Draft Higher Education (Fee Limits and Student Support) (England) (Coronavirus) (revocation) regulations 2020
Michelle Donelan Excerpts(4 years, 2 months ago)
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The Minister for Universities (Michelle Donelan)
I beg to move,
That the Committee has considered the draft Higher Education (Fee Limits and Student Support) (England) (Coronavirus) (Revocation) Regulations 2020.
The background to the regulations is as follows. On 4 May 2020, the Secretary of State for Education announced a package of stabilisation measures for the higher education sector in response to the covid-19 pandemic. One such measure was the introduction of temporary student number controls—SNCs. Following the onset of the pandemic, it was expected that fewer international students would travel to start their first year of study in England in academic year 2020-21. That was in addition to an already known demographic low of 18-year-olds, and the risk of a high number of deferrals from domestic students. If that had happened, the higher education sector would have suffered a drop in fee income that would have had significant financial implications for many providers.
In the early part of the year, we became aware of aggressive recruitment practices being employed by some higher education providers, which sought to make up the potential shortfall in student numbers and income by offering places to students to whom they would not have normally and ordinarily made offers. For example, they made wholesale unconditional offers in March. That would have caused an uneven distribution of students, leaving some providers with fewer student and less income than they would have planned for. That would have left them extremely vulnerable in terms of their financial sustainability. To counter that risk, higher education providers in England were allocated an individual SNC—a set number of students that we believed constituted a fair maximum share of student recruitment for academic year 2020-21.
We also introduced the Higher Education (Fee Limits and Student Support) (England) (Coronavirus) Regulations 2020, which provided that if providers exceeded their individual SNC, they would face a reduction in the maximum tuition fees that they could charge for the academic year 2021-22. The regulations addressed the consequences of exceeding SNCs and the impact on the stability and sustainability of the higher education sector by reducing the sums available to the provider through the student finance system in the subsequent academic year.
In addition, providers in the devolved Administrations that provided courses to English-domiciled loan-funded students were also allocated an individual SNC. The regulations provided that recruitment beyond that number would result in a reduction in the maximum tuition fee loan available in the academic year 2021-22. The regulations, which we seek to revoke through the statutory instrument we are debating, set out in law what the reductions in the maximum tuition fee and tuition fee loan would be.
Those were short-term measures, designed to be in place for one academic year only, and were a necessary targeted response to the unprecedented circumstances caused by the covid-19 pandemic. However, as hon. Members will be aware, there were unexpected issues with the A-level grade algorithm, resulting in the decision to revert to centre assessment grades, where they were higher than the published calculated grade, to avoid some students receiving grades that did not reflect their prior performance. It then became clear than an unexpectedly high number of students had met the grades required to meet the conditions of the offer for their first choice place at university.
In large part, that was an issue of timing, with the move to centre assessment grades coming shortly after higher education providers had allocated the majority of their places. As a result, many providers were oversubscribed and would have been at risk of exceeding their SNCs if they honoured all of those offers—through no fault of their own. We therefore announced our intention to remove the temporary SNCs for the coming academic year—a decision that was widely welcomed by the sector and hon. Members on both sides of the House.
The introduction of today’s regulations, which revoke the original regulations, means that the temporary SNCs that were previously notified to providers will no longer apply, and nor will the financial consequences of exceeding an SNC, which would be unfair in these unique circumstances.
Michelle Donelan
I thank the hon. Lady for supporting the spirit behind the revocation, as well as the purpose of the original regulations.
In terms of our exams policy for next year, the Secretary of State asked Qfqual to look into that back in June, well before Labour ever campaigned for any change. A great deal of work is being done by the Department for Education and Qfqual to ensure that we have the necessary plan B in place for those students who may end up self-isolating or under restrictions while examinations are conducted next year. No one is in any doubt about what students have been through in the past few months, and continue to go through, and that understanding will be at heart of that joint work to ensure that exams are fairly assessed. We will ensure that the futures of those students can be unlocked in higher education, further education or the wider world of employment.
We keep future SNCs under review, working closely with the devolved Administrations, as the hon. Lady requested. It is important that we keep everything on the table because we are in the midst of global pandemic, and we need to plan accordingly and be live to issues in response to the sector’s needs.
The covid-pandemic has been disruptive to every sector of society, and as universities Minister, I will do everything I can to maintain stability.
Emma Hardy
I am grateful for the answer about discussions with the devolved nations. Before the Minister concludes, could she say something about the analysis of the impact of the removal of the SNCs on university finances and student numbers? What will be done to prevent aggressive recruitment practices in the following academic year? How will drop-out rates be monitored?
Michelle Donelan
I was going to come on to that, but as the hon. Lady is eager, I will address those questions now.
Drop-out rates are a matter of concern to me and the Department in any year. We want to ensure that students can access an education, continue it and complete it, so that they have a qualification that will unlock their future. I regularly talk to the sector about that in my weekly discussions with the higher education taskforce. I know that it is monitoring numbers. It is imperative that support is available to students on matters ranging from food, wellbeing and mental health, especially for those who are self-isolating, and that that is prioritised. Last week I wrote a letter to each university and provider on that very subject. I will work hand in hand with them to ensure that that support and guidance is given, and that it is communicated to students, so that they can continue on their educational journey.
On finances, back in May we announced our stabilisation package that assisted with cash flow, and brought forward some money, include QR funding to the tune of £100 million. That was in conjunction with the work of the Chancellor of Exchequer, who has provided according to my best estimate £700 million for loans and grants. We regularly monitor the financial health of all institutions, including those who were affected by the reversal to centre assessment grades in the summer, and that is done in conjunction with the Office for Students. As the hon. Lady will be aware, we have also introduced a restructuring regime that acts as a safety net for any institution that, having accessed all the other support available, is still in need of help. It is important to stress that, at this moment in time, no institution has self-referred to the restructuring regime, but it remains an avenue of opportunity.
