Posts By / jforster

HE policy update for the w/e 12th January 2018

Cabinet Reshuffle

Out with the old and in with the new…the cabinet reshuffle this week brings changes for HE. Goodbye to Jo Johnson as he departs from the Universities Minister role to become Minister of State for Transport and Minister for London. Nick Hillman, Director of HEPI, reflects on Johnson’s legacy in the Times Higher, and Wonkhe present a more mixed picture in Jexit leaves a mixed legacy in HE.

Sam Gyimah has been appointed as Universities Minister. The role remains under both Department for Education (DfE) and Department for Business, Energy and Industrial Strategy. Sam has been a consistent front bencher within the Commons since 2010 in his role as PPS to the Prime Minister, since then he has undertaken roles as a party whip, within the cabinet office, childcare and education (DfE) and prison and probation (Ministry of Justice). Sam voted to remain in the European referendum (his interesting 2016 blog sets out his remain mind set and his identification with the “easyjet generation”) although he has stated he believe Britain will thrive outside of the EU.  A party loyalist, Sam’s education voting record mirrors Government aims. He voted for greater autonomy for schools, establishing more academies and raising undergraduate tuition fees to £9,000. On the tuition fee cap its reported that originally Sam believed the HE system should change so fewer people went to university with grants or lower costs. However, he changed opinion deciding participation was the right way forward stating “we must therefore work out how we can continue to fund that” and voting with the fee rise. Gyimah was also involved in the filibustering to prevent the Opposition’s Compulsory Emergency First Aid Education Bill in 2015. Sam’s political interests are HE, small business and international development.

The title of the role appears to no longer include science, research and innovation. This may just be a product of short form reporting in the breaking news; the below tweet suggests he still expects the same responsibilities as Jo Johnson enjoyed, we’ll be watching closely to see how the job develops!  A 2014 Independent interview with Sam describes his family background, state schooling, and struggles to pay rent whilst at Oxford. A Wonkhe article What’s in Sam Gyimah’s in-tray? speculates about the new Minister’s role within the sector.

Damian Hinds has been appointed as the Secretary of State for Education. His responsibilities cover the full Education remit from early years to HE, apprenticeships, skills and free schools. Damian has a background in social mobility; he previously chaired the APPG on social mobility and was a Member of the Education Select Committee (2010-12). Whilst chairing the APPG in 2012 the committee published Seven Key Truths about Social Mobility – the key messages of which still prevail today. Hinds is known to have criticised how social mobility has stalled within the UK. His political interests are welfare, affordable credit, social mobility, education and financial inclusion. Damian’s previous roles span defence, party whip, the Treasury (Exchequer Secretary, 2015-16), and Minster for State within the Dept for Work and Pensions 2016-18). Sam Gyimah reports to Damian. Hinds is a loyalist and has consistently voted with the Government on education reforms and believes in greater autonomy for schools and establishing more academies. He is a regular speaker within the Commons. He voted to raise the undergraduate tuition fee cap to £9,000 in 2010, he voted against reducing fees to £6,000 in 2012, and voted to end financial support (16-19 year olds in training/FE). In 2014 he led a debate calling on the Government to lift the faith cap preventing the Catholic Church from opening free schools. Interestingly he will now be responsible for the Government’s response to the consultation on lifting the cap. Damian attended a Catholic grammar school before studying his degree at Oxford. Damian campaigned to remain in the European referendum, stating while he saw good points on both sides it was important for economic growth to have more negotiating weight. His constituency is East Hampshire. He supported Theresa May in the Conservative leadership contest.

So the PM has two loyalists in control of the HE sector, already the speculation over the much heralded major review of HE has begun: – a succinct Times Higher article Reshuffle paves way for bold review of English HE funding concurred with this and speculated that the planned knowledge exchange framework may also be doomed?

DfE: The remainder of the DfE roles are: Nick Gibb, Anne Milton, Lord Theodore Agnew, Lord Nash, all of whom remain in post. They’ll be joined by previous backbencher Nadhim Zahawi as DfE Parliamentary Under-Secretary of State.

Education Secretary Justine Greening declined the offered post (Work and Pensions) and has departed from Government. She said: social mobility matters more than a ministerial career.

Strong and stable:

  • Amber Rudd remains the Home Secretary, and will also be the Minister for Women and Equalities.
  • Greg Clarke remains as Secretary of State for Business, Energy and Industrial Strategy (BEIS). Greg is Sam Gyimah’s second boss.
  • Michael Gove remains as the Secretary of State for Environment, Food and Rural Affairs
  • Penny Mordaunt remains as the Secretary of State for International Development
  • Minister of State for Agriculture, Fisheries and Food (DEFRA) remains as George Eustice
  • Therese Coffey remains as Parliamentary Under-secretary of State for Environment and Rural Life Opportunities (DEFRA).

And also of interest:

  • Conservative Vice Chair for Training and Development is James Morris (previously a backbencher working as PPS to Damian Green).
  • The Minister of State for Immigration within the Home Office is now Caroline Nokes, and she will attend Cabinet.
  • Minister of State for Digital and Culture (DCMS) is Margot James (previously Margot was Parliamentary Under-Secretary of State to the Minister for Small Business, Consumers, and Corporate Responsibility within BEIS).
  • Changes to the Minister of State for Health (2 posts) are Caroline Dineage (previously focused on families) and Stephen Barclay (Treasury).

Locally: Tobias Ellwood (Bournemouth East) remains within the Ministry of Defence retaining his role as the Parliamentary Under-Secretary of State (Defence, People and Veterans).

On the reshuffle PM Theresa May stated: [this reshuffle brings] fresh talent into government, boosting delivery in key policy areas like housing, health and social care, and ensuring the government looks more like the country it serves.

The reshuffle provides fresh opportunity for BU staff to engage with the parliamentarians now responsible for their expertise area to impact on policy. Contact the policy team if you need support to begin building relationships with parliamentarians.

Office for Students – Student Panel

The 13 strong OfS student panel members were announced on Monday (see below) with members drawn from under and postgraduate provision, part time study, an international student, a recent graduate, prospective students (at sixth form level and a GCSE student) and the NUS President.  The OfS explain that the student panel will ensure the new regulator’s work “properly engages with, and is relevant to, students from all backgrounds…[acting as] a critical friend” by providing advice to the board and examining the regulator’s relationships with students. Research Professional inform that the Student Panel will also produce research on important issues affecting students. The student panel will first meet later in January. Research Professional

  • Alice Richardson , 6th Form student from the North West of England
  • Benjamin Hunt, President of King’s College London Students’ Union 2016-17
  • Chad Allen, a PHD student at the University of Cambridge, and former President of the Cambridge University Graduate Union
  • Lizzie Pace, a part-time mature student at Birkbeck, University of London, and a former soldier in the British Army.
  • Luke Renwick, President of Sheffield Hallam Students’ Union
  • Megan Dunn, Senior Policy Adviser at the Equality Challenge Unit and President of the Nation Union of Students in 2015-16
  • Ruth Carlson, Civil Engineering student at the University of Surrey. Ruth has also joined the Board of the Office for Students on an interim basis.
  • Shakira Martin, President of the National Union of Students
  • Shraddha Chaudhary, international student, and President, Director and Chair of the Trustee Board at University of Exeter Students’ Guild
  • Sinead Brown, GCSE student from London
  • Stuart Cannell, a part-time postgraduate student at Manchester Metropolitan University and a Student Reviewer for the Quality Assurance Agency
  • Xenia Levantis, President of Norwich University of the Arts Students’ Union
  • Zahra Choudhry, Vice President of Education at University of West London Students’ Union

Panel member, Luke Renwick, stated that “given recent controversies, the OfS has a long way to go to instil faith that it will truly work ‘in the student’s interest’”.

