Technical and Further Education Bill

Lindsay Hoyle Excerpts

3rd reading: House of Commons & Legislative Grand Committee: House of Commons & Report stage: House of Commons
Monday 9th January 2017 Commons Chamber

[Gordon Marsden]

I beg to move amendment 1, page 8, line 4, at end add—

‘(3) Before an education administrator may perform functions specified in subsection (2), they must ensure an appropriate assessment is made and published of the impact of performing such functions, including, but not restricted, to—

(a) the impact on the quality of education provided to existing students of the further education body;

(b) the capacity of another body or institution to undertake any additional functions or provide education to additional students;

(c) the infrastructure of the local area, in particular transport;

(d) the ability of students to travel to another body or institution; and

(e) any financial impact on those students, including the cost of travel by students to attend another body or institution, and steps to mitigate those impacts.

(4) The Secretary of State shall make regulations to specify suitable bodies for making the assessments at subsection (3).

(5) Regulations made under subsection (4)—

(a) shall be made by statutory instrument; and

(b) shall be subject to annulment in pursuance of a resolution of either House of Parliament.”

This amendment would ensure that an appropriate assessment is made of any potential impacts on students and their education, if an education administrator puts a further education body into “special administration” and takes action such as transferring students to another institution or keeps an insolvent institution open for existing students. This amendment would also require the Secretary of State to specify suitable bodies to perform such assessments.

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

With this it will be convenient to discuss the following:

Amendment 2, in clause 18, page 9, line 15, at end insert—

“(e) suspend the Office for Students protection action for students.”

This amendment would give the court the power to suspend Office for Students’ student protection action for the period of insolvency in which the education administrator has responsibility for the management of an FE body .

Amendment 3, in clause 28, page 13, line 2, at end insert—

‘(1A) Sums guaranteed under subsection (1) shall include statutory pension obligations payable to staff employed by a further education body subject to an education administration order.”

This amendment would ensure that staff employed by an FE college continue to accrue statutory Teachers Pension Scheme and Local Government Pension Scheme pension obligations? during an education administration.

Amendment 22, in schedule 2, page 30, line 39, at end insert—

“3A The education administrator may not transfer assets of any further education body to a for-profit private company where he or she considers that more than half of the funding of the acquisition of the asset came from public funds.”

This amendment would ensure further education bodies with a track record of accruing assets publicly, could not be transferred to a for-profit private company.

[Gordon Marsden]

May I wish you a happy new year, Mr Deputy Speaker?

We turn to the extremely important part of the Bill, which is one of the reasons why the Bill is in the form it is. I shall deal with that in a moment or two when discussing amendments 2 and 3. First, I wish to focus on the importance of clause 14 and of the Government’s welcome introduction into the Bill of the role of the education administrator. Although we welcome that, we want to probe, as we did in Committee, just how it is going to work in practice, and that is the purpose of amendment 1. It is extremely important to remember the end product we are all aiming at. We hope—and I believe, as I am sure the Minister does—that the number of occasions when the detailed insolvency provisions laid out in the second part of the Bill will be required will be as few as possible. Shortly, I will suggest why I think they are particularly necessary and deal with some of the related issues.

This amendment would ensure that an appropriate assessment is made of any potential impact on students and their education if an education administrator puts a further education body into special administration and takes action such as transferring students to another institution or keeps an insolvent institution open for existing students. It would also require the Secretary of State to specify suitable bodies to perform such assessments. The amendment has been tabled at the urging of the National Society of Apprentices and it touches on an area where the Minister and I have common ground: the importance of understanding what the end product of this new education administrator is all about. He or she is there to provide protections and support that would not be available in a traditional insolvency process. That is extremely important in terms of the position of young people, particularly those who might be at college as part of their apprenticeship or of other training.

I wish to speak particularly to the proposed new subsections 3(c), 3(d) and 3(e) set out in our amendment. One thing that the NSOA’s research has shown—this was in 2014 and the figure may well have increased since—is that apprentices spend, on average, about £24 a week on travel, which equates to a quarter of the salary of an apprentice earning the apprentice national minimum wage. Additional research has indicated that some young people were choosing the apprenticeships they could afford to get to, rather than those they were keen to do. In the light of the area review process in England and the creation of fewer, more resilient colleges, we are concerned about the impact on those potential apprentices in terms of their travel time between provider, employer and home. We have had our disagreements with the Government over that review process and will doubtless continue to probe them strongly on it.