As for preventing aggressive recruitment practices in the forthcoming year, many of my predecessors have written to institutions against the use of unconditional offers. I continue to reiterate that message to the sector, and that issue will be considered in our response to Augar. We will keep everything on the table next year as we deal with the pandemic and any fall-out that it may have on SNCs and such like.
Steve Brine (Winchester) (Con)
The Minister is a very good Minister and engages strongly with the sector, including the University of Winchester, which I am fortunate to represent. In terms of future student numbers, has she had any conversations about incentivising European Union students to come here? For a lot of universities and institutions, including my own, those students are a key part of the business model.
Michelle Donelan
Indeed. It is important to incentivise all international students. When we read the media reports a few months ago, it looked as though the numbers would drop off a cliff, but that has not happened. That is testimony to our fantastic institutions. Of course it is still early days in terms of the exact number of international students studying here, and some are currently studying remotely. We have a big draw for students inside and outside of the EU, and I have been working closely with our institutions on how we can continue to attract that fantastic talent to this country. That is important not just in terms of the economics but for the benefit of our society, culture and the enrichment of some of our domestic students at our universities.
The introduction of the temporary SNCs and the Higher Education (Fee Limits and Student Support) (England) (Coronavirus) Regulations 2020 were the right steps to ensure the stability and sustainability of the sector at the time. It is important for a Government to be flexible and adapt to an ever-changing situation, and particularly the current circumstances. The change to the A-level results meant that temporary SNCs could have discouraged providers from accepting all those students who met their offers and conditions. That would have been unfair to providers and, crucially, to those students. Therefore the original regulations were in no way suitable any longer. In those circumstances, it is right and fair that they no longer apply and that students who have met the conditions of their offer are able to go to their chosen university, and that providers can accept them without undue financial consequences. I therefore recommend the regulations to the Committee.
Question agreed to.
Oral Answers to Questions
Michelle Donelan Excerpts(4 years, 2 months ago)
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Richard Burgon (Leeds East) (Lab)
The Minister for Universities (Michelle Donelan)
The Government are working to ensure that all students have access to digital learning, including by helping providers to draw upon the existing funding of £256 million for the year 2020-21 to go towards the purchase of IT equipment and wider hardship support. The Government expect universities to continue to deliver high-quality academic experiences for all students.
Richard Burgon [V]
The Secretary of State should have seen the new analysis today that shows that infection rates on university campuses are up to seven times higher than those in surrounding areas. There are fears that this will spread the virus to higher-risk groups in the local community. The Government should have moved teaching online before term started, as the University and College Union recommended. Will the Minister accept the Government’s error in not doing so and instruct universities to move to online learning as the default? Or will she and the Government continue to play Russian roulette with the lives of students, staff and local communities?
Michelle Donelan
The Government have prioritised education. We do not believe it would be right to put students’ lives and academic journeys on hold. Although only a small proportion of university populations have covid, it is an awful experience for every student who is having to self-isolate, which is why it is so important that support—from providing food to mental health and wellbeing support—is there for those students. I was pleased to see the Universities UK statement last week detailing the sector’s commitment to that support, which is in line with exactly what the Government expect.
Emma Hardy (Kingston upon Hull West and Hessle) (Lab)
In the Education Select Committee sitting last Tuesday, the Minister was unable to answer how many students are self-isolating and therefore totally reliant on accessing digital and online learning. She was also unable to answer how many students have covid-19; how we will ensure that tests are available to students; when the two-week late “imminent” guidance, with robust frequently asked questions on students returning home for Christmas, will be published; or even how many students are currently learning only online. What impact does the Minister think her Government’s incompetence and inability to answer basic questions about covid-19 in our universities is having on the spread of the virus in university towns and cities?
Michelle Donelan
I will begin with the Christmas guidance, which is certainly not late—I am sure the hon. Lady will understand that it is important that we get this right. I am working with the sector, with a sub-working group—the taskforce—to identify the issues and ensure that comprehensive guidance is forthcoming. That commitment to students on Christmas remains. Around 9,000 students currently have covid. This is the data that has been sent to us by universities. It is the cumulative number of cases over the past seven days and is based on a student population of about 2 million. Public Health England informs us that 68 universities have outbreaks. We will go back to those universities to ascertain that data and, as of next week, working with the Office for Students, there will be a new data regime, which will be much more transparent.
Vicky Foxcroft (Lewisham, Deptford) (Lab)
Bim Afolami (Hitchin and Harpenden) (Con)
The Minister for Universities (Michelle Donelan)
We announced a package of measures in May to support the sector. We have also issued guidance on reopening, reflecting advice from the Scientific Advisory Group for Emergencies, and we have worked with universities to ensure that they have outbreak plans that are shared with their local Public Health England teams. We will shortly provide additional guidance on winter planning and end-of-term preparations.
Tom Randall
A constituent of mine who is also an associate lecturer at Nottingham Trent University wrote to me to say that a safe start to the new academic year would be a boost in a year that has been awful in so many ways. Why was it important to reopen universities? Does my hon. Friend agree with my constituent’s suggestion that specific testing and monitoring systems for universities might help to provide a safety net for very close-knit groups?
Michelle Donelan
This Government have prioritised education. We simply cannot ask students to put their lives, or their academic journeys, on hold. To do so would mean removing opportunities, damaging social mobility and punishing young people. The education and welfare of students is at the forefront of all our decisions. That is why we have worked and continue to work with the Department of Health and Social Care to ensure that students get access to tests if symptomatic so that the trace work can kick in immediately.
Bim Afolami
Last week I spoke to several constituents who are students at university. As per the Minister’s answer, I think it is fair to say that education and welfare, in many respects, leaves a lot to be desired. Could she and the Department help me to understand why several universities are not giving face-to-face teaching at all, even in an appropriate socially distanced way; are being extremely draconian in the way that certain students are being treated in terms of their social contact, which is a critical part of being at university; and, in some cases, are even charging £18 a day for food parcels? Could the Minister put appropriate pressure on universities—not all of them but those that are not performing—to sort this out?