OfS Board Membership

This week saw a barrage of parliamentary questions focused on Toby Young’s appointment to the OfS Board, several MPs were also outspoken in their opposition. An urgent oral parliamentary question by Dawn Butler (Labour) on Tuesday brought the issue to prominence and required Jo Johnson to defend Young’s appointment.  Dawn began by quoting a past Justine Greening speech: “Violent, sexist and homophobic language must have no place in our society, and parliamentarians of all parties have a duty to stamp out this sort of behaviour wherever we encounter it, and condemn it in the strongest possible terms.”  And concluded by stating: “I find it hard to comprehend the appointment; I believe that it leaves the credibility of the Office for Students in tatters.”

Johnson’s defence, while balanced, was met with continued challenge from across the house – on process, suitable and merit grounds. The criticism for Young turned into a mini debate including, criticising the tweets and Young’s “dark and dangerous…progressive eugenics” (Halfon, Conservative), questioning standards at Young’s free school (Powell, Labour/Co-op), querying the due diligence of the appointment panel (Jenkin, Conservative; and Diana Johnson, Labour), and the implication for Muslims (Khan).

Later that day Toby Young resigned from the OfS Board. On his resignation Sir Michael Barber (OfS Chair) stated: “Many of his previous tweets and articles were offensive… he was correct to say that his continuation in the role would have distracted from our important work.” You can also read the Guardian – Toby Young: how barrage of nudges made OfS position untenable which suggests the remaining OfS Board members were gathering forces and Vice-Chancellor pressure brought to bear on Nicola Dandridge through prior UUK connections.  Toby has the final word on his resignation in The Spectator.

It will be interesting to see who replaces Young on the OfS Board, whether they will also be drawn from the alternative provider sector. Although after the controversy Young created on the first official day of the OfS I think we can expect the new appointment to have a squeaky clean background!

Read the Wonkhe article: A beginner’s guide to the Office for Students.

International Students

HEPI and Kaplan have released The costs and benefits of international students by parliamentary constituency. The report uses economic modelling to identify the monetary value international students generate for the UK (after deducting a myriad of costs associated with hosting the student). It quantifies these economic benefits at a national, regional and local constituency level. The report acknowledges the wider positive cultural, societal and soft power impacts that international students bring but does not include these aspects in the value calculations.

In the report both EU and non-EU students are described under the umbrella term ‘international’. The report uses the 2015/16 cohort entry year but adjusts costs and considers the changed HE systems and context to ensure the figures are relevant for today. It takes a conservative approach to the calculations by including every kind of hosting cost to the public purse that is possible. For example, deductions are made for healthcare, housing, community amenities, education and care of dependents, social security, public order and safety, local resources, defence, economic affairs, recreation and culture, religious provision, environmental protection, student non-continuation, non-repayment of EU student loan post-graduation, and so on right up to the nuclear deterrent submarine that circles the UK. This conservative approach means the net value calculation of the income an international student brings is actually an underestimation ensuring its validity for policy making. To understand more on the methodology read the full report pages 10-28.

Key findings:

  • In 2015/16 there were 438,000 international (EU and non-EU) students studying at HE levels across the UK (19% of all students). The most students come from China (1 in every 4 international students came from China), next were the US and India. From the EU Germany came top, closely followed by France and Italy.

Note: recruitment of international students has plateaued since 2009/10

  • International students were roughly evenly split between under and post graduate studies.
  • International students study at institutions throughout the UK. Higher concentrations study in London and the South East, followed by the West Midlands. The South West region has the second lowest concentration (of the English regions) totalling 12,770 international students.
  • The average economic contribution each international student (across their full duration of study) makes to the UK economy is £87,000 (EU students) and £102,000 (non-EU). Aggregating these figures to the national level the UK economy receives £22.6 billion from international students (£5.1bn EU, £17.5bn non-EU).
  • Using the conservative ‘include every cost imaginable’ approach the cost of hosting the international students is £2.3 billion. So each student costs the UK taxpayer £19,000 (EU) and £7,000 (non-EU) over the full duration of their studies. The majority of this cost is their use of public services.
  • This means the 2015/16 starters resulted in a total net economic benefit of £20.3 billion (£4bn EU, £16.3bn non-EU). The value to the economy per student is £68,000 (EU) and £95,000 (non-EU). For every 11 non-EU students the UK economy received £1 million. This means the benefit of hosting non-EU HE students is 14.8 times greater than the total cost. For the South West this equates to £1.21 net impact. As we would expect the highest spending from international students is clustered around the immediate university area, however lower levels of spend ripple out into surrounding areas, meaning the positive impact is experience everywhere (just to a lesser degree).
  • The report takes a sensible methodological approach, however, because aggregate figures are used the values, when translated into parliamentary constituencies, will vary slightly from the average aggregate values applied due to the local context (cost of housing and so on) and because international students were apportioned to a constituency on the basis of UK student residency location census data. Overall, this doesn’t detract from the validity of the values because they are so high and already an underestimation. In the majority of cases, if it were possible to calculate every student precisely it would actually increase the net economic benefit each international student brings. (Read pages 19 and 38 of the full report for a more in depth explanation.)
  • The constituency areas that benefit most from international students are Sheffield, Newcastle, Nottingham, Oxford and Manchester. The top earning constituency within the South West is Bristol West (14th out of the top 20). An intriguing political quirk of the top 20 areas that obtain the greatest net income from students is that all but one are Labour seats.
  • Here are the local net impact values:
Parliamentary Constituency Net impact
Bournemouth East £35.0m
Bournemouth West £65.1m
Christchurch £9.1m
Mid Dorset and North Poole £9.6m
North Dorset £9.4m
Poole £14.0m
South Dorset £10.2m

See pages 69-70 of the full report for the values associated with other South West constituencies

  • International students attract friends and relatives to visit the UK. This additional income is included in the figures quoted above. In 2015/16 international students attracted a further 330,000 visitors to the UK (averaged at 3 visitors per EU student, 0.9 per non-EU student). The average EU visitor spent £296, whereas the non-EU on average spent more (£822) per visit. Across the full period of study the value is in the region of £3,000 (per EU student) and £2,000 (non-EU). Totalling £0.6 billion to the UK economy overall (£0.2bn EU, £0.4bn non-EU).
  • The report concludes the costs of educating and hosting international students are modest and far outweighed by the benefits.

Sector mood music

While they are not ‘new’ providers there is increasing news this year of movement within specialist and alternative provision. The sector is hearing the mood music of gradual diversification and extended remits as specialist providers commence a wider offer, mainstream, or join sector bodies. These forward steps for previous fringe dwellers is all part of the current HE atmosphere of change, such as the push for accelerated provision as more standard and universal offer and the OfS registration changes to incorporate and strongly encourage alternative providers.

The Government and civil service are stridently pushing for a diversification of HE providers. Jo Johnson spearheaded the charge through the Higher Education and Research Act and stridently supported the alternative, but ill-fated, appointment of Toby Young for the OfS Board.

Two moves in this direction this week come from specialist providers KPMG and the University College of Estate Management. In recent months KPMG have been particularly noticeable on the university policy circuit and they have just launched a new Digital Degree apprenticeship in conjunction with BPP University. And the University College of Estate Management which provides online education for the Built Environment (apprenticeships, UG and PG provision) has joined GuildHE. On the join Guild HE CEO stated: “Like other GuildHE members UCEM offer vocationally relevant higher education, industry connections and a focus on the student. They help produce the highly skilled workers that industries and professions need – the skills essential to increase productivity and help realise the aspiration to see growth and prosperity in all regions across the UK.”

Learning Gain

Learning Gain is the latest movement in HE but still developing in terms of consensus, measurement and agreed metrics. A HEPI policy note What affects how much students learn? published on Monday utilised statistical analysis of the HEPI Student Academic Experience Survey (2017) question where students self-report their perception of their own personal learning gain. The analysis combined influencing variables from elsewhere in the survey to determine the top factors which had the greatest effects for students to report they’d ‘learnt a lot: and three surprising variables that didn’t influence learning gain.