The Opposition believe it is important that the Institute for Apprenticeships and Technical Education takes a clear and early lead role in encouraging local authorities and transport companies to ensure that all young people, including apprentices, are covered by travel concessions. Without a high-profile champion for their needs, apprentices can too often be excluded from such concessions, because apprenticeships are perceived as employment rather than education and are excluded from the relevant definitions. The crux of the amendment is to ensure that the entitlement that the Bill gives to students to continue their education works in practice. The ambitions of the provisions on special administration are noble; the amendment is intended to be a safeguard against any unintended consequences.

--- Later in debate ---

20:59

Division 116

Ayes: 183

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Labour: 174
Liberal Democrat: 5
Ulster Unionist Party: 2
Green Party: 1
Social Democratic & Labour Party: 1

Noes: 278

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Conservative: 274
Democratic Unionist Party: 4

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

I will now suspend the House for no more than five minutes in order to make a decision on certification. The Division bells will be rung two minutes before the House resumes. Following my certification, the Government will table the appropriate consent motions, copies of which will be shortly available in the Vote Office and will be distributed by the Doorkeepers.

On resuming—

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

I can now inform the House of my decision about certification. For the purposes of Standing Order No. 83L(2), I have certified clauses 2 to 38 of, and schedules 2 to 4 to, the Technical and Further Education Bill as relating exclusively to England and Wales and within devolved legislative competence, and clause 1 of, and schedule 1 to, the Bill as relating exclusively to England and within devolved legislative competence. Copies of my certificate are available in the Vote Office.

Under Standing Order No. 83M, consent motions are therefore required for the Bill to proceed. Does the Minister intend to move the consent motions?

[Robert Halfon]

indicated assent.

The House forthwith resolved itself into the Legislative Grand Committee (England and Wales) (Standing Order No. 83M).

[Mr Lindsay Hoyle in the Chair]

[The Chairman of Ways and Means (Mr Lindsay Hoyle)]

I remind hon. Members that if there are Divisions, only Members representing constituencies in England and Wales may vote on the consent motion for England and Wales, and only Members representing constituencies in England may vote on the consent motion for England. As the knife has fallen, there can be no debate

Motion made, and Question put forthwith (Standing Order No. 83M(5)),

That the Committee consents to the following certified clauses of the Technical and Further Education Bill:

Clauses certified under Standing Order No. 83L(2) as relating exclusively to England and Wales and being within devolved legislative competence

Clauses 2 to 38 of, and Schedules 2 to 4 to, the Technical and Further Education Bill.—(Robert Halfon.)

Question agreed to.

The House forthwith resolved itself into the Legislative Grand Committee (England) (Standing Order No. 83M(4)(d)).

Motion made, and Question put forthwith (Standing Order No. 83M(4)(d)),

That the Committee consents to the following certified clauses of the Technical and Further Education Bill:

Clauses certified under Standing Order No. 83L(2) as relating exclusively to England and being within devolved legislative competence

Clause 1 of, and schedule 1 to, the Technical and Further Education Bill.—(Robert Halfon.)

Question agreed to.

The occupant of the Chair left the Chair to report the decisions of the Committees (Standing Order No. 83M(6)).

The Deputy Speaker resumed the Chair; decisions reported.

[Pete Wishart (Perth and North Perthshire) (SNP)]

On a point of order, Mr Deputy Speaker. I am sure that the House was greatly entertained by the farce that we have just witnessed. I hope that during the adjournment, you had the opportunity to take advantage of the facilities here and even make yourself a nice cup of tea, Mr Deputy Speaker, because it was a completely and utterly pointless waste of time.

Because of the way in which the programme motion has been designed and because of the lack of time available, it has not been possible for the Legislative Grand Committee to consider all these important English-only measures. Given that English votes for English laws is supposed to be of paramount importance and one of the main innovations of this Parliament, is it not disappointing that English Members have not had the opportunity to lend an English—

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. I think the hon. Gentleman and I both know, first, that that is not a point of order and, secondly, that an important debate took place today, and it was regarded as important to have a special debate on health as well. The fact is, however, that time has gone. The House agreed to the rules and they have now been applied. Going over all that is not going to change anything. I thank the hon. Gentleman for raising the point of order and he has now put his point on the record. The bottom line is, however, that these are the rules that the House has chosen, as he well knows. That is the end of it. We move on to Third Reading. Perhaps time for a cup of tea. [Interruption.] Order. If you have a problem, Mr Wishart, you should pursue it through the usual and proper channels. The fact is that you did not raise a point of order, as you well know. I know it was not a point of order and you know it was not, which was why you raised it. The bottom line is this: if you do not like it, go and get your cup of tea while the House gets on with the business.