Higher Education and Research Bill (Fourth sitting)

Valerie Vaz Excerpts

Committee Debate: 4th sitting: House of Commons
Thursday 8th September 2016 Public Bill Committees

[The Chair]

We now begin line-by-line consideration of the Bill. To curry favour from the start, I should say that Members may, if they so wish, take off their jackets. I remind Members that mobile phones should be switched to silent or turned off.

As a matter of form, I also remind Members that my fellow Chair Sir Edward Leigh and I do not intend to call starred amendments. The required notice for Public Bill Committee amendments is three days, which in effect means that amendments should be tabled by the rise of the House on Monday for consideration on Thursday, and by the rise of the House on Thursday for consideration on the following Tuesday. The Clerks will circulate a note shortly on the arrangements that will apply during the forthcoming recess.

The selection list for today’s amendments is available in the room and on the website. It shows the selection of amendments that I have made, and their groupings. Today, I intend to call first the Member who has put his or her name to the leading amendment in the group. Other Members are then free to catch my eye accordingly. Members may speak more than once in a single debate, should they so wish.

At the end of the debate, I shall again call the Member who moved the leading amendment in the group. Before any such Members sit down, they will need to indicate to me whether they intend to withdraw the amendment or to press it to a decision by the Committee. Any Member who wishes to press any other amendment or new clause in a group to a vote needs to let me know, because some amendments are not decided on in the order of their consideration in Committee, but are taken at a later date, as are new clauses that have been grouped. Let me know at that stage if any amendments in the group are to be taken further, and they will be dealt with at the appropriate point in the Bill or at the end. Decisions on new clauses, as I have said, will be taken at the end of the Bill, so after consideration of clause 113.

I shall use my discretion to determine whether we are to have clause stand part debates following the initial debates on amendments.

Clause 1

The Office for Students

[Valerie Vaz (Walsall South) (Lab)]

I beg to move amendment 119, in clause 1, page 1, line 5, leave out “Office for Students” and insert “Office for Higher Education”.

[The Chair]

With this it will be convenient to discuss the following:

Amendment 120, in clause 1, page 1, line 6, leave out “OfS” and insert “OfHE”.

Amendment 121, in clause 1, page 1, line 7, leave out “OfS” and insert “OfHE”.

[Valerie Vaz]

Thank you, Mr Hanson. It is a pleasure to serve under your chairmanship. My amendment is intended to be helpful; obviously, if Members do not like what I say, they can just trash me in the press. “Office for Students” is a misnomer. First, this body is not about being an office for students; as various clauses make clear, the body is about registration and regulation—a registration procedure—and not about students. It is certainly not about having students as part of the office for students.

Secondly, from the written and oral evidence given to the Committee, the situation of postgraduate students has clearly not been acknowledged or mentioned in setting up this body, and, with the new changes in the Government, we now have two responsible Departments. Postgraduates do a fantastic job of not only research, but teaching, so they are split between the two. There is a gap there, which has been acknowledged. Postgraduate students have to be somewhere in the Bill.

Furthermore, there is nothing about subject-specific support—the strategic and vulnerable subjects, which require a higher level of funding. That is why I say that this body is not about students. There is nothing about skills, the skills deficit or protecting the STEM subjects of science, technology, engineering and maths. I liken the office for students to the Care Quality Commission. This is like calling the CQC the “office for patients” when its responsibility is not actually about that, but about regulating healthcare providers.

The office for students appears to set up regulation and registration processes. We can see in the Bill a power to impose monetary penalties and a power for the suspension of registration. Higher education providers will have to pay for the benefit of being part of the register. If we continue to look through the Bill, we see clauses titled “De-registration by the OfS” and “De-registration by the OfS: procedure”. Higher education providers are going to be spending all their time on bureaucracy, and all that money will be taken away from front-line services—away from the students themselves. That is why I say, again, that it is not about students.

According to clause 2(2), the Secretary of State has to give guidance. Again, there is no clarity. We need to change that, because we now have two Secretaries of State. If the OFS was for students it would be about fees protection, because students who were having to face bills of £27,000 are now being provided with invoices for £45,000. It would also be about students’ wellbeing, the skills shortage, retraining, returners, and all those people who do not classify themselves as students as we imagine them to be. Our time as a student is actually a very short part of our lives. There are people who do not fit the student mould, yet who will be students at some stage during their lifetime.