The key influencers:

  1. Access to high quality teaching (as judged by combining the 10 survey questions relevant to teaching quality) was highly statistically significant. This included aspects such as helpful and supportive staff, useful feedback, how effective staff were in explaining concepts. This was significant across the whole range of student prior attainment (judged by UCAS entry points).
  2. The volume of independent study – students reporting 20+ hours of independent study were significantly more likely to report ‘learnt a lot’
  3. Personal wellbeing was a significant threshold effect – students reporting low wellbeing were negatively associated with having ‘learnt a lot’
  4. More than 17 hours of paid work per week had a negative effect
  5. Students entering with 144+ UCAS points were more likely to report having ‘learnt a lot’
  6. Whether the student hailed from a gold TEF rated institution had a significant independent effect and increased the likelihood the student reported learning a lot. Interestingly there were no step level effects – only a gold rating produced this effect,  silver didn’t result in higher ‘learnt a lot’ ratings than from a bronze level provider.
  7. There were also London effects (negative influence) and coming from a non-graduate family background (negative influence)

“Being at a London institution, at an institution that did not achieve a Gold in the TEF, and having non-graduate parents all appear to depress the odds of reporting having learnt a lot.”

Three factors did not have a significant effect on student’s self-reporting of how much they had learnt: timetabled taught hours (contact time), ethnicity and whether or not students live at home.

The report goes on to speculate what the findings mean for the current Government vogue for accelerated degrees:

  • The findings have implications for the Government’s proposals for more two-year degree programmes as a ‘cheaper’ option to three-year programmes. Currently an undergraduate degree is 360 credits, each credit based on 10 hours of study. Students on accelerated degrees are expected to study for 1,800 hours a year, in excess of the 1,600 hours of many full-time jobs. If they undertake paid part-time work as well, as most students do, the pressure on them is likely to be considerable, with a risk of putting in too few independent study hours and their wellbeing suffering, both potentially leading to doing less well in their degree than pacing their study over three years.
  • So there is a danger that many students will do less well than their potential taking two-year degrees, and that it will be students from less affluent backgrounds who are tempted by the offer. Indeed, if it is more affluent students who choose this route, and who may do so because their higher prior attainment means they can cope with the intensity, that will leave their less affluent peers with the greater debt and loss of earnings from a year less in the labour market.

Nick Hillman, the Director of the Higher Education Policy Institute, said on the report:

  • We do not know anything like enough about how students learn or how much they are learning. We need a more scientific approach to this issue, which our new report helps deliver.
  • Asking students how much they are learning and cross-referencing this with their personal circumstances is innovative, illuminating and important. Some of the results are intuitive. Good quality teaching matters as does lots of independent study, while low well-being and many hours of paid work have a negative impact. But some of the results are surprising. Contact hours, ethnicity and whether or not students live at home make less difference.
  • Learning gain is likely to be one of the top concepts in higher education in 2018 and beyond. No one can pretend they have all the answers, but this work shows beyond doubt where we should focus.

Mature Students and Employer Skills Gaps

In a blog post Maddalaine Ansell links the drop in mature student numbers with the struggles of employers to fill their skill needs and calls for cooperation, dropping ELQs, and the potential for a more blended learning model:

  • In relation to mature learners, we saw a further drop of 40% in applications this year. As many mature students used to study at Levels 4 and 5, there has been a decline in demand for these courses and an increase in complaints from employers that they cannot recruit sufficient people at this level. In some industries where the current workforce is approaching retirement, this is becoming critical. The government is trying to tackle this through the creation of a small number of Institutes of Technology. While these may turn out to play a useful role in some areas, fundamentally they are solving the wrong problem.
  • We are not short of institutions that are capable of delivering qualifications at this level rather we are short of students who want to study them within the current system. This is likely to be linked to debt-aversion in older learners who are reluctant to take out loans…, lack of careers advice, particularly for people who left school long ago, and insufficient flexibility of provision.
  • if we are serious about offering students genuine opportunity and choice, we should promote collaboration between different institutions. Mature students are likely to be far less mobile than their younger counterparts so it is the local offer that will matter to them.
  • Local industrial strategies could provide a vehicle for other areas to think about how best to use all the resources already in their area more strategically to meet the needs of local people and industry.
  • While we recognise that there has to be some system of rationing the amount of education that is supported by the taxpayer, the time may have come to jettison the principle that people shouldn’t be funded a second time to study at an equivalent or lower level. It is no longer helpful. Higher education funding should be as flexible as possible, allowing for people to study for both academic and technical qualifications and to study at different levels at different times – or even concurrently.
  • Some degree students would benefit from doing a lower level apprenticeship alongside their degree as it would teach them complementary skills and enable them to earn a little money while they learn – but currently, the funding system does not allow for a blended model.
  • The sector has undergone a lot of reform in recent years. If we are going to have a major review of funding, let’s tackle the real problems.

Other news

Pedagogic innovation: HEFCE blog part-way through the catalyst projects to highlight the positives and some pitfalls of engaging students in the pedagogic innovation projects.

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HE policy update for the w/e 5th January 2018

Welcome to the first policy update of 2018!  Parliament is in recess until Monday 8th so there has been less activity this week. Nevertheless, here is your slimline summary of the activity since our last update.

Office for Students

The Office for Students (OfS) officially came into existence this week. The final 6 members of the OfS board were announced

New members:

  • Simon Levine is the Managing Partner and Co-Global Chief Executive Officer of the global law firm, DLA Piper. A graduate of Cambridge University, he is a Visiting Professor and Lecturer at Imperial College Business School.
  • Elizabeth Fagan is Senior Vice President, Managing Director of Boots.
  • Katja Hall is a partner at Chairman Mentors International, previously she was Group Head of External Affairs and Sustainability at HSBC where she was responsible for external communications, stakeholder engagement, social responsibility and community investment.
  • Monisha Shah is Chair of Rose Bruford College of Theatre and Performance. She is also a serving Trustee of ArtFund, an independent fundraising charity for art. In December 2015, Monisha was invited by the Prime Minister to join the Committee on Standards in Public Life.
  • Ruth Carlson is a current student at Surrey University, where she is a Student Ambassador for civil engineering. She has experience as a course representative, as a former president of the Surrey University Women’s Football Team and has also worked in other institutional and regional representative forums.
  • Toby Young is the co-founder of the West London Free School, and now serves as the director the New Schools Network. His teaching experience includes working as a teaching fellow at Harvard and a teaching assistant at Cambridge. He is a Fulbright Commissioner.

This appointment has been contentious with both students and academics claiming he is unsuitable (BBC News: Toby Young regrets ‘politically incorrect’ comments). In another BBC article: University job backlash because I’m a Tory the DfE are reported to have spoken of the “vital insights Toby’s experience as the founder of a free school will bring to the role”. Furthermore: “This experience will be vital in encouraging new providers and ensuring more universities are working effectively with schools.”

Mr Young has also been criticised for past derogatory comments about working class students. In response to this complaint Toby claims the number of pupil premium children enrolled at the four schools he has established counters this criticism.

Sally Hunt, general secretary of the University and College Union, said: “If this organisation was to have any credibility it needed a robust board looking out for students’ interests. Instead we have this announcement sneaked out at New Year with Tory cheerleader Toby Young dressed up as the voice of teachers and no actual representation from staff or students.”  [Note – there is student representation as Ruth Carlson has been appointed to the OfS board – see above.]

Twitter has been awash with complaints, including suggestions he is deleting thousands of inappropriate past tweets. LBC have critiqued the DfE for failing to provide a rationale response justifying why the inappropriate tweets were not considered a deterrent factor in Toby’s appointment.

Conservative Minister Margot James has also criticised the choice: “Toby Young is worthy of his appointment but it is a mistake for him to belittle sexist comments by labelling them ‘politically incorrect’, a term frequently used to dismiss unacceptable comments about, and behaviour towards, women and minorities.”

