Universities: Financial Sustainability

Viscount Hanworth Excerpts
Tuesday 21st May 2024

(6 months, 1 week ago)

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Baroness Barran Portrait Baroness Barran (Con)
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With respect to my noble friend, he makes a very speculative statement, which makes it pretty hard for me to comment on it.

Viscount Hanworth Portrait Viscount Hanworth (Lab)
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The Minister is doubtless aware that the pension fund of university lecturers is mainly invested in Thames Water. Traditionally, the munificence of the university pension scheme was regarded as a compensation for penurious academic salaries. Is the Minister aware of how difficult it will now be to attract people of talent into the profession, given the collapse of the pension scheme?

Baroness Barran Portrait Baroness Barran (Con)
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Obviously, the pension scheme is an element, but I am not aware that the entitlement of university lecturers is changing. Clearly, it is up to individual institutions to make themselves as attractive as possible to academic staff.

Higher Education

Viscount Hanworth Excerpts
Thursday 7th March 2024

(8 months, 3 weeks ago)

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Viscount Hanworth Portrait Viscount Hanworth (Lab)
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My Lords, it is a familiar aspersion that the scientific and technological innovations that occur in our universities are too slow in giving rise to practical industrial applications that might sustain our economic growth and prosperity. It has been suggested that much of the fault lies with the universities: the academics appear unwilling to become engaged in promoting the fruits of their research, which is a much less attractive activity than pursuing the research. I contend that much of the fault lies elsewhere. Britain’s industrial sector is so attenuated that it is hardly in a position to benefit from the fruits of applied research. Those fruits are gathered mainly by other nations.

There are abundant examples of this. It applies, in particular, in the cases of inventions that are capable of contributing to what is optimistically described as the green revolution. A tragic example concerns the battery technology on which electric vehicles depend. The lithium-ion battery was the invention of a British scientist, but the dominant manufacturers of batteries are in the Far East. There is an optimistic notion that, although we are severely behind in establishing British manufacturers of batteries, we are nevertheless in a good position to exploit future technical developments in this area. We are sponsoring academic research to this purpose. However, the support from the Government is pitiful. It is provided in research grants, which are small sums of money available for only three years at a time.

There is also a failure on the part of civil servants and others to recognise that much of any research effort is bound to run to waste. This accounts for the very stinting provision of financial support and the alacrity with which scientific and technological projects are cancelled. Often, they are cancelled at the very point when they reach fruition. An example concerns the British advanced gas-cooled reactor. It suffered a long and expensive process of development, but when the technology had been perfected it was abandoned in favour of an American pressurised water reactor, which is the Sizewell B reactor. We may be in the act of perpetrating the same folly by abandoning the small modular British reactor in favour of an American reactor for which we shall not have to bear the costs of development.

In Britain there has traditionally been an uncomfortable distinction between the arts and humanities on the one hand and science and technology on the other. This has been sustained by a distinction between a gentlemanly university education and a technical education deemed to be more appropriate to the working masses. This was reflected in the distinction between universities and colleges of technology.

The 1956 White Paper on technical education proposed the creation of 10 colleges of advanced technology, albeit that the number had originally been 25. This reflected the anxiety that universities were not adequately fulfilling the role of technical education. In the Robbins report of 1963, it was proposed that these colleges, which had been under the control of local authorities, should become chartered universities. The proposal was greatly welcomed by the Labour Party, which had decried the seeming class distinction between a university education and a technical education.

Of course, I applaud the removal of any such distinction. However, the change has been to the detriment of technical education. The erstwhile colleges of advanced technology and the polytechnics, which became universities in 1966, have abandoned much of their original mission. This is partly because they have been catering to consumer demand, but it is also for financial reasons. A course in the arts and the social sciences or a course that teaches commercial skills is much cheaper to run than a fully fledged technical or scientific course.

Our universities are suffering from perilous ill health. They are understaffed by academics who are severely overworked. The academics have lost a large proportion of their real income, and their pension rights have been severely affected by the disastrous investments of the universities superannuation fund. It has been raided on successive occasions to finance the early retirement of staff, in consequence of successive rounds of cuts.