Michelle Donelan
Universities are offering blended learning unless they have moved to a higher covid tier, in conjunction with their local Public Health England team. But let me be clear: no university should seek to profit from students self-isolating, and reported charges of £18 a day for food parcels are quite simply outrageous. Students self-isolating in catered halls should receive free food, while other students should receive food that is either free—as many universities, including Sheffield Hallam and Edge Hill, are doing—or at a price that can be afforded within a student’s budget. I have spoken to many universities on this, and I am also writing to them to make the point.
Sir David Amess (Southend West) (Con)
Virginia Crosbie (Ynys Môn) (Con)
The Minister for Universities (Michelle Donelan)
The Government encourage the study of science, technology, engineering and maths at all stages, which is vital for our economy and to drive productivity. In higher education, we are removing loan funding barriers for part-time STEM study at equivalent or lower levels and piloting graduate conversion courses for studying engineering, computer science and artificial intelligence.
Virginia Crosbie
In my constituency of Ynys Môn, I am working with Coleg Menai, M-SParc and the team at Bangor University to organise an innovation jobs fair. How is the Minister encouraging innovative companies such as Dyson to invest in the next generation?
Michelle Donelan
Dyson’s UK site is based just outside my constituency, and I must declare that it has twice sponsored the Wiltshire Festival of Engineering, which I have organised. I am delighted that, as of last week, the pioneering Dyson Institute will be able to award its own degrees. A business taking this step is revolutionary, and I hope that many more will follow, to give students a much more diverse choice in higher education and ensure that we can deliver the skills that this country needs.
Janet Daby (Lewisham East) (Lab)
Ben Lake (Ceredigion) (PC)
The Minister for Universities (Michelle Donelan)
We are working across Government and closely with the higher education sector to provide both practical and financial support through the covid-19 outbreak. This includes publishing reopening guidance to universities informed by SAGE advice, lifting caps on domestic medicine and dentistry causes for 2020-21, and providing both additional capital and teaching grant funding.
Ben Lake
I thank the Minister for her response. She may be aware of concerns that the impact of the covid pandemic on the student experience will see higher non-completion rates, despite the best efforts of students and staff to continue teaching and learning throughout the outbreak. If non-completion rates were to increase, would the Government consider allocating additional financial support to universities to help cover the costs of non-completion?
Michelle Donelan
We have a taskforce that meets weekly, and non-completion is something we have discussed. It is imperative that we support students to continue and complete their courses, and that we unlock their future potential and opportunities. This Government are determined to stand by them and ensure that happens.
Shaun Bailey (West Bromwich West) (Con)
Shaun Bailey
For students in the Black Country, T-levels and technical education will be a vital part of our story when coming out of this crisis. My further education providers are committed to ensuring that we get this right, but there is some concern about the work experience time allocation element. Will my hon. Friend meet me and representatives from my fantastic FE college, Sandwell College, to discuss how we can ensure that this system works for students in the Black Country?
The Minister for Universities (Michelle Donelan)
T-levels are a fantastic initiative that the Government have rolled out, and I will certainly speak to the Skills Minister and meet my hon. Friend to discuss how this issue can be sorted.
Oral Answers to Questions
Michelle Donelan Excerpts(4 years, 3 months ago)
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Holly Mumby-Croft (Scunthorpe) (Con)
The Minister for Universities (Michelle Donelan)
We are working across government and closely with the higher education sector, utilising the higher education taskforce I have created, to ensure that the vast majority of students who want to go to university this year can do so at the university their grades unlock.
Mr Sharma [V]
Universities need financial support to expand physical buildings and facilities and to fund the expansion of wellbeing and support services and other important areas of university life. Will the Secretary of State confirm that this additional support will be granted to ensure that his algorithm does not cost thousands of students their futures, and when will he do this?
Michelle Donelan
Last week in fact, we announced a £10 million capital fund to cover capital as well as equipment. This is on top of our announcement for additional funding to support high-cost subjects and the announcements we made in May for the sustainability of the sector and is supported by the package of £280 million from the Department for Business, Energy and Industrial Strategy.
Mr Dhesi
In a recent National Union of Students survey, 55% of students reported that the income of their parents or those who provided financial support to them had been negatively impacted by the coronavirus pandemic, and 80% were worried about how they would cope financially, not to mention since part-time jobs will be in short supply. Given that the university hardship funds were not designed for such demand, what extra provision will the Government make to ensure that universities can properly support students facing hardship?
Michelle Donelan
If a student is not already accessing the maximum loan and the income of their parents or carers has changed, they should fill in a change of income form with the Student Loans Company. On the hardship funds, we have worked with the Office for Students so that they can show more flexibility, and this will amount to £256 million for the coming academic year.
Holly Mumby-Croft
My constituent, Hannah Moat, is one of the top high-jump athletes in the UK and was on track to study psychology and criminology at Loughborough University. Unfortunately, owing to a clerical error that someone made when inputting her centre-assessed grade, she has so far been denied her place on that course. Will the Minister work with me to make sure that students such as Hannah who have been affected by administrative errors made by their schools will not be denied their place at university?
Michelle Donelan
I am really sorry to hear about the problems that Hannah is experiencing. The exam boards have committed to turning around appeals quickly, and Hannah and her school should inform the university of the situation. I have agreed with all universities that all students, including those successful on appeal, with the required grades will be offered a place at their first-choice university and that deferred places will be offered only as a last resort. Specific admissions cases are the responsibility of individual institutions, but I will alert Loughborough to this case.
Emma Hardy (Kingston upon Hull West and Hessle) (Lab)
I share the serious concerns of the Scientific Advisory Group for Emergencies that the annual mass migration of millions of students to university means that significant outbreaks of covid-19 are “highly likely”. Universities have worked hard to make campuses covid secure, but the Department must take responsibility and ownership of this crisis and recognise that most students live, work and socialise outside the campuses. When will universities and communities receive the updated guidance on safe reopening promised in a DFE press release late on Friday night? What additional testing capacity is being deployed to keep staff, students and communities safe, and will the Minister make a statement this week on the safe reopening of universities?