Toby has strong links with the Conservative party who are currently reported as experiencing a generation gap crisis due to the low number of young members they are attracting. Strong student opposition to Toby’s appointment may further damage the Conservatives’ reputation with younger voters further.

Click the link to read Toby Young’s statement: why I am qualified to be on board of new universities regulator

Previously announced members:

  • Sir Michael Barber (Chair)
  • Martin Coleman (Deputy Chair)
  • Nicola Dandridge (CEO)
  • Chris Millward (DfAP)
  • Gurpreet Dehal
  • Kate Lander
  • Prof Carl Lygo
  • David Palfreyman
  • Prof Steve West.

League Tables

League tables often attract a collective groan within HE institutions because positioning is important but the criteria and methodologies change making interpretation difficult. On Thursday the Higher Education Policy Institute (HEPI) and the Higher Education Strategic Planners Association published A Guide to UK League Tables in HE. The report is a simple introduction for those who’d like to understand the limitations of league tables without getting bogged down in the complex terms and data.

Sally Turnball (author) said: League tables are both interesting and useful. But, as is the case in much of today’s knowledge society, we need to be able to navigate and understand this information effectively, so that it aids – rather than drives – what we do.

In summary, some difficulties are:

  • Data is old – doesn’t present an accurate picture of a provider as it is today. This is exacerbated as league tables are used by pupils to make choices when they are 12-18 months away from enrolling – meaning by enrolment the institution was selected based on its performance 4 years ago.
  • While the league tables collect and compare consistent data across institutions the HE sector is diverse so the data used often focuses on a narrow student population. Making it virtually meaningless for mature, part-time and postgraduate applicants.
  • League tables use NSS data as a proxy to represent teaching quality – its an easily accessible data source but being opinion based its usefulness is limited because it’s not a robust or impartial evaluation of quality.
  • Often providers cluster around the same scores so the rankers have to resort to decimal place levels to differentiate and allocate position on the league table – even though the differences are infinitesimal. Furthermore, changing the weighting of some criteria and excluding extreme scores – which is statistically sensible – results in exaggerated differences between provider scores and their resultant ranking position.
  • Many of the valuable things done by institutions cannot be easily measured and are not incorporated into the rankings.
  • Page 17 lists the metrics used to calculate the league tables, and pages 18 to 35 set out the problems associated with each metric in simple language.

The report concludes: League tables are not created for higher education providers to use as core management information. They are not based on thorough in-depth analyses of the datasets and they do not take many of the known contextual factors into account – for example, graduate employment data are not adjusted for local employment markets, despite differences in the profile of employment opportunities across the country. Yet league tables bring together a range of different sources of information about higher education providers to give a general overview of factors that prospective students might find useful when considering where to study. They provide information at both subject and institutional levels and they generate media coverage, putting areas of supposedly stronger and weaker provision in the spotlight. League tables are here to stay, and it would be ill-advised to ignore them. However, using them as the sole basis for policymaking or strategic decision-making is equally ill-advised.

Nick Hillman, Director of HEPI said: Universities are judged by their position in the league tables. Rankings determine reputation, prestige and student numbers. That is why university governing bodies hold their vice-chancellors to account for their league table positions. But users of the league tables tend to know little about how the rankings are put together. In other words, they do not know, precisely, what it is they are holding people to account for. The main league tables are not going to disappear any time soon because they provide comparative information and people find them useful. But they are easily and often misunderstood. My hope is that everyone who holds our universities to account will set themselves a new year’s resolution to look under the bonnet of the league tables before using them.

Free Speech

Jo Johnson spoke about free speech at the Jewish Limmud Festival on 26 December: “Our universities…should be places that open minds not close them, where ideas can be freely challenged and prejudices exposed. But in universities in America and increasingly in the United Kingdom, there are countervailing forces of censorship, where groups have sought to stifle those who do not agree with them in every way under the banner of “safe spaces” or “no-platforming”. However well-intentioned, the proliferation of such safe spaces, the rise of no-platforming, the removal of ‘offensive’ books from libraries and the drawing up of ever more extensive lists of banned “trigger” words are undermining the principle of free speech in our universities. Shield young people from controversial opinions, views that challenge their most profoundly held beliefs or simply make them uncomfortable, and you are on the slippery slope that ends up with a society less able to make scientific breakthroughs, to be innovative and to resist injustice.”

Of the OfS Johnson stated: “Promoting freedom of speech within the law will be at the heart of its [OfS’] approach to the regulation of our higher education system. The OfS will go further than its predecessor in promoting freedom of speech.as a condition of registration with the new regulator, we are proposing that all universities benefitting from public money must demonstrate a clear commitment to free speech in their governance documents. I am pleased to say that this freedom is as important to the OfS’s new chairman, Sir Michael Barber, as it is to me. While he hoped the OfS never has to intervene in a university in relation to freedom of speech, he undertook that, if it does, it will be to widen it rather than restrict it. I’m confident freedom of speech in our universities has a bright future under the OfS. But we will continue to watch the system carefully.”

Finally Johnson reiterated: “And I want to be clear about this: attempts to silence opinions that one disagrees with have no place in the English university system. Academics and students alike must not allow a culture to take hold where silence is preferable to a dissenting voice. Universities cannot afford to be complacent about complying either with their duties to protect freedom of speech, or anything less than vigilant against hate speech (or other unlawful activity) masquerading as the exercise of the right to freedom of speech.”

On the following day Angela Rayner (Labour, Shadow Secretary of State for Education) said: “It is a false choice to suggest that universities are either places of free enquiry or places of safety. They can be both. Denying access to groups and individuals who incite violence and hatred is a perfectly sensible step to keep students safe from harm. The NUS have a ‘no-platform’ policy for a handful of racist, anti-Semitic and extremist organisations, some of which the Government itself has also banned. If Jo Johnson is opposed to that policy, he needs to be clear which of those groups he actually wants on campus.”

International Students

Leader of the Lib Dems, Vince Cable, is optimistic the PM will remove international students from the official immigration figures. He said: “…the Home Office has wildly exaggerated the number of those who overstay. This absurd policy has fuelled concerns over immigration numbers and done serious damage to our universities. We should be encouraging more students to come and spend their money in the UK, instead of needlessly hampering one of Britain’s most successful export industries.”

Theresa May has been vehement in continuing to count students within the net migration targets. Without fresh evidence it seemed unlikely the PM would change her stance, however, Politics Home has speculated May is likely to back down to avoid a vote defeat during the forthcoming Immigration Bill.

Meanwhile, the Migration Advisory Committee (MAC) continue their work to assess the social and economic impacts of international students studying within the UK. BU are currently preparing their response to the MAC call for evidence. Contact us at Policy if you’d like to contribute this this response.

Institutes of Technology fund

In December the Government announced a £170 million fund to establish Institutes of Technology delivering high level technical skills that meet employer needs. The Institutes of Technology will combine business, education and training providers within technical (particularly STEM) subjects to deliver the specific provision needed by local, regional and national employers. It forms part of the Government’s Industrial Strategy that will directly target skills gaps through upskilling existing and new entrants to the workforce. The first Institutes of Technology are expected to open in 2019.

Justine Greening said: “Institutes of technology will play a vital role driving our skills revolution with business and unlocking the potential of our country’s young people through better technical education. By bridging the country’s skills gaps, these new institutions will drive growth and widen opportunity.” “This Government continues to invest in developing our homegrown talent so British business has the skills it needs and so that young people can get the opportunities they want.”

Consultations

Click here to view the updated consultation tracker. Email us on policy@bournemouth.ac.uk if you’d like to contribute to any of the current consultations.

Other news

The year that was: HEPI review the major happenings of 2017 – a handy and brief refresh if you tuned out during the relentless sector debate and change last year. And Times Higher lists their 25 most popular articles of 2017 – the top spot went to the TEF results.

