Higher Education Fees Debate

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Higher Education Fees

Andrew Bridgen Excerpts
Thursday 9th December 2010

(14 years ago)

Commons Chamber
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John Denham Portrait Mr Denham
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No, I do not. If the hon. Lady will forgive me, I will come to that point in a moment.

As a result of these Tory policies, this country will stand alone with Romania as the only OECD countries cutting investment in higher education. The Prime Minister’s speech yesterday, which was meant to be a defence of this policy, shows that he does not understand the most basic features of his policy. The fee increases are not designed to raise extra money for universities. That was Labour’s scheme—we took the difficult decision to introduce top-up fees, to add to record university income, and to enable more students to go to better-funded universities. The Prime Minister’s plan, put forward by the Business Secretary, is totally different. Fees are being trebled simply to reduce the 80% cut in the funding of university teaching, not to raise extra money. Most graduates will be asked not to pay something towards their university education, but to pay the entire cost of their university education. Universities will have to charge £7,000 to £8,000 simply to replace the money they lose, and many universities will lose 90% of their public funding. That is what is at stake today .

If the House passes the fee increase, English students and graduates will face the highest fees of any public university system anywhere in the developed world: higher than France, higher than Germany, and higher—yes—than the United States of America.

Andrew Bridgen Portrait Andrew Bridgen (North West Leicestershire) (Con)
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Will the right hon. Gentleman welcome the fact that the repayments threshold is being increased to £21,000, and the fact that anyone earning less than £25,000 a year will pay less than £1 a day for university education?

John Denham Portrait Mr Denham
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I will come to that in a moment. It is on the standard handout. Let me say first, however, that the hon. Gentleman may not realise that the increase to £21,000 will happen in 2016, when it will be worth, in real terms, precisely what our threshold was worth when we introduced it.

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Andrew Bridgen Portrait Andrew Bridgen
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Does my hon. Friend agree that a graduate tax would act as a massive incentive for our brightest and best graduates to leave this country and pay tax elsewhere?

David Evennett Portrait Mr Evennett
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My hon. Friend makes the absolute point, outlining one of the many reasons why it would be a terrible mistake to go along that route. The Opposition are always going backwards, and this is an example of their doing so yet again. Time is short in this debate, because so many hon. Members wish to participate, but I must say that the disadvantages of the graduate tax are many and varied, and we should cast it into the dustbin, as the Government have done.

Members on both sides of the House must accept that things need to change. We do not like change sometimes, but it is necessary and this is an example of its importance—[Interruption.] But progress is not being made. Many disadvantaged children in London are not getting into university under the current system, and we need to change that. We want to give them the opportunity to do so. The new system has to be fairer to ensure that those young people have opportunities to go to the colleges and universities, as we want them to do.

I am a passionate supporter of more part-time and foundation degrees, and I am encouraged by the approach taken by the Open university. I recently discussed this with its vice-chancellor, Martin Bean, and learned of his enthusiasm for and commitment to providing a completely different student experience. We welcome that, because flexibility and an innovative approach are what we need. That is what these proposals are about, and it will not do for Opposition Front Benchers just to waffle vaguely on the key issues. The need for change is here, we have to look forward and we have to be progressive. That is what we are looking for. We want to ensure that there is fair access for people. That is what the Government believe in; we believe in opportunities for the future.

The Government accept the broad principles of the Browne review, with some amendments to make it more acceptable to the vast majority of young people who want to go into higher education. This reform package will offer more support to those on lower incomes, and will put higher education funding on a fairer and sustainable footing. It will be fair to students, taxpayers and universities—we must not forget that all those people have an interest and are involved. The Government’s proposals go a long way to achieving all that, because they are progressive and will aid social mobility. [Interruption.] Opposition Members make sedentary comments, but they do not want to listen. They failed to get social mobility in the 13 years that they were in government; we have put forward more policies in the past five or six months to do more than they did in 13 years. Our aim must be to create a stable future for higher education, and to encourage a genuine market that will provide academic excellence and reinforce the international success of British universities. That is what we are about in this House and this measure today, and I commend it to everybody.

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Barry Sheerman Portrait Mr Sheerman
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I listened very carefully to that. It is an interesting idea. The timetable that the Government have put on this procedure means that we will not be able to consider serious ideas such as that.

I have some reservations about a graduate tax. The Select Committee has considered a graduate tax, as have other people, but there are some formidable difficulties with it. That is not to say that a graduate tax is impossible, but I can honestly say that we have not had time to develop it fully. That is true. In the same way, the proposals on which we will be voting today have not been thought through or mulled over, and the consequences of them have not been considered.

Someone asked what procedure we would like there to be. We have a procedure, which involves introducing a piece of legislation, publishing a Green Paper and discussing the proposals. When the Government have firmed up their ideas, a White Paper is published. During that process, there is discussion with the people who work in universities, who study in universities and who do wonderful research in our universities. There is actually discussion with the community. Can hon. Members imagine not talking to people in any other sectors on which we legislate?

Andrew Bridgen Portrait Andrew Bridgen
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I thought we just did talk to the electorate. We had a general election and the hon. Gentleman’s party lost.