Michelle Donelan
SAGE did indeed publish its updated guidance on Friday, and the Government will issue updated guidance this week that supplements our original guidance of months ago. The safety and wellbeing of university staff and students is always our priority. As SAGE pointed out, there is also evidence that physical and mental health will be impacted if universities do not open. Universities have worked hard to ensure that they are well prepared for covid and have prioritised safety and wellbeing, including by introducing numerous social distancing and covid-secure measures.
Alison McGovern (Wirral South) (Lab)
Higher Education Student Finance
Michelle Donelan Excerpts(4 years, 5 months ago)
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The Minister for Universities (Michelle Donelan)
I am announcing details of student finance arrangements for higher education students undertaking a course of study in the 2021-22 academic year starting on 1 August 2021.
Maximum tuition fees for the 2021-22 academic year in England will be maintained at the levels that apply in the 2020-21 academic year, the fourth year in succession that fees have been frozen. This means that the maximum level of tuition fees for a standard full-time undergraduate course will remain at £9,250 for the 2021-22 academic year.
Maximum undergraduate loans for living costs will be increased by forecast inflation (3.1%) in 2021-22. And the same increase will apply to maximum grants for students with child or adult dependants who are attending full-time undergraduate courses in 2021-22.
We are also increasing support for students undertaking postgraduate courses in 2021-22. Maximum loans for students starting master’s degree and doctoral degree courses from 1 August 2021 onwards will be increased by forecast inflation (3.1%) in 2021-22.
I am also announcing today changes to disabled students’ allowance (DSA) that will increase flexibility for students to access the support that they need. The undergraduate DSA, which is currently structured as four separate sub-allowances, will be simplified into one allowance in line with the postgraduate DSA.
The same maximum allowance (£25,000) will apply to both full-time and part-time undergraduate and postgraduate DSA recipients in 2021-22. This will apply for both new and continuing students. An exception for travel costs will be made to this maximum cap, which means that travel costs will in effect continue to be uncapped.
I am announcing today that individuals who have been granted indefinite leave to remain as a bereaved partner, and resident in the United Kingdom and islands since the grant of such leave, will not be required to demonstrate three years’ ordinary residence in the United Kingdom and islands before the start of a course to qualify for student support and home fee status in relation to new higher education courses from 1 August 2021 onwards.
I am also announcing today that individuals in protection based categories (those with humanitarian protection leave, Calais leave, section 67 leave and stateless leave) starting or continuing higher education courses in 2021-22 will no longer be required to demonstrate three years’ ordinary residence in the United Kingdom and islands before the start of a course to qualify for student support and home fee status.
Further details of the student support package for 2021-22 are set out in the attached document.
I expect to lay regulations implementing changes to student finance for undergraduates and postgraduates for 2021-22 later in 2020. These regulations will be subject to parliamentary scrutiny.
The attachment can be viewed online at: http://www. parliament.uk/business/publications/written-questions-answers-statements/written-statement/Commons/2020-07-06/HCWS336/.
[HCWS336]
Draft Higher Education (Fee Limits and Student Support) (England) (Coronavirus) Regulations 2020
Michelle Donelan Excerpts(4 years, 5 months ago)
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The Minister for Universities (Michelle Donelan)
I beg to move,
That the Committee has considered the draft Higher Education (Fee Limits and Student Support) (England) (Coronavirus) Regulations 2020.
On 4 May 2020, the Secretary of State for Education announced a package of stabilisation measures for the higher education sector in response to the covid-19 pandemic, one of which was the introduction of temporary student number controls. Higher education providers in England and institutions in the devolved nations have been allocated individual SNCs—a set number of students that we believe constitutes a fair maximum share of student recruitment for the academic year 2020-21.
If a provider in England recruits beyond its SNC this coming year, the regulations provide for a reduction in the maximum tuition fees that it can charge for the academic year 2021-22, the percentage of which depends on the extent to which it has exceeded the SNC. If an institution is in a devolved nation and recruits English-domiciled students in excess of its SNC in the coming year, the maximum tuition fee loan amounts for the new entrants only will be reduced by the same percentages in the academic year 2021-22. The SNC reflects the maximum number of students that the Government consider reasonable for providers, based on the provider’s predicted growth or the national average for those with that forecast, plus an extra 5%, which will still generously allow for providers to grow.
The regulations will set out in law what the restrictions in the maximum tuition fee and tuition fee loan amounts will be. They simply allow the Government to redress the imbalance where a provider has gained extra taxpayer-funded income through aggressive recruitment practices this year. Such recruitment practices have threatened to destabilise the sector, and mean that some providers are at risk of collapse. The change in recruitment practices has the potential to be to the detriment of students who have been encouraged to accept an offer from a provider that may not best suit their needs.
It is right that the Government control the taxpayer-funded student loans system in this way. This is about the effective and appropriate distribution of public money during a time of unexpected financial crisis. Providers recruiting additional students aggressively secure the tuition fee income attached to them, and consequently disproportionally increase the public funding flowing to them through the taxpayer-funded student loans system.
The Government’s policy position is that it is reasonable to conclude that, where a provider has chosen to exceed its SNC, it has taken more than its fair share of taxpayer funding. The Government and the taxpayer should be able to redress that imbalance in the following academic year. The Government have chosen to address this issue through the fee system, as it is where we best have the ability to control the flow of public funds to higher education. These short-term measures are necessary as a targeted response to the unprecedented circumstances caused by the covid-19 pandemic. The regulations will be in place for only one academic year.