Research policy news: read our round up of the research news this week. And David Sweeney reflects on the change in mindset required to understand the approach to submissions in REF 2021.

Access to non-religious pastoral carers: Humanists UK published the results of their survey calling for non-religious support workers to be appointed to university chaplaincy and pastoral support teams. The survey sampling is limited in that it was only drawn from their student membership.

Industrial Strategy: The House of Lords has produced a library briefing on the Industrial Strategy and the UK Economy

Artificial Intelligence & Automation: The House of Commons Library has produced a briefing paper on Artificial Intelligence and Automation in the UK. Increasing digital skills, filling employment gaps, and funding for AI research are key issues for Government who seek to grow the AI industry. A sector deal for AI was announced in the Autumn 2017 Budget. This briefing paper considers the impact of AI and automation on the UK workforce, including how working lives may change. There are a broad range of predictions caveated by uncertainties such as the rate of technological development, rate of deployment, and the geographical variations. The paper concludes that the impact is likely to be significant and the Bank of England predicts that 15 million jobs will be influenced by automation over the next 20 years. You may also find the THE article from May 2017 Which countries and universities are leading on AI research interesting.

New(s) Year Resolutions?

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JANE FORSTER                                            |                       SARAH CARTER

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HE Policy update for the w/e 15th December 2017

Despite Sarah and Jane donning their sparkly Christmas jumpers there has been no let up this week – here is your fully stuffed pre-Christmas policy update (and not a turkey in sight)!
We’ll be back in the New Year unless anything really exciting happens next week.

Accelerated Degrees

The long awaited consultation on accelerated degrees has finally been launched.  The proposals are for students to study over the summer to complete their degree within two years. These degrees would be subject to the same rigour and quality assurance standards. Institutions will be able to charge higher fees per year (to a maximum which will be 20% less than the total for 3 normal years) to cover the additional costs of teaching through the summer, research time squeeze, and rental income lost on summer lets of student rooms. However, the overall cost to the student will be less, with lower living costs as well, and interest will accrue over a shorter time before the student starts work. The OfS will be responsible for determining whether a degree course can be defined as ‘accelerated’.

The Minister’s statement said that “The current means-tested living cost support package (the “long course loan”) available to students whose courses last for longer than 30 weeks and three days each academic year will continue to provide maintenance for students on accelerated degrees on the same terms.” It is not clear whether this will be enough to cover the additional costs for students on these courses.”

Jo Johnson says that these courses will appeal to: “highly motivated students hungry for a faster pace of learning and a quicker route into or back into work”.

He continues: “The growing dominance of the classic three-year residential degree reflects more the convenience of the sector and financial incentives on providers than the needs of students for flexible ways of pursuing higher education. I believe there is significant untapped potential for accelerated courses, starting first with degrees, in higher education. They offer benefits to students of lower costs, more intensive study, and a quicker commencement or return to the workplace. Innovative providers would like to offer more of these courses but face significant financial and operational disincentives in the current system.”

And later:  “Our aspiration is for the number of students enrolled on accelerated degree courses to build over the next decade to around 5% of the total undergraduate population[currently its 0.2%], and for an additional 100,000 students to have studied on this basis over that period.”

Accelerated degrees are expected to commence in September 2019, subject to parliamentary approval of the new fee arrangements.  The consultation press release sets out the benefits for the public purse:

For the taxpayer, it means significantly lower tuition loan outlay, higher rates of repayment and therefore a lower cost to the public purse of higher education. A higher proportion of students on accelerated degrees will also repay their loans in full”.

Jo Johnson and Les Ebdon expect the accelerated degrees to appeal to mature students. It’s clear that individuals currently in work, looking to take a sabbatical to upskill, then return to the sector are perfect candidates for accelerated provision. This scenario is certainly a perfect fit with the Industrial Strategy’s aspirations.  It also provides students with more options –depending on how may institutions offer them and the range of subjects covered. However, there could be some bumps in the road. Presumably the admissions process will select those most capable of intense study and who do not need to work part-time to fund their living costs– which leads to questions around widening participation. How will contextual admissions apply to accelerated provision? Will mature students with family commitments be considered to have the capacity to cope with an intensive degree? And what happens to those who find the pace too much or run into financial difficulty and switch back to the traditional 3 year model – would they end up paying more in fees in total? There may be concerns about student experience in the summer when services are often reduced and building maintenance is carried out.

Sector responses:

Angela Rayner MP, Shadow Secretary of State for Education: “It seems that every higher education policy from this government comes with another plan to raise tuition fees, with students on part time degrees now facing charges of over £11,000 a year. With universities facing uncertainty over Brexit, ministers must address concerns like the impact on staff workload before imposing more major changes. So far they have offered no concrete evidence that squeezing three years of learning into two will stem the huge drop in part-time students, or lead to better outcomes.”

Professor Les Ebdon, Director of Fair Access to Higher Education: “Accelerated degrees are an attractive option for mature students who have missed out on the chance to go to university as a young person. Having often battled disadvantage, these students can thrive in higher education and I hope that now many more will be able to take up the life-changing opportunity to get a degree.”

Karl McCormack, who teaches accelerated degrees in Accounting & Finance at Staffordshire University, commented on the increased focus of students on accelerated courses. “I find that the accelerated degree offers so much more to students, including the extra focus, the drive and the immersive experience of constantly learning over the two years. Accelerated degrees appeal to a broad spectrum of students, including mature students who want to retrain and enter the workplace more quickly, and those who do not take a traditional A-level route into higher education.”

Nick Hillman, Director of HEPI: “Making two-year degrees more attractive makes sense as the current rules aren’t great and more diversity is generally good in higher education – so long as quality is maintained. So the overall idea of altering the financial rules for two-year degrees is sound or even overdue. Lower fees for two-year degrees might increase demand, probably from older students as many school leavers are remarkably price insensitive and like the idea of staying at university for three (or more) years. It also might increase the supply of two-year degrees, although getting £11,100 to educate students for 40 weeks a year (£280 a week) rather than £9,250 for 30 weeks a year (£310 a week) is unlikely to make a major difference. ‘But it remains an open question whether there is sufficient support in Parliament for a higher tuition fee cap for a minority of courses. Overall, today’s announcement may not be a game changer.”

Read more on the consultation on accelerated degrees: widening student choice in HE.  Please contact Sarah if you would like to contribute to BU’s institutional response to the consultation.

Brexit

This week the Government and EU agreed continued contributions to the annual budgets for the years 2019 and 2020 (the remaining 2 years of the EU budget after the exit) as if the UK were remaining in the EU. This enables continued participation in Horizon 2020 and Erasmus+ until the end of the programmes. On Thursday evening the BBC reported this story.

The phase one negotiations concluded with assurances for citizen’s rights – hopefully reassuring for the 46,000 EU nationals within the UK university sector who can remain to work and gain settled status. Some questions remain, but it was clarified that EU citizens can live outside the UK for up to 5 consecutive years without losing their settled status.

In response UUK have stressed that phase two of the negotiations continue to be ‘hugely important’ for universities. They continue to push for access to the next European research and innovation programme (FP9) and to the Erasmus+ mobility programme. “Developing a post-exit immigration system, with minimal barriers to allow talented European staff and students to work and study in the UK, is a priority.”

Research Professional have a simple article tacking the main points of the Brexit progress: Now the real work begins. Amongst other points they highlight that with a majority of students registering an interest in studying abroad 12 months in advance the need for decision on whether EU citizens will be eligible for home fee status and loans for 2019/20 entry remains urgent.

Parliamentary Questions

Q – Joanna Cherry: What assessment she has made of the effect of the UK leaving the EU on staffing levels in universities.

A- Jo Johnson: EU staff make an important contribution to our universities. The UK and the EU have reached an agreement on citizens’ rights that will allow EU citizens to continue living here broadly as now, which will help to provide certainty to such staff in our institutions.