Barry Sheerman Portrait Mr Sheerman
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We tend to get passionate in debates on such things. In fact nobody won the election. The Conservative party did not win the election because it did not get a majority. I was reflecting on that matter. When I used to teach politics in a university, I can remember many people arguing that it would be wonderful to have a coalition because it would temper the debate. People would not rush into daft policy because the minority party would say, “Hold your horses. We’re not sure of this. Let’s think carefully, let’s do research and let’s talk to the people in the sector.” That is what we thought a coalition Government might do. I do not know if I was ever really persuaded of what a coalition would do. I believe that coalition Government leads to weak leadership, weak Government and some people getting their way by trampling on democracy. The higher education sector in this country is the best in the world. I think it is better than in America. The US might get more international students but, pound for pound, professor for professor, student for student, we have the best system in the world.

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Ben Gummer Portrait Ben Gummer
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I am afraid that I do not get the full gist of the hon. Lady’s intervention. All I know is that every single study that has been done on social mobility and the gap between rich and poor under the previous Government has shown a slowing of social mobility and a widening of the gap.

Andrew Bridgen Portrait Andrew Bridgen
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Will my hon. Friend give way?

Ben Gummer Portrait Ben Gummer
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I will take one more intervention.

Andrew Bridgen Portrait Andrew Bridgen
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The right hon. Member for Sheffield, Brightside and Hillsborough (Mr Blunkett) made an impassioned speech about social mobility, claiming that he knew more about it than anyone else. Perhaps he does, because he knows that social mobility runs in both directions given his extremely chequered history in office.

Ben Gummer Portrait Ben Gummer
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I happen to be one of the Government Members who admires the right hon. Member for Sheffield, Brightside and Hillsborough for the forthright way in which he stuck up for his principles in the previous Government. His passion is shared on both sides of the House, and I hope that we can contribute to the debate in that manner.

To my mind, the question is threefold. First, how do we widen and maintain access to higher education and participation across the spectrum? Secondly, as the hon. Member for Huddersfield said, how do we maintain and increase funding for our excellent universities? Thirdly, how do we do this within the boundary of the deficit? That has been forgotten by Labour Members and the fact is that if we do not deal with the deficit now, there will not be an economy and there will be no jobs into which graduates can go. There is no point, therefore, in constructing a policy that does not create jobs at the end of the road.

I address this issue critically and with some scepticism because some years ago I was in favour of free tuition. I have talked to the students in my constituency and I have talked to those at the new university in my constituency, and I have had very productive discussions with both groups. I pay tribute to those at the students union of university campus Suffolk, who have taken a very constructive approach. They understand the difficulty that the country is in, and understand also that students must make a contribution of some degree. They and I, and many Government Members and Labour Members, agree that whatever scheme comes in must ensure that access is widened. That is the litmus test. Within that, we must also ensure that funding is maintained for universities. The proposals put forward at the weekend will mean that the 25% of poorest students will do better under this system than under the current one, as was confirmed this morning by the IFS in a radio interview on the “Today” programme. That is the positive effect on social mobility, and it therefore ticks that box.

What, then, of university funding? University campus Suffolk is about 18 months or two years old. It is one of the newest higher education institutions in the country. It is a fantastic institution. For one that is still so young, it is already building several excellent areas of research capability, especially in regenerative medicine. I pay tribute to the provost, Mike Sacks, who is an inspirational man. I had a long discussion with him and, for me, the continuation of university campus Suffolk is critical to my voting in favour of these proposals; if that will not be the case, I cannot support them. I raised that point with him the other day and he felt that the degree of Government funding should be slightly more. However, on the basis of what he has been told and the comprehensive spending review, he said, “I am confident as I can be that we can move forward with our plans and ambitions under the proposed scheme.” I therefore feel confident, apropos the institution in my constituency, that I can support these proposals, because the leaders of the university have the ability to do the extraordinary things that they plan with the scheme that is on the table.

I have several questions for the Minister, to which I hope he will reply at some point. I have an issue about how foundation courses will be dealt with. I should like to understand about long courses, not only those in medicine but those such as architecture where it might be problematic for small practices to pay students’ fees in later years. We need a bit more clarity about visas for international students so that international income can be guaranteed. The data and transparency side of the deal must be fleshed out a bit so that students can understand what they are getting into.

I have one final question, and that is about an alternative. Many Government Members, while listening to these debates, have asked to see what alternative there is. Some alternatives have been put forward by the NUS. Its alternative seems to change every few weeks, but at least it has one. It seems that the Leader of the Opposition also understood that there had to be an alternative. He said on 29 June:

“You’re right to point out the practical issues… and that is why I want to consult widely before publishing detailed plans later this year.”

We now have a few weeks left before the end of this year, and I have not seen a detailed plan. For those coalition colleagues who are having difficulty with this proposal, I understand their problem in many ways, because there is no alternative for them to consult. Her Majesty’s Opposition have provided nothing for them to look at. In the absence of that, we must look at the plans that have been given.

Let me offer some counterfactuals. Do we cut university funding and not increase fees? If we put student fees up only to £5,000, which was one option mooted by Labour Members, Universities UK suggests that student numbers would go down by 25%. Alternatively, do we go for a graduate tax? The Leader of the Opposition has suggested that a graduate tax would appear to be so like a student loan system that it is hard to understand the difference between the two.