Recently, a large proportion of the university staff were European nationals. Since Brexit, they have ceased to come in such large numbers. The temporary employment contracts, to which the majority of new university staff are subject, are not attractive to them. The income from overseas students is now set to decline. The exceptions are liable to be in departments of engineering and computer science, which continue to attract large numbers of foreign students. They will carry their skills back to their native countries, with which we may no longer be able to compete in economic terms.

All told, these circumstances evince a profound sense of pessimism.

Universities: Nuclear Energy Sector Skills

Viscount Hanworth Excerpts
Thursday 7th December 2023

(11 months, 3 weeks ago)

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Lord True Portrait The Lord Privy Seal (Lord True) (Con)
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There is plenty of time for everybody, if we show the normal courtesies and go round the Chamber.

Viscount Hanworth Portrait Viscount Hanworth (Lab)
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My Lords, I understand that a memorandum of understanding has been signed with the United Arab Emirates to provide it with nuclear technology; if we do not provide it with that technology, the Russians most certainly will. The technology will be of no use unless there are trained personnel to mediate it. Do we intend to train those UAE personnel? If so, where and when should the training begin?

Baroness Barran Portrait Baroness Barran (Con)
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The noble Viscount will have to forgive me; I am not familiar with the details on that, but I would be happy to write to him.

Higher Education: Financial Pressures

Viscount Hanworth Excerpts
Thursday 30th March 2023

(1 year, 8 months ago)

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Viscount Hanworth Portrait Viscount Hanworth (Lab)
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My Lords, I intend to talk about the internal consequences for universities of their financial crises. The number of universities running financial deficits has increased in recent years. The proportion of providers with a yearly deficit has increased from 5% in 2015-16 to 32% in 2019-20; the figures for the subsequent academic years will undoubtedly be far worse. The deficits can be attributed to the declining values in real terms of the fee income received from students and of the grants from central government. The finances of universities have been sustained by the fees paid by overseas students, as we have heard. It had been feared that in consequence of the Covid pandemic there would be a major loss of the income from this source but, remarkably, it has been maintained.

However, it is by no means assured that the numbers of overseas students will be maintained. The recent increases have been attributable mainly to students from China and India, but our relations with the Governments of these countries are deteriorating and their students might be encouraged to go elsewhere. The number of students from the European Union has plummeted: there was a decline of 40% in applications for undergraduate study in the UK from EU countries in 2021-22, and the decline has continued.

A natural advantage of British universities, their use of the English language, is being eroded rapidly. It should be recognised that the majority of postgraduate courses in European universities are now taught in English. The fees demanded by those universities are much lower than British fees. Therefore, European universities are liable to be more attractive at the postgraduate level, at least to overseas students, than British universities, which also face competition from universities in other English-speaking countries.

The financial outlook is extremely worrying. A further factor in the financial difficulties of our universities has been a consequence of the Government’s decision, or desire, to make them compete among themselves in the recruitment of students. Instead of competing via the level of fees, universities have chosen to complete via the amenities they offer students. This has led them to capital expenditures that few can afford.

University administrations have reacted to the financial stringencies that have prevailed over many years by endeavouring to reduce their salary bills. University lecturers have, on average, lost 25% of their real incomes since 2009. I believe that that figure is way out of date as a consequence of current inflation. Meanwhile, the disparities in their incomes have increased, with the top earners moving rapidly ahead.

The collapsing value of the USS pension fund has led to the expectation that the retirement income of academics will be reduced by 35% relative to previous expectation. Whereas security of employment was a traditional compensation for the relatively modest earnings of academics, their employment has become increasingly insecure, with a large proportion of staff on short-term contracts. Academics who previously would have benefited from tenure are now subject to dismissal when the administrators judge that they have become surplus to requirements in consequence of restructuring plans.