I recognise the concerns of colleagues across the devolved Administrations, who say that the UK Government are interfering in a devolved matter. I have to make it very clear that that is not the case. The funding of English-domiciled students is not a devolved matter. It is right and fair that the policy should apply as consistently as possible wherever they are studying in the UK.
Student number controls for institutions in the devolved nations apply only to English-domiciled students, whose tuition fees will be supported through Student Finance England. Providers in the devolved nations will continue to be free to set their own fees, as they do now. The UK Government simply determine the level of student finance available to support English-domiciled students. That is not encroaching on devolution; in fact, it respects it, while ensuring that the higher education system is stable, ensuring that students have a positive experience and that public money is spent in the most effective way possible as we seek to recover and rebuild following the covid-19 pandemic.
Michelle Donelan
I am grateful to the hon. Member for Kingston upon Hull West and Hessle for her contribution. I echo the sentiment she has expressed regarding the work that universities and the further education sector have done over the past few months to cope with the coronavirus pandemic, and the support they have given to both students and staff. I will try to address some of the questions that were raised.
The first question was about consultation with devolved Administrations. My right hon. Friend the Secretary of State for Education and I have had regular meetings with Ministers from all devolved Administrations about higher education issues. Those discussions included the development of student number control policies, and my officials have kept in regular contact with their counterparts, with weekly meetings and discussions. I will continue to work closely with the devolved Administrations on strengthening and stabilising the higher education system following the coronavirus pandemic. It is important to stress that we needed a policy that would be fair across the UK and would work in practice.
The hon. Lady pointed out discrepancies in way in which the figures are calculated. For an English institution, they are based on that institution’s projected figures if they have been submitted; otherwise, the sector average will be used. For the DAs, we went for the sector average plus an additional 5% to make the policy workable, because these are not the figures of their total student population but of their projected English-domiciled students, so it is a harder figure for them to have already submitted.
The hon. Lady also mentioned the impact on those students who come from disadvantaged backgrounds and may be accepting late offers. It is important to note that these SNCs are extremely generous in their allocations: they are not only based on the sector average or the individual institution’s predicted growth, but have a buffer of 5%. In addition, institutions in England can apply for at least 5,000 places for nursing and allied healthcare professional courses, and there is a 5,000-place allocation that they can bid into across the UK for specific courses. I believe that the ramifications of the fee structure we have outlined are proportionate.
I stress again that this is a temporary policy designed to help mitigate the challenges that the higher education sector faces because of the coronavirus pandemic. Its fundamental goal is to stabilise that sector and protect the interests of students. As we all know, the pandemic has been extremely disruptive to every sector of society, and as Minister of State for Universities, Science, Research and Innovation, I will continue to do everything I can to maintain the health of the higher education sector. The introduction of temporary SNCs, together with these regulations, is part of the Government’s actions to tackle this issue and ensure stability. These necessary steps will help to ensure that we can stabilise the sector, provide value for money for the taxpayer, and above all maintain freedom of choice and a positive higher education experience for all our students.
I commend the regulations to the Committee.
Question put and agreed to.
Student Support: England
Michelle Donelan Excerpts(4 years, 6 months ago)
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The Minister for Universities (Michelle Donelan)
I am today confirming the eligibility rules for EU, other EEA and Swiss nationals and their family members who wish to commence courses in England in the academic year starting in August 2021. Following our decision to leave the EU, EU, other EEA and Swiss nationals will no longer be eligible for home fee status, undergraduate, postgraduate and advanced learner financial support from Student Finance England for courses starting in academic year 2021/22. This change will also apply to further education funding for those aged 19+, and funding for apprenticeships. It will not affect students starting courses in academic year 2020/21, nor those EU, other EEA and Swiss nationals benefiting from citizens’ rights under the EU withdrawal agreement, EEA EFTA separation agreement or Swiss citizens’ rights agreement respectively. It will also not apply to Irish nationals living in the UK and Ireland whose right to study and to access benefits and services will be preserved on a reciprocal basis for UK and Irish nationals under the common travel area arrangement. EU, other EEA and Swiss students, staff and researchers make an important contribution to our universities. I want that contribution to continue and am confident—given the world-leading quality of our higher education sector—that it will.
[HCWS310]
Oral Answers to Questions
Michelle Donelan Excerpts(4 years, 6 months ago)
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Greg Smith (Buckingham) (Con)
The Minister for Universities (Michelle Donelan)
This month I appointed the UK’s first international education champion. Together we are working to provide reassurance that our internationally renowned, world-leading universities will be open, flexible and welcoming. We are also communicating the fact that we recently strengthened the UK’s offer by announcing the new graduate route.
Greg Smith
International students are extremely important to the University of Buckingham, making up over 40% of all students there. Will my hon. Friend work closely with the University of Buckingham and look at all possible measures to ensure that international students can fully participate as soon as possible in the first-class education the university has to offer?
Michelle Donelan
I certainly will. I am leading a two-tier covid response to attract international students: first, by working across government to remove and reduce the logistical barriers faced by students, including visa issues; and secondly, by communicating that the UK is open for business via advertising and open letters to international students, our embassies, and international media.
Emma Hardy (Kingston upon Hull West and Hessle) (Lab)
If I may, I would just like to offer a couple of words on Fred Jarvis, who, at 95 years old, was also a friend of mine—a formidable education campaigner. He taught me many, many things, one of them being, “Don’t ever patronise the elderly—they know more than any of the rest of us put together.” Bless you, Fred.
International students bring £20 billion to our economy, and global soft power and influence, the loss of which will not just damage our universities. I do recognise the uphill battle the Minister faces, hindered by a slow and ineffective Home Office and the heartbreaking reality that the UK’s covid-19 death toll is now the third highest in the world. So how will she ensure that our universities maintain capacity and sustain courses if international student numbers decline?
Michelle Donelan
As I have already outlined, we are working to help to mitigate the challenges that universities face, which are faced globally in the higher education sector. In addition, on 4 May we announced a sustainability package on top of the additional support that the Treasury had already announced—£700 million to the sector, including the job retention scheme and access to coronavirus loans. The package that we announced on 4 May also included bringing forward £100 million of quality-related funding for research because, as the hon. Lady will know, international students cross-subsidise research.