Joanna Cherry: Heriot-Watt University and Edinburgh Napier University in my constituency have made staff redundant, citing Brexit and the UK Government’s immigration policies as a proximate cause. Napier University has advised me that potential staff members from other EU countries are turning down job offers. What concrete reassurance can the Minister give these international award-winning universities that Brexit will not further affect their staffing levels?

Jo Johnson: That uncertainty is completely unnecessary. I point the universities to the joint report issued last Friday by the Commission and the UK Government that points to our continued participation in programmes such as Horizon 2020 not just up until March 2019, but until the end of 2020. They should appreciate that important reassurance.

Paul Masterton (Con):  Many of my constituents in East Renfrewshire work in academic research and are concerned about the impact of Brexit on collaboration with European institutions. What reassurance can the Minister give to my constituents that Brexit will not put that collaboration in doubt?

Jo JohnsonThey can take reassurance from the statement that was put out on Friday. We will participate in Horizon 2020 and Erasmus+ beyond the point of Brexit—until the end of 2020. That is of fundamental importance to our scientific endeavour.

Policy impact

A Research Professional article: University research ‘failing to influence parliament’ discusses the dominance of other sectors in capturing the parliamentary ear. Non-governmental organisations are most successful in translating their lobbying into policy with ‘other interest groups’ having far greater influence. University research contributed less than 10% of the evidence to elect committees. David Willets pointed out that the public funding of R&D is weighted heavily towards universities – which are having a very small impact on policy.

A Parliamentary Office of Science and Technology report stated “academic research frequently arrived too late to influence their work or never came at all, and was often “poorly presented with overly technical jargon”. David Willetts advises, “academics should try to engage more with what parliament’s policy preoccupations actually are”; he criticised REF and stated, “there is a need for a change in the incentives that drive academics”.

Mark Walport (former chief scientific adviser) commented that for politicians want an overview more than what the latest paper says. “If you’re advising government, what you’re interested in is the totality of the research.

BU’s Policy team support academics to present their research to Westminster. Contact Sarah if you would like to consider how your work could influence Government policy.

2017 – a year in Admissions

UCAS published the final two elements of the End of Cycle report for 2017 this week. Here is the full set – read the summary, the analysis of patterns of entry to HE, patterns by age, patterns by subject, patterns by geography, patterns by applicant characteristics, offer making, and an analysis of entry by qualification types and academic performance.

Here is Wonkhe’s summary of the last report: Overall, applications across the UK decreased by 3.1% (18,220) to 572,285 since last year, and acceptances are down by 0.5% to 462,945. Both the numbers and proportions of 18-year-olds accessing higher education in the 2017 admissions cycle were the highest they’ve ever been. 282,380 18 year-olds applied to higher education, up 0.5% on last year, and 241,585 were accepted (+1.1%). The overall decline in UK acceptances comes from a drop in older age groups entering HE. The number of 19 year-olds applying fell 5.2% on last year, while numbers for those aged 21-25, and over 25, fell 7% and 9.8% respectively.

And a Wonkhe blog neatly rounds up the key details of all reports in just 1,500 words, concluding: the data draws our attention to some important trends. The stark difference in patterns among different age groups within higher education, the changing demographics of the international student population entering the UK, and the largely unchanged gap in access between the least and most disadvantaged all require attention … and action.

Education and Society debate – House of Lords

This week during the Lords Education and Society debate there was critical comment about the value of the University sector. This comes at the end o f a year in which there has been very serious and sustained criticism of the sector across a range of topics and issues. It will be interesting to see whether everyone just needs a break – or whether this continues in the New Year.

Lord Adonis (Lab, former schools minister) called for “bold action” on apprenticeships, recommending that the Government should require every large public service organisation, including the Civil Service, the NHS and local authorities, to recruit as many apprentices as graduates. He also continued to campaign for tuition fees to be reduced to around £3,000 and a reduction in the student loan interest rate.

Lord McConnell of Glenscorrodale (Lab) described the importance of having a good teacher, and argued the role of individual teachers shouldn’t be forgotten by policymakers. He went on to discuss the role of colleges, claiming they were being unaddressed and that they were “fundamental to the life opportunities of a section of the population who, in many ways, need them much more than people who go to university.”

Lord Rees of Ludlow (Crossbench, academic scientist and lecturer) said that the extreme sophistication of modern technology was, ironically, an impediment to engaging young people with reality and learning how things worked. Speaking as a lecturer he stated that the traditional honours degree was too specialised for almost all students.

Lord Storey (Lib Dem) questioned the Minster about the impact to reputation and integrity of essay mills on higher education.

The Archbishop addressed the business community’s calls for graduate to be “work ready”. He challenged this call asking “who here was work ready on their first day of employment?” Furthermore, he pushed back declaring that it was the “duty of employers to invest in their employees to take them from the first day of their employment to the last…and build up their skills.”

Widening Participation (WP)

Justine Greening spoke at the Reform social mobility conference on Thursday on why Britain has not ‘cracked’ social mobility and her ambition for education to turn disadvantage around. It called on all sectors of society to be part of the solution: “everyone’s problem needs everyone’s solution – if we’re going to achieve anything then social mobility, equality of opportunity needs to be a common ambition – with schools, colleges, universities, but also businesses, civil society, local communities all playing their part.”

She described a comprehensive strategy for lifelong learning. A national strategy that (in keeping with current Government trends, like the industrial strategy) is differently tailored to meet localised needs. The strategy: Unlocking Talent, Fulfilling Potential was accompanied by a short summary. References to universities are interwoven but not addressed specifically, and fit with current political themes around productivity through the promotion of technical education. For example:

Creating high-quality post-16 choices for all

“We have more people going to university than ever before, including more disadvantaged young people, but we need to expand access further to the best universities. We need a skills revolution which includes making technical education world class, backed by a half a billion pounds’ investment at the last budget.” (Excerpt taken from the Minister’s speech.)

The messaging of the strategy is consistent with the Careers Strategy launched last week. Read BU’s summary of the Careers Strategy here.

Chinese internship programme

Earlier in the week the Minister also announced an expansion to the UK-China government-funded internship programme. It will offer 300 young people from a disadvantaged or less represented background the opportunity to live and work in China on an internship. “This scheme allows our young people to immerse themselves in different cultures, broaden their horizons and develop the skills they need to thrive in an increasingly global jobs market. Many of them will be people who were the first in their family to go to university and programmes like this help young people to experience first-hand just how far their talents can take them.”  (From speech at the UK- China People-to-People event.)

Parliamentary Questions

Q – Justin Madders (Lab): As chair of the all-party group on social mobility, I am very concerned to read the Social Mobility Commission’s report and the subsequent comments from the outgoing chair. Will the Secretary of State, or one of her ministerial team, agree to meet the all-party group to discuss where we go from here?

A – Justine Greening: I hope the hon. Gentleman will be able to welcome the plan I will set out later this week. I think the time has come for us all to move on from talking about the problem, which we have done a lot for many, many years, to deciding that we have it within us to work together up and down the country to now tackle it. [This is the policy paper described above.]

Q – Gordon Marsden: With reference to paragraph 34 of the Government’s Careers Strategy… what discussions her Department has had with the Director of Fair Access to Education on the continuation of targeted career outreach interventions for disadvantaged pupils.

A – Anne Milton: The government’s careers strategy is clear that we want higher education institutions to continue working with schools and their pupils to encourage them to go on to higher education. We have spoken to the Office for Fair Access about their role in helping to deliver the strategy. Our most recent guidance asked the Director of Fair Access to be firmer with institutions to make sure that investment through access agreements is allocated to the most effective interventions, encouraging more investment in outreach.

Q – Gordon Marsden: To ask the Secretary of State for Education, what [the] budget is for the National Collaborative Outreach Programme.