I want to pick up on the Minister’s remarks earlier about my being the only one who wants to pause the Bill. I do so because I am a lawyer, and was a Government lawyer. It is important to have clarity on the face of the Bill. Currently, that is not the case. The Minister helpfully told us that he has been living with the Bill for 14 months. I sympathise with him on that, but there have been a lot of changes, not least the new grammar school policy that might be coming through. What happens at the early stages of education filters up. The abolition of the Office for Fair Access and what happens to young people as they go through the education system will have a great impact. I know that it is not part of the programme motion, and I have been told that we cannot discuss this, but what happened on 23 June is vital. I say again that the machinery of Government changes.

There is no clarity on the face of the Bill. “Office for Students” is a misnomer. I would prefer to work with the Minister to find another way to describe the body, not least because it is not about students.

[The Minister for Universities, Science, Research and Innovation (Joseph Johnson)]

I echo the hon. Lady’s pleasure at serving under your chairmanship, Mr Hanson.

I shall move straight to the points raised by the amendment, with which I fundamentally disagree. I do, though, appreciate the hon. Lady’s efforts to be helpful and am pleased to have a chance to address the points she made. The Bill sets out a programme of reforms for higher education that will improve quality and choice for students. It will encourage competition and allow for consistent and fair oversight.

As I said when I gave evidence to the Committee this morning, there have been several significant changes to the higher education system since the last legislation was introduced to overhaul the regulation of the sector, all the way back in 1992. The majority of funding for the system used to come directly from the Government, in the form of grants. We have now moved to a system in which students themselves fund their studies.

The regulation of the sector clearly needs to keep pace with developments if confidence, as well as our international reputation and standing, are to be maintained, so we need an HE regulator that is focused on protecting students’ interests, promoting fair access and ensuring the value for money of their investment in higher education. That has been a central tenet of Government reforms since the publication of the 2011 White Paper, “Students at the Heart of the System”. Ensuring that the student interest is at the centre of the sector’s systems and structures is a cardinal principle of our approach.

--- Later in debate ---

[Joseph Johnson]

I thank my hon. Friend for his point. That is right. HEFCE is a brilliant body. As we discussed this morning, it was set up in 1992 as the successor body to the Universities Funding Council. It is in the tradition of being a funding council at a time when the Government no longer principally funds the universities, so it is doing its job in a regulatory environment that reflects a bygone era. We need a regulatory structure that reflects the fact that students are now the primary funders of their education through the student loan system. This is a market, as recognised in law, so we need a market regulator. The office for students is the body that we believe is best placed to do that.

A change of name of the kind that the hon. Member for Walsall South suggests would go against the main principles that we are trying to achieve through these reforms. I note that none of the stakeholders who gave evidence to the Committee on Tuesday or today asked for a change of name.

As a regulator, the OFS will need to build relationships across the sector. Part of its duties will be thinking about the health and sustainability of the HE sector. However, that does not change the fact that the new market regulator should have students at its heart, and I believe that the name of the organisation needs to reflect that. For that reason, I ask that the hon. Lady withdraws her amendment.

[Valerie Vaz]

The stakeholders may not have asked for it, but that does not mean that people cannot have an idea of their own, take soundings or look at the face of the Bill and see what strikes them. I have not missed the point, as the Minister said, because clause 2(1)(b) says that the OFS is needed

“to encourage competition between English higher education providers in connection with the provision of higher education”.

Anything to do with students, universities or higher education is also about collaboration and public good. I wanted to flag up the fact that the name, as it currently stands, does not incorporate the idea of putting students at the heart of it, for reasons that I will not go through again. It is open to very clever civil servants to come up with something that reflects this debate. With that, I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Clause 1 ordered to stand part of the Bill.

Schedule 1

The Office for Students

[Wes Streeting (Ilford North) (Lab)]

I beg to move amendment 2, in schedule 1, page 63, line 17, leave out “twelve” and insert “ten”.

This amendment would maintain the maximum number of OfS members as twelve when taken together with amendment 3.