The commercialisation of higher education has led universities to become increasingly responsive to consumer demand, and they have adapted their teaching accordingly by alleviating or abolishing difficult or demanding courses which are often at the core of the disciplines. The managements have aimed to expand the more profitable activities at the expense of the less profitable ones. Thus, at the University of Leicester, at which I am an emeritus professor, business studies, which represent a profitable cost centre, have been expanded while the mathematics department has been affected by numerous redundancies. This surely flies in the face of a widely recognised national priority to foster STEM subjects.

The academics have reacted to their loss of income and pension rights, and to their excessive workloads, by striking. In some cases, the reaction of the management to the strikes has been grotesque. Queen Mary University, my erstwhile university, has enjoined its students to report striking staff, while threatening to dock full pay for 39 days if those named fail to reschedule their missed teaching. Last July, it deducted 21 days’ full pay from more than 100 staff who had refused to mark students’ work in June as part of a national boycott. Their intention had been only to delay the marking. Staff have been resigning in protest.

Universities in the UK are chronically understaffed on the academic side, albeit the number of administrators has grown to outnumber the academics. The lack of academic manpower has been met by employing postgraduate students to teach classes, which is not always done adequately.

The governance of universities by professional administrators is in marked contrast to the circumstances that prevailed when I joined the academic ranks in the 1970s. Then, the administration of universities was in the hands of senior academics and academics who had opted to serve their universities in an administrative capacity instead of pursuing a research career. Such people are no longer available for this role; the likelihood is that they have been weeded out in consequence of their poor research performance. The hypertrophy of the administration has largely been a consequence of the audits demanded by governments in pursuit of transparency and accountability. There is a research excellence framework, a teaching excellence framework and, latterly, a knowledge exchange framework, each of which has engendered its own bureaucracy.

Academics no longer have any ownership of the processes they mediate, and their loyalty to their institutions has largely been destroyed. Nowadays, the academics and the administrators constitute mutually hostile factions. What has transpired is an old-fashioned and atavistic struggle of the management against the workers. We are witnessing the rapid decline of British universities.

Initial Teacher Training

Viscount Hanworth Excerpts
Thursday 18th November 2021

(3 years ago)

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Lord Lexden Portrait Lord Lexden (Con)
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My Lords, I offer a few comments on some of the important issues that are the subject of this debate—for which we are so indebted to the noble Baroness, Lady Donaghy—drawing on the perspective of the Independent Schools Council, whose member schools, I am pleased to say, work today in ever-increasing and ever-closer partnership with their colleagues in maintained schools. Just this week, the latest account of partnership between them has been published. It reports on nearly 6,000 cross-sector schemes that are forging ahead, covering a wealth of activities from rigorous academic study to orchestral concerts, drama and sport.

I declare my interests as a former general secretary of the council, which works on behalf of some 1,400 schools, and as the current president of the Independent Schools Association, one of the council’s constituent bodies, which has some 570 of those schools in its membership. The association’s members are for the most part notably small schools, often having no more than 200 pupils, with deep roots in the local communities they serve. The council’s member schools as a whole have on average fewer than 400 pupils. They therefore differ in size from so many of their counterparts in the maintained sector—an important factor that tends to be insufficiently recognised and has an important bearing on the subject of this debate.

The council’s schools have long been involved in helping to train our country’s teachers and, year by year, they reaffirm their commitment to their work in this crucial area. Teachers trained in them can gain qualified teacher status and complete the statutory induction year under arrangements agreed with the Department for Education—by me, as it happens, with the support of the noble Baroness, Lady Morris of Yardley. This enables the teachers they train to take jobs in either maintained or independent schools. Whenever I see the noble Baroness, Lady Morris, I think of the early days of partnership, which began under not a Conservative but a Labour Government.

So schools within the Independent Schools Council contribute significantly to replenishing and enlarging the teaching profession. They have perhaps a particularly important role in helping to train subject specialists in shortage subjects, such as maths and physics—a role that is widely recognised for its importance to the country as a whole.

As we all agree, our education system today needs more teachers, trained to high standards, not least to assist recovery from the pandemic. The Government were right to review the existing state of initial teacher training at this particularly important juncture and to bring forward proposals designed to help to improve the system. The proposals should bring significant benefits in some respects, but in others they create grounds for concern so widely exhibited during this debate.