A – Jo Johnson: The Higher Education Council for England launched the ‘National Collaborative Outreach’ programme in January 2017. The programme budget was set at £120 million over two years. It has established 29 consortia to target those areas of the country where progression into higher education is both low overall and lower than expected given typical GCSE attainment rates. One of the consortia, Future U, led by the University of Central Lancashire and involving three other universities and five further education colleges, targets Blackpool and will receive a little under £2.3 million in funding over the two years.

Q – Eddie Hughes: What steps the Government is taking to ensure that more students from disadvantaged backgrounds go to university.

A – Jo Johnson: There are already record numbers of disadvantaged English 18 years olds benefitting from full-time higher education, and universities expect to spend over £860 million in 2018/19 on measures to improve the access and success of disadvantaged students, up from £404 million in 2009, through their access agreements.

The Higher Education and Research Act includes a transparency duty requiring all universities to publish applications, offers, acceptance and retention rates broken down by gender, ethnicity and social economic background. This will help to hold universities to account for their records on access and retention.

Q – Luciana Berger: who is responsible for the provision of counselling and wellbeing services to university students in England.

A – Joseph Johnson: As autonomous and independent organisations, it is for Higher Education Institutions to determine what welfare and counselling services they need to provide to their students. Each institution will be best placed to identify the needs of their particular student body, including taking actions in line with any legal responsibilities under the Equality Act 2010.

In addition, the department is working closely with Universities UK (UUK) on their ongoing programme of work on Mental Health in Higher Education. As part of this, UUK launched their Step Change programme on September 4, which encourages higher education leaders to adopt mental health as a strategic imperative and implement a whole institution approach. UUK has also worked in partnership with the Institute for Public Policy Research to strengthen the evidence-base on mental health in higher education. Their independent report, Not by Degrees: Improving student mental health in the UK’s universities was published on 4 September 2017.

Q – Luciana Berger: To ask the Secretary of State for Education, what assessment her Department has made of the adequacy of access to mental health services for university students.

A – Jo Johnson: Mental Health is a priority for this government. This is why the Department for Health, together with the Department for Education, have published a joint green paper on Children and Young People which sets out plans to transform specialist services and support in education settings and for families.

In higher education, there is already much work underway to improve the quality of mental health services for students, alongside services provided by the NHS, including through the NHS programme ‘Improving Access to Psychological Therapies’. The recently published green paper sets out plans for a new national strategic partnership with key stakeholders focused on improving the mental health of 16-25 year olds by encouraging more coordinated action, experimentation and robust evaluation.

Differential fees would undermine social mobility, argues MillionPlus

In advance of the UK Government’s review of higher education funding in England, promised by the Prime Minister Theresa May at the 2017 Conservative Party Conference, MillionPlus, the Association for Modern Universities, on 13 December published a new policy paper focusing on differential fees and student maintenance grants.  The paper outlines why differential fees linked to graduate earnings or courses would undermine social mobility and lead to greater inequality in student funding. Instead, MillionPlus urges Ministers to adopt a ‘common-sense’ approach and restore student maintenance grants to help students now and save taxpayers’ money in the long run.

Pam Tatlow, Chief Executive of MillionPlus, said:

“All students deserve to study at well-funded universities, wherever, whatever and however they choose to study – full or part-time. Linking differential fees to graduate earnings or courses would switch resources to students from wealthier backgrounds and would simply rob Peter to pay Paul. Rather than promoting the social mobility that both Theresa May and Justine Greening, Secretary of State for Education, support, differential fees would create greater inequality in funding. 

“If Ministers want to help students and young people, they should restore student maintenance grants. This would reduce student debt and offer a lifeline to students for whom the cost of living while they are studying, presents huge challenges. In 2015, the government said that maintenance grants were ‘unaffordable’. It was a claim that never really stacked up and it’s time for Ministers to move on. Restoring maintenance grants is ‘common-sense’ economics and would be good for students but also cost-effective for taxpayers who would have to write-off less in unpaid student loans in the future.”

And the British Academy have published a report showcasing “practical, evidence based interventions which could be replicated in other parts of the country to improve relationships between communities of different ethnic backgrounds and to help new arrivals feel welcome”. “If you could do one thing…” Local actions to promote social integration

Parliamentary Questions

Q – Melanie Onn: To ask the Secretary of State for Work and Pensions, whether student loans are classed as complete income for the purposes of calculating universal credit eligibility.

A – Damian Hinds: When Universal Credit calculates eligibility, it takes into account the elements of student loans or grants which provide for the student’s basic maintenance. Universal Credit disregards elements paid for specific additional costs the student has, such as tuition or books. Once the total annual loan is calculated, Universal Credit applies a flat rate monthly disregard of £110 whilst the claimant remains a student.

Q – Lord Adonis: In respect of the duty of the Chief Executive of the Higher Education Funding Council for England to safeguard the efficient use of public funds, what assessment they have made of the value for money of salaries paid to vice-chancellors.

A: Viscount Younger Of Leckie: The government is determined to ensure that students and taxpayers can be confident that they get a good deal from higher education (HE). Over recent years, the government has become increasingly concerned about the level of remuneration for senior staff in the HE sector. It has asked the Higher Education Funding Council for England to look at this issue using its regulatory powers, which has resulted in updated guidance to the sector on senior pay and greater transparency in relation to vice-chancellor salaries. Holding universities to account for value for money has been a key objective of the HE reforms, enacted in the Higher Education and Research Act, and it continues to guide the government’s work as the Office for Students (OfS) is launched. The OfS has a statutory duty to promote value for money in the sector. The government will ask the OfS to use its powers to take action to protect value for money for students and taxpayers in the future.

Q – Lord Adonis: Whether Ministers and the Higher Education Funding Council for England plan to investigate the decision-making process at the University of Bath which led to an “exit package” being paid to the Vice-Chancellor… and whether they consider this was consistent with the proper and efficient use of public funds.

A – Viscount Younger Of Leckie: The government expects the Higher Education Funding Council for England (HEFCE) to look into issues related to value for money with regard to English higher education institutions…We understand that HEFCE is currently considering whether it should investigate the governance processes concerned with the Vice-Chancellor’s retirement.

Q- Gordon Marsden (Lab): Friday’s National Audit Office report on the higher education market is hugely damaging. It says that the market is failing students and that such practice anywhere else would raise questions of mis-selling. Meanwhile, the Student Loans Company is in crisis. This is all under the watch of the Minister for Universities, Science, Research and Innovation. What does he say now to the NAO?

A – Jo Johnson: The National Audit Office rightly pointed out that students want value for money, which has been the guiding objective of our entire suite of HE reform programmes. That is why we have set up the Office for Students, which will ensure that universities are held to account for the teaching quality and value for money that they deliver to our students.

Credit Transfer

Sheffield University, in partnership with HEFCE, have published Should I stay or should I go? drawing on student perception of mobility and credit transfer. It calls for the OfS to consider these issues from the student perspective and press for HE providers to facilitate easier transfers between courses and institutions. Students felt universities only offer limited support at present, which exacerbates their difficulty at such a transition point in their lives. It also notes that students are concerned about the message transferring to another university sends. Contemplating whether it devalues their degree (lecturers also expressed concern about the intellectual integrity of a degree ‘broken’ across institutions) and whether changing course and/or institution makes the student look unreliable. The report recommends an independent and impartial advice service to help students identify when transfer to another provider is the right for them.

Industrial Strategy – Engineering and Technology Crisis

The Institution of Engineering & Technology published a report on skills and demand in industry which noted the industrial strategy needs to tackle the skills gap if it is to work. The report describes the lack of diversity in the workforce as contributing to the recruitment shortage.

  • 81% stated employers need to provide work experience to help improve the supply of engineers and technicians
  • 87% of employers don’t have LGBT/BAME diversity initiatives in place
  • Only 15% of employers make particular efforts to attract and retain women in engineering and technical roles (beyond the statutory equality requirements)

Joanna Cox, IET Head of Policy, said: “As the UK goes through a period of economic uncertainty, the skills shortage in engineering remains an ongoing concern for engineering companies in the UK. Employers tell us that tackling this problem is fundamental to making the Government’s Industrial strategy viable. We must now bring businesses, academia and Government together and strengthen their working relationships to ensure that the next generation of talent has the right practical and technical skills to meet future demand.

