind of process that we had when decisions on degree-awarding powers and university title were taken by, among other bodies, the Privy Council on advice. This is superior to what went before. I feel a bit wary of referring to the 1960s now that the noble Baroness, Lady Wolf, has referred to them. But the fact is that one of the most exciting experiments in the growth of higher education in this country in the 1960s was when universities got their title and degree-awarding powers from the very beginning. We should not be far more restrictive than we were then.

Higher Education and Research Bill

Debate between Lord Willetts and Lord Storey

Committee: 3rd sitting (Hansard): House of Lords
Monday 16th January 2017 Lords Chamber

[Lord Storey]

The Bill creates separate regulatory and funding bodies for teaching and research and in so doing risks undermining the positive interaction of teaching, research and innovation activity in our universities. The Government have gone some way to address this problem by giving the OfS a new duty to monitor the financial sustainability of the sector and by publishing a note on joint working between the Office for Students and UKRI. However, the Bill could do more to deliver what the higher education White Paper promised: that the OfS would take a holistic view of the sector and institutions. The Office for Students should have the same power to provide advice to Ministers without the specific instruction to do so that is being proposed for UKRI. I beg to move.

[Lord Willetts]

My Lords, briefly, the thought behind the amendment makes a lot of sense. Currently we have had for decades close exchange between Ministers and HEFCE; it goes both ways, and the point I tried to make earlier is that we should not regard all that as equivalent of passing a statutory instrument through Parliament. It is important that Ministers can communicate their concerns to HEFCE and its successor bodies, but it is equally important that the communication goes the other way. I hope that we may hear from Ministers that they believe it will still be possible for these communications to happen, and anything that assures us that that flow of ideas and information in both directions will continue in the new dispensation will, I think, be welcomed by noble Lords on all sides of the Committee.