Despite my noble friend Lord Kirkham’s comments, is the compulsory reaccreditation of providers really sensible, particularly at this point, when schools are so preoccupied with recovery from the pandemic? The tight timetable that is contemplated might well lead to serious disruption—some refer to the likelihood of chaos—and a fall in the number of training opportunities. Would it not be better to trust the continued work of Ofsted, despite the criticisms that have been made of it, in ensuring that providers are of high quality, taking full account of the latest evidence?

A second area of concern, felt particularly keenly in independent schools, is the requirement to follow a single core content framework in the teacher-training curriculum in order to gain accreditation as a provider of initial teacher training. Independent schools have a well-established track record of provision, including through employment-based routes, delivered in ways that suit their size and capacities. The requirements of the proposed framework are likely to prove too inflexible for many of them and throw doubt on their ability to continue training specialists in shortage subjects, despite their strong desire to maintain their traditional role in this area. It would be a loss that our country could ill afford.

There are other difficulties as well. It would be hard for many independent schools to release experienced staff to take part in the intensive training that they will need to undergo in order to fulfil the role of mentors in a system changed in the way that is being proposed. Far too little time is being allowed to prepare for the substantial changes that the proposals entail.

Schools belonging to the Independent Schools Council want to make the greatest possible contribution to teacher training. I hope that those elements of the Government’s reform proposals that could impede their full participation in the future will be carefully re-examined before final decisions are made. This is, after all, another sphere in which partnership between the two education sectors can achieve so much, to their mutual benefit and our country’s.

Viscount Hanworth Portrait Viscount Hanworth (Lab)
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My Lords, the teaching profession is highly esteemed in many European countries. I have witnessed this in France, Germany, Austria, and the Netherlands. It is not so in Britain, where the status of teachers has suffered a steep decline since the 1960s.

In the perception of the public at large, the status of teachers is equivalent to that of social workers. It is no exaggeration to say that teachers have been the victims of a culture war. The Labour Party has been generally supportive of teachers. A previous Labour Government made a commitment to raise their status to that of senior consultants and surgeons by 2006. Animosity towards teachers and their supposed political orientation has been forthcoming from the right wing of the Conservative Party and from the allied press. They are liable to accuse teachers of being proponents of a so-called woke culture that, supposedly, intimidates people into assenting to liberal or left-wing opinions.

At present, teachers and schools within the state-maintained sector are suffering considerable stress. The available funds have long been inadequate for maintaining the fabric of schools and their supplies of consumables. The pay of teachers is inadequate. Their workload is excessive and there are acute problems with the recruitment and retention of teachers. It is against this background that the Government have decided to overhaul the system of teacher training and the induction of newly qualified teachers into the profession.

A requirement that all teachers in state-maintained schools should be university graduates was imposed in the autumn of 1970 in fulfilment of the recommendation of William Plowden. What ensued was a variety of routes towards qualified teacher status or QTS. It became possible to obtain QTS in the course of a three-year degree that had a component of teacher training. The degree could be that of a bachelor of education, a bachelor of arts or a bachelor of science. Graduates who had not obtained qualified teacher status as an adjunct to their degrees were able to obtain it via a postgraduate certificate of education—PGCE—that resulted from following a course that was typically of one year’s duration.

The Teaching and Higher Education Act 1998 imposed a requirement that all newly qualified teachers should undergo a period of statutory induction. The requirements of the induction have been revised and extended via subsequent acts and regulations, and the present Government are intent on a radical overhaul of the regulations which will extend the induction period to two years. This will be part of an early career framework. Given their service in maintaining teacher training over many decades, one might have expected universities and institutions of higher and further education to be charged with overseeing the system. The new arrangements could be expected to profit from their knowledge and experience.

Instead, the Government have decided to side-step these organisations and establish a wholly new structure of so-called appropriate bodies to provide independent quality assurance of the statutory induction. For some time, the Government have been calling into question the provision of initial teacher training by universities. They have allowed the universities to be bypassed by establishing the School Direct provision, which allows the initial teacher training of graduates, who have other work experience, to take place in schools. They have also established a system of school-centred initial teacher training that has bypassed the traditional providers of teacher training.