Dr Neil Hudson (Penrith and The Border) (Con)
The Minister for Universities (Michelle Donelan)
I recognise that university students and graduates are facing a number of challenges. In May, we announced a package of stabilisation measures, which ensures that we continue to look after the best interests of students as well as support our world-class higher education system. We are also working closely with the sector to support graduates.
Mohammad Yasin [V]
In addition to maintaining current commitments to widen participation and extend bursaries for students from disadvantaged backgrounds, will the Minister make sure that the necessary extra funding is provided so that universities such as the University of Bedfordshire can play a key role in retraining and reskilling young and mature students to meet the serious employment challenges ahead?
Michelle Donelan
The hon. Gentleman is quite right to say that access and participation are key priorities for this Government, and the Office for Students has launched access and participation measures for every institution. Higher education plays a key role in filling the skills needs of the economy, but so does further education, and our priority is to ensure quality provision and that students can make informed choices that are in the best interests of their career destinations.
Caroline Nokes (Romsey and Southampton North) (Con)
Neil O'Brien (Harborough) (Con)
The Minister for Universities (Michelle Donelan)
We are committed to enabling students to make the most informed decisions possible, tackling low-quality courses and ensuring that students and the taxpayer see a return on their investment. We want a high-quality, sustainable model that meets our skills needs and maintains our world-leading reputation.
Neil O'Brien
The Institute for Fiscal Studies found that for 30% of students, the economic return on their degree was negative both for them and for taxpayers. Surely with such clear economic evidence that so many young people would be better off if they took a different route, it is time to rebalance from just higher education to a stronger technical education system?
Michelle Donelan
It is important that students make as informed choices as possible from a range of high-quality courses, and university is not the only or the best route for certain careers. Some students may be better placed if they do higher technical qualifications or apprenticeships. That is why the Secretary of State is spearheading a revolution in further education in this country, including the introduction of T-levels.
Simon Baynes (Clwyd South) (Con)
Cat Smith (Lancaster and Fleetwood) (Lab)
The Minister for Universities (Michelle Donelan)
I can assure the hon. Member that I am anything but absent. As we have already announced, we launched a package on 4 May that included re-profiling £2.6 billion of tuition fee funding. We also brought forward £100 million of quality-related research funding, we stabilised the admissions system with student number controls, and we offered more support for students. That was all on top of access to the coronavirus job retention scheme and the business loan support scheme to the value of £700 million. I am more than happy to speak to the university in question directly.
Damien Moore (Southport) (Con)
Higher Education Stabilisation Package Draft Regulations
Michelle Donelan Excerpts(4 years, 6 months ago)
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The Minister for Universities (Michelle Donelan)
On 4 May 2020, the Secretary of State for Education (Gavin Williamson) announced a package of measures to protect students and higher education providers, in response to the coronavirus (covid-19) pandemic. This package was designed to stabilise university finances, including tuition fee income resulting from admissions, and to support our world-class higher education system to continue to deliver for all students and the wider economy.
One of the measures announced was temporary student number controls (SNCs) designed to prevent recruitment by providers taking a form which would be against the interests of students and the sector, yet still allow students who want to go to university, and meet their entry requirements, to access higher education.
I announced on 4 May that SNCs would be linked to the student finance system. I can confirm that I will be laying draft regulations before Parliament which provide that, where an SNC is exceeded in academic year 2020-21, providers in England which are subject to a tuition fee limit will have that limit reduced in the subsequent academic year. In the case of institutions in the devolved administrations which attract student loans for students from England, the maximum loan amount will be reduced in academic year 2021-22 where they exceed their SNC in academic year 2020-21.
These number controls are a response to the financial threat posed by the coronavirus pandemic. They aim to prevent large swings in the number of students between providers, with much higher levels of recruitment at some providers potentially leaving others in financial difficulty. They also aim to prevent recruitment practices which are against students’ best interests because they may encourage them to accept an offer from a provider that is not best suited to their needs.
On 1 June we published a policy statement setting out the detail of the SNCs. These will allow higher education providers to recruit, without the financial consequences referred to above, fulltime, undergraduate, UK-EU domiciled students (with certain exemptions) up to a set level, based on 2019-20 numbers and provider growth forecasts, and which allow additional growth of up to 5% in the next academic year.
In addition, providers can also apply for additional places, following the process set out in the policy statement. The Government will allocate an additional 10,000 places for strategically important subjects, with 5,000 of these ring-fenced for nursing, midwifery or allied health courses to support the country’s vital public services.
In the event that a provider does not abide by its student number controls, the Government will address the consequences for the stability and the sustainability of the higher education sector by reducing the sums available to the provider through the student finance system in the subsequent academic year. This will be through the introduction of lower fee limits in the academic year from 1 August 2021 for providers that recruit more students than their individual SNCs. Maximum tuition fee loan amounts available to English-domiciled students starting full-time courses at institutions in Scotland, Northern Ireland or Wales are also reduced in the same circumstances.
The Government therefore intend to lay draft regulations (the higher education (fee limits and student support) (England) (coronavirus) regulations 2020) before Parliament for their approval. These regulations will amend the legislation which prescribes tuition fee limits and tuition fee loan amounts.
These SNCs are in the best interests of the financial health of the higher education sector overall, and will help to ensure we can continue to look after the best interests of students, allowing them make well-informed choices that give them the best prospects for success in their lives and careers.
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Oral Answers to Questions
Michelle Donelan Excerpts(4 years, 9 months ago)
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Naz Shah (Bradford West) (Lab)
The Minister for Universities (Michelle Donelan)
The Secretary of State for Education, who is in fact an esteemed alumnus of Bradford University, has not discussed the potential merits of the university establishing a medical school with the Secretary of State for Health and Social Care. The Government provide grant funding for eligible higher education providers to contribute towards the cost of delivering medical degrees.
