Higher and Further Education

John Healey Excerpts

Tuesday 11th September 2012 Commons Chamber

[Shabana Mahmood]

I thank my hon. Friend for his question, which the Government have managed to duck through their refusal to introduce a higher education Bill in this Parliament. Frankly, they were taught a very hard lesson on the Health and Social Care Bill and other reforms that they have tried to make, so they have bottled it on higher education, which means that there are regulatory gaps in the system. I and others in the sector have warned that regulation is incredibly important to the reputation of our higher education sector, and that the Government should not miss an opportunity to ensure that the regulatory system for all providers of higher education in our country is robust and represents a fair and level playing field.

The core and margin model further undermines the idea of student choice. The policy makes a mockery of the Minister’s ambition to put students at the heart of the system, because it artificially takes places away from institutions that have high demand for their courses, to much lower-demand colleges. It is incoherent, hypocritical, bad for students and bad for universities. Alongside the core and margin model, the Government have removed a number of controls for recruitment at grades AAB as a result of the plan to go down to ABB next year. Again, the implementation of the numbers control policy poses a threat to the stability of the higher education sector.

[John Healey (Wentworth and Dearne) (Lab)]

My hon. Friend is making a very powerful critique of the chaos caused by recent policies. We have two very fine universities in Sheffield in south Yorkshire. Sheffield Hallam university has told me, just as she has said, that the problem is that

“the goalposts were moved often and late this year…This made it difficult for potential students to decide where they might want to go and difficult for Universities to be precise about what they could offer and how many places they had.”

Does my hon. Friend recognise those problems, which are being caused by the Government’s policies?

[Shabana Mahmood]

I thank my right hon. Friend for his intervention. In fact, I visited Sheffield Hallam university during universities week and the academic staff I met made exactly the same point to me. The way in which the Government have gone about making their changes to higher education, with the introduction of the core and margin model after applications had been made and after fees for the academic year had been set, was chaotic, caused universities no end of difficulties and is absolutely not the way to treat a world-class higher education system.

Last year’s estimate of the number of students who would fall into the grade AAB category was 20,000 lower than what transpired when the results came out a few weeks ago. That places a considerable burden on the student support budget, which cannot properly be planned, and risks exacerbating funding pressures on top of the points that my hon. Friend has made about Sheffield Hallam university.

There is a considerable risk that the nature of equivalent qualifications—a distinction for a BTEC, for example, will be counted in with the AAB-plus grading—means that estimates will be very difficult to calculate and are highly likely to be inaccurate. This adds yet more uncertainty and instability to a sector already fraught with upheaval. Institutions will lose out, budgets will not stretch, and services and support for students will be put under significant strain.

The early indication is that the policy is not working. The vice-chancellor of Southampton told the press last week that his university, which was meant to benefit from the AAB policy, has been struggling to recruit and is about 600 students down. I have visited Southampton university with my hon. Friend the shadow Business Secretary. It is an excellent institution and I am sorry to see that it is facing such difficult circumstances as a result of the Government’s ill-thought-out and ill-planned policies.

On the heels of the trebling of tuition fees and the scrapping of the education maintenance allowance from 2013-14, the Government are withdrawing the support that they offer for people aged 24 or over who take A-level equivalent courses and above, and are introducing a system of loans for further education students. These could be as much as £4,000 a year. Course fees are expected to rise dramatically as colleges look to recoup the money they lose from Government funding. At present, the Government provide about 50% of the funding for such courses, so this mirrors the problems that occurred as a result of their disastrous changes to higher education loans. According to the Skills Funding Agency’s figures, about 376,000 people took such courses in 2010-11. The changes could have a real and damaging effect on social mobility and on individuals’ career and job prospects. It is an attack on aspiration and on people trying to get on. Many of those taking level 3 qualifications missed out on the opportunities the first time around and may come from disadvantaged backgrounds.