From 2021, the teaching practice associated with the PGCE and other modes of initial teacher training will take place in schools that will be subsumed under teaching school hubs. They are to be based in specially selected schools within multi-academy trusts that have been chosen by the Department for Education. The department has named 87 new teaching school hubs, including six that participated in a pilot project. Each will provide professional development in around 250 schools. The hubs replace a network of 750 teaching schools which will lose their designation and their government funding, resulting in an overall saving of £25 million.

There have been doubts about the adequacy of the provision of placements for trainees. There is an understanding that the Government are attempting, by these means, to align teacher training with their own nostrums. Throughout their period in power, the Conservative Government have been keen to abrogate to themselves the role of directing and regulating state-maintained education. Hitherto, the role has been taken by organisations at arm’s length from the Government. The Department for Education will now be charged with accrediting the provision of the new and extended statutory teacher induction. Schools will be allowed to devise their own courses, provided that they are approved, but it is expected that they will choose to work with one of six providers accredited and funded by the department. All bar one of these are recently established commercial organisations which will work under the guise of a charity.

Some of these organisations have already provided samples of their teaching materials on the web. These place an emphasis on classroom practice and attempt to instruct new teachers in how to maintain order and discipline. I have heard it said that much of this material is fatuous, but I hesitate to make my own judgment.

The early career framework engenders a vision in which newly qualified teachers undergo a benign induction under the tutelage of knowledgeable mentors. This vision is liable to be confounded when confronted by the realities that prevail in our schools.

Reports from the pilot studies suggest that, given the straitened circumstances within which they are operating, schools will be unwilling to recruit young trainee teachers in view of the burdens they will bring with them. Instead, schools may prefer to rely on young teachers supplied by agencies, which are liable to deduct substantial fees from their pay. The advantage of schools employing young teachers under such arrangements is that they can avoid paying sickness and holiday pay and pension contributions, a material consideration when money is scarce. Schools can release such teachers at the end of the school term or even before, thereby circumventing the agency regulations that give the teachers security of employment if they serve for more than 12 weeks. These circumstances, which are severely disadvantageous to early career teachers, must already account for a large proportion of the wastage whereby they leave the profession prematurely without securing permanent posts.

In view of the recent accumulation of their powers, and of the opportunity to pursue new and exciting initiatives, many people within the Department for Education are subject to a dangerous degree of optimism and self-congratulation. I fear that they are undertaking projects that will severely unsettle and damage the state education system.

Education: Teacher Departures

Viscount Hanworth Excerpts
Wednesday 3rd November 2021

(3 years ago)

Lords Chamber
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Asked by
Viscount Hanworth Portrait Viscount Hanworth
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To ask Her Majesty’s Government what assessment they have made of the extent of departures of early career teachers from the teaching profession; and what plans they have to address the causes of such departures.

Baroness Barran Portrait The Parliamentary Under-Secretary of State, Department for Education (Baroness Barran) (Con)
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My Lords, retention of early career teachers is a priority. About 20% of teachers leave the profession in the first two years after qualifying. We have addressed this through introducing the early career framework—the most significant reform to teaching since it became a graduate-only profession—backed by substantial extra investment. This is a funded, two-year support package for new teachers, providing them with the early career support enjoyed by other top professionals.

Viscount Hanworth Portrait Viscount Hanworth (Lab)
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I am thankful for that Answer. Yes, the Government’s own statistics show that 20% of new teachers leave the profession within the first two years of teaching, and 33% leave within the first five years. I imagine that, far from being seen as a benign approach to their induction into a school, the early career framework could be regarded by teachers as a further burden. One of the principal reasons why young teachers leave the profession is their failure to secure permanent positions; they are constrained to work as supply teachers for wages that are diminished by the fees of the agencies and without the support of sickness or holiday pay or pension contributions. Do the Government intend to address those problems?