Naz Shah
The truth is that the last Conservative Government did not engage with any university in the whole of Yorkshire when they were planning their medical schools. Perhaps now, given that the Tory buzzword is “levelling up”, the Minister might level up Bradford University and Yorkshire, and work with and agree to meet the university, which is very ready to train up medics, given that post-Brexit Britain will have a skills shortage.
Michelle Donelan
The University of Bradford did contribute a bid in 2017. That process subsequently produced five brand new medical schools, which have increased our capacity by 1,500 medical places. Unfortunately, the University of Bradford’s application was unsuccessful, but it is not true to say that the Department did not engage with the university, and I am more than happy to visit it.
Harriett Baldwin (West Worcestershire) (Con)
It is wonderful to hear about the plans at the University of Bradford. In addition, the University of Worcester is developing plans for a three counties medical school, which would cover Worcestershire, Gloucestershire and Herefordshire. May I urge my hon. Friend also to look into working with the Department of Health and Social Care to support that bid?
Michelle Donelan
Thank you, Mr Speaker. We are excited about all the opportunities that are developing around the country. The NHS people plan, which has considered options for growing the medical workforce, will be published later this year.
John Mc Nally (Falkirk) (SNP)
The Minister for Universities (Michelle Donelan)
I stress that the UK remains open to participation in elements of Erasmus+ on a time-limited basis, provided that the terms are in the UK’s interests. The UK will consider a relationship in line with non-EU member state participation in certain EU programmes, including Horizon Europe.
Dr Whitford
As the Minister says herself, the proposal for the future EU relationship suggests that the Government will take part in only certain elements of Erasmus+ and only for a time-limited period. Will she explain what it is about the Erasmus+ scheme that the Secretary of State thinks is not beneficial? Why on earth would participation be on just a temporary basis?
Michelle Donelan
I am sure that we can all agree that the Erasmus scheme offers a wonderful opportunity for international mobility for students. However, it is vital that we utilise our exit from the European Union to ensure that such programmes deliver for everybody in our country, which is why we will make sure that we proceed in our best interests and why we will sign up only if it is on the terms of the UK’s interests.
John Mc Nally
The Scottish Government and partners have invested around £85 million in a state-of-the-art college campus in my constituency of Falkirk. Students from all over Europe attend the Forth Valley College. EU students bring a huge economic benefit to the college, Falkirk, Scotland and the UK, and they enrich our institutions, both culturally and academically. What steps has the Department taken to ensure that the UK remains open, attractive and competitive for EU students in the years ahead? I would like the Minister to develop her answer a wee bit more about what steps are being put in place.
Michelle Donelan
We are committed to remaining open to participating in elements of the Erasmus scheme, as I have pointed out. The Government are very positive about the benefits of students coming to this country, which was exactly why the Prime Minister announced that there will be a graduate option from 2021 so that graduates will be able to work in this country for the two years following their degree.
Carol Monaghan (Glasgow North West) (SNP)
I welcome the Minister to her place—and, indeed, all the new Ministers to their places.
Any participation in EU funding programmes will no doubt depend on the UK’s position regarding EU students. As universities are currently recruiting for the academic year starting in 2021, they need clear answers, so will the Minister confirm whether EU students will be treated as international students from 2021 in respect of their fee and immigration status?
Michelle Donelan
I am sure that the hon. Member can appreciate that the details are currently being negotiated. We will update the House as soon as possible.
Andrew Bridgen (North West Leicestershire) (Con)
It should be clear to the House that our universities have an enviable reputation around the world. Indeed, research and education are two of our greatest exports. In the light of that, what steps is the Minister taking to ensure that that success not only continues but increases?
Michelle Donelan
This is essential. We have a target for 2030 of 600,000 international students coming to this country. We do value their importance as an international facilitator in our education system.
Margaret Ferrier (Rutherglen and Hamilton West) (SNP)
A total of 32% of 15 to 30-year-olds from the UK can read and write in a foreign language, compared with 79% in France, 91% in Germany and an incredible 99% in Denmark. Does the Minister believe that cutting off access to programmes such as Erasmus will boost or further worsen those dismal figures?
Michelle Donelan
I am sorry that the hon. Member does not seem to have listened because we are going to try to participate in Erasmus, and nobody has talked today about cutting off our ability to do so.
Greg Smith (Buckingham) (Con)
Equality of Funding: Post-16 Education
Michelle Donelan Excerpts(4 years, 9 months ago)
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The Minister of State, Department for Education (Michelle Donelan)
I congratulate the hon. Member for Brighton, Kemptown (Lloyd Russell-Moyle) on securing this important debate. It is fantastic to see so many colleagues from across the House here today. The subject is of great interest to a number of our constituents up and down the country, so I welcome the debate, and I have listened to Members’ input.
Our excellent schools and colleges deliver high-quality provision for 16 to 19-year-olds, often alongside vital lifelong learning for adults, providing opportunities to retrain. Employers also play a vital role in supporting this country’s future, by preparing young people and adults to meet the challenges of the changing workplace. I pay tribute to the colleges and schools that have been mentioned throughout the debate.
Catherine West
Does the Minister accept that there is a co-ordinating role that should be played by local government in directing, and helping to bring together, the local picture around skills?
Michelle Donelan
There is indeed, but there is also a role for many different bodies and organisations to bring that picture together. Our colleges and schools should be at the heart of our local communities.
The Government are committed to improving the country’s education system, and recognise the importance of equality of funding, particularly for sixth forms—I myself am the product of a sixth-form college. We have increased funding for education for 16 to 19-year-olds by £400 million for 2020-21—a 7% increase in overall funding, and the biggest injection of new money in a single year since 2010. While I have heard the challenges referenced today, it is important to note that funding has increased faster for 16 to 19-year-olds than for schooling for 5 to 16-year-olds. That will allow us to raise the base rate of funding for all types of institutions, from £4,000 at present to £4,188 for the next academic year. I reiterate that I have heard the calls made today.
As part of the extra funding, the Government have committed to providing £120 million for more expensive and high-value subjects, along with £35 million to support students on level 3 courses who did not achieve a grade 4 in GCSE maths and/or English. The additional funding will ensure that we are able to continue building the skills that our country needs, and to invest in the next generation of young people.
We are also introducing T-levels. I noted the comment by the hon. Member for Brighton, Kemptown that we have had several debates on the subject, but the issue was raised by the hon. Member for Leeds North West (Alex Sobel). T-levels will be offered by a number of colleges that were spoken about today. We will be spending an additional £500 million a year on these new programmes, once they are fully rolled out.
Kate Green
On the subject of T-levels, one issue is creating a pathway for students who have not obtained the grades necessary at key stage 4 to go straight into the T-level. Obviously, the Government are interested in opening up that pathway for those students, many of whom could massively benefit in terms of social mobility by being able to move on to T-levels. Can she say what the Government are doing to clarify the pathway for those students?
Michelle Donelan
There will be a one-year transition course designed to target those students and make sure they are ready for T-levels. A T-level will not be right for every student, but it will provide an excellent pathway for further education, higher education, apprenticeships or going straight into the job market. We want as many people as possible to take T-levels, if those are suited to them.
To ensure that the institutions delivering T-levels have the up-to-date technical facilities and equipment required, we are also injecting capital funding. Earlier this month we announced up to £95 million for providers offering T-levels from 2021.
Capital funding was mentioned many times today. It is not just in relation to T-levels that we are increasing capital funding. We need to ensure local colleges are excellent places to learn, so we will invest £1.8 billion over five years to upgrade the FE estate. That was mentioned by the hon. Members for Brighton, Kemptown and for Croydon North (Steve Reed) among others. Sixth-form colleges and academies for 16 to 19-year-olds currently receive annual devolved capital allocations. They also either receive the school condition allocation or can bid for the condition improvement fund for larger projects. However, I have heard the calls today for a specific capital expansion fund, which came from my hon. Friend the Member for Colne Valley (Jason McCartney) and the hon. Member for Makerfield (Yvonne Fovargue), to mention but two. A full multi-year spending review is expected to be conducted in 2020, and that includes capital budgets for 2020-21.
The FE workforce is an important issue, because we need to secure the best outcomes for our students, and I always believe that that is reliant on the teachers who teach them. We need to give providers the ability to recruit, develop and retain the best staff. That is why we have invested more than £140 million in FE teachers and leaders since 2013-14. In the two years to March 2020, we will have invested up to £20 million to support providers as they prepare for the introduction of T-levels.
The hon. Member for Brighton, Kemptown and others, including the hon. Member for Croydon North, raised the issue of VAT. I recognise that that is a concern. As has been noted, sixth-form colleges can convert to 16-to-19 academies, which can resolve the issue, but we do keep it under review and will continue to monitor it.
Earlier this month, we announced a £24 million package for 2020-21 to strengthen the FE workforce. That includes a professional development offer for teachers delivering T-levels and funding to attract the best and most talented individuals, including industry professionals, into FE teaching.
The issue of mental health was raised by a number of hon. Members and, in particular, the hon. Members for Brighton, Kemptown and for West Ham (Ms Brown). I agree that we need to do more on that. It is a vital issue in our era. We have already provided more than £500 million to support disadvantaged students, but I can assure hon. Members here today that I will raise the topic with, and relay the concerns and comments to, the newly appointed Minister responsible for apprenticeships and skills—the Under-Secretary of State for Education, my hon. Friend the Member for Chichester (Gillian Keegan). My hon. Friend the Member for Rother Valley (Alexander Stafford), who unfortunately has had to leave the Chamber, mentioned the specific issue of a college closure in his constituency. Again, I will relay that issue to the Minister responsible for apprenticeships and skills and ensure that he has a meeting.
The issue of teacher pay came up. That is an issue when we are considering investment in our workforce and retention. It is not as simple as just ensuring that the teacher pay grant is in fact applied to colleges, because they are independent, so it is not necessarily appropriate, but we are concerned about this topic, and I know that the newly appointed Minister will be looking at it.
The hon. Member for St Helens South and Whiston (Ms Rimmer) brought up the issue of STEM and the fact that we need to be investing heavily in this sector to fill the skills gap. That is why, in 2020-21, we have made an additional £120 million available for the more expensive and high-value STEM subjects.
The investment that we are making in post-16 education will ensure that we can continue to develop a world-class education system to rival the systems of other countries, so that we have the highly skilled and productive workforce that we need for the future. The range and cost of the different programmes, the age and characteristics of students, and the types of institution that we fund all vary considerably. It is right that the amount of funding that different providers receive varies to reflect that.
Catherine West
The Minister is extremely generous in giving way. Will she just clarify the issue about education maintenance allowance?
Michelle Donelan
I will. Although we have moved away from that particular programme, the most vulnerable young people, in defined groups, do have access to up to £1,200 a year to support their participation costs, and I am happy to meet the hon. Member to discuss that in further detail.
It is a strength of our funding system that we are able to provide the funding for students and institutions when and where it is needed, to meet such a wide range of different circumstances and needs. The Government are doing much to level up funding for post-16 education, but I know that there is concern that it does not go far enough. The Raise the Rate campaign, especially in relation to sixth-form colleges, has done an excellent job in drawing attention to the financial pressures that some providers are experiencing. Sixth-form and wider post-16 education is incredibly important and something that we will reflect on in our input into the spending review.
A number of hon. Members mentioned that the settlement was only for one year. I point out that most areas of Government achieved only a one-year settlement and that this year’s spending review offers many more opportunities.
I finish by thanking again the hon. Member for Brighton, Kemptown and all the hon. Members who participated in this extremely important debate.