Read more here.

Consultations

Click here to view the updated consultation tracker. Email us on policy@bournemouth.ac.uk if you’d like to contribute to any of the current consultations.

New consultations and inquiries this week:

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JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

Follow: @PolicyBU on Twitter                   |                       policy@bournemouth.ac.uk

HE policy update for the w/e 8th December 2017

Fees and funding – the latest developments

The fees and funding discussions continue with some interesting developments this week.

Firstly, there was a written response by the Minister -responding to the Resolution of the House on 13th September 2017 on tuition fees (the non-binding one that was essentially passed unanimously because no Conservative MPs attended). The statement included a few important points and some hints:

  • Maximum grants and loans for living and other costs will be increased by forecast inflation (3.2%) in 2018/19.
  • For the first time, students starting part-time degree level courses from 1 August 2018 onwards will qualify for loans for living costs.
  • I expect to lay regulations implementing changes to student finance for undergraduates and postgraduates for 2018/19 early in 2018. These regulations will be subject to Parliamentary scrutiny.
  • The Department of Health will be making a separate announcement on changes to student finance for postgraduate healthcare students and dental hygiene and dental therapy students in 2018/19.

(more…)

HE policy update for the w/e 24th November 2017

Industrial Strategy

A little bit late this week, but that gave us the opportunity to include a reference to the Industrial Strategy, launched today. It has just been published and you can find it here. It sounds as if it hasn’t moved on much from the Green Paper – read our end of summer summary here.

Headlines, courtesy of Dods, are:

  • Industrial Strategy Challenge Fund will invest £725 million in new programmes to capture the value of innovation
  • first ‘Sector Deals’ – to help sectors grow and equip businesses for future opportunities
  • 4 ‘Grand Challenges’ which will take advantage of global trends to put the UK at the forefront of the industries of the future.

Sector Deals will include construction, life sciences, automotive and AI the first to benefit from these new strategic and long-term partnerships with government, backed by private sector co-investment. Work will continue with other sectors on transformative sector deals.

4 Grand Challenges; global trends that will shape our rapidly changing future and which the UK must embrace to ensure we harness all the opportunities they bring, they are:

  • artificial intelligence – we will put the UK at the forefront of the artificial intelligence and data revolution
  • clean growth – we will maximise the advantages for UK industry from the global shift to clean growth
  • ageing society – we will harness the power of innovation to help meet the needs of an ageing society
  • future of mobility – we will become a world leader in the way people, goods and services move

To ensure that the government is held to account on its progress in meeting the ambitions set out in the strategy, an Independent Industrial Strategy Council will be launched in 2018 to make recommendations to government on how it measures success.

Linked to this, ahead of the budget, the PM announced a boost to research funding. The Government will make an additional investment of £2.3 billion in 2021/22 (total R&D investment £12.5 billion in 2021/22). They will also work with industry to boost R&D spending to 2.4% of GDP by 2027 (possible increase of £80 billion over next 10 years).

The Business Secretary, Greg Clark said: “Through our Industrial Strategy we are committed to building a knowledge and innovation-led economy and this increase in R&D investment, to 2.4 per cent of GDP, is a landmark moment for the country. The UK is a world leader in science and innovation. By delivering this significant increase as part of our Industrial Strategy, we are building on our strengths and working with business to ensure that UK scientists and researchers continue to push the boundaries of innovation.”

Budget and the fees review

And having mentioned the budget – we were expecting an announcement about HE fees and funding, but there wasn’t one. There was a hint about post-study visas. As you will recall, if you have been following the “national debate” since May, a “major review” was promised by the PM at the Conservative Party conference in October with a freeze on fee increases in the meantime and nothing has been heard since. Fee increases for were put on hold – so that there are currently no planned increases for 2018/19 or beyond. Wonkhe have noticed that the “red book” that comes out with the budget has confirmed that this freeze is planned for 2 years but nothing is said beyond that. So the review may still be on the cards, but maybe the budget was too soon, or too risky, a forum for that announcement.

And with that in mind, note this bit from the summary of the Lords Select Committee proceedings below “Cross-subsidy is worth a major inquiry in its own right.

Parliamentary Questions

Following the Panorama programme disclosing alleged abuse of the student loan system, questions were asked in Parliament last week

Gordon Marsden: What safeguards her Department operates to prevent the abuse of student loan funding by private Higher Education providers. [113082]

Joseph Johnson:

  • Higher Education Institutions that are designated for student support must, on an annual basis, meet robust standards for quality, financial sustainability, and management and governance.
  • Designated Alternative Providers without their own Degree Awarding Powers are also subject to student number controls, limiting the number of students eligible for student support that they can recruit each year.
  • The Department can and does use sanctions where breaches of the conditions of designation are identified, including the suspension or removal of designation for student support where we have serious concerns about providers.
  • Following the passage of the Higher Education and Research Act, the Office for Students (OfS) will be established formally in January 2018. It will provide, for the first time, a single regulator for higher education providers regardless of how they are funded. The OfS will have powers to assess the quality of, and standards applied to all English Higher Education provision.
  • The OfS will place a focus on students and greater emphasis on ensuring value for money for students and taxpayers. There will continue to be tough and rigorous tests for providers who want to enter the system and enable students from all backgrounds to receive funding.

Angela Rayner: What additional funding allocation her Department will receive for each of the next three financial years to fund the increased RAB charge resulting from the increase to post-2012 loan repayment thresholds. [113058]

Joseph Johnson:

  • The Government has frozen tuition fees for academic year 2018/19 and for financial year 2018-19 has raised both the repayment threshold and the thresholds at which variable interest rates apply to borrowers in repayment.
  • The repayment threshold will rise from £21,000 to £25,000 for the 2018-19 financial year (from 6 April 2018). Following the threshold change, interest will be charged at RPI for those earning below £25,000 (compared to £21,000 before) and at RPI+3% for those earning above £45,000 (compared to £41,000 before), with interest applied on a sliding scale for those earning between those two thresholds.
  • The long-term cost of the student loan system is reflected in the Resource Accounting and Budgeting (RAB) Charge, which measures the proportion of loan outlay that we expect not to be repaid when future repayments are valued in present terms. In each of the financial years (a) 2017-18, (b) 2018-19 and (c) 2019-20, the RAB charge for higher education loans is expected to change from around 30% under the previous policy to between 40% and 45% under the new policy.
  • The allocated budget for RAB expenditure forms part of the total resource departmental expenditure limit. It is disclosed within the depreciation figure set out within the annual report and accounts. In the 2016-17 annual report and accounts, this was forecast to be £3.5bn for 2017-18, £3.9bn for 2018-19 and £4.3bn in 2019-20. As in prior years, the 2017-18 budget and future budgets will be reviewed as part of the annual Estimates process and confirmed in the published Estimates documents.
  • The cost of the system is a conscious investment in young people. It is the policy subsidy required to make higher and further education widely available, achieving the Government’s objectives of increasing the skills in the economy and ensuring access to university for all with the potential to benefit.

Gordon Marsden: What monitoring and scrutiny of student recruitment agents for private Higher Education and Further Education providers her Department undertakes. [113080]

Joseph Johnson:

  • All higher and further education providers are accountable for their respective recruitment practices. If those breach the respective conditions for funding then a consequence may be regulatory sanctions or termination of their contract. Providers are subject to robust regular monitoring for standards for quality, financial sustainability and management and governance.
  • And in the meantime, the House of Lords Economic Affairs Select Committee investigation into the Economics of Higher, Further and Technical Education continues. This week’s update comes from the oral evidence heard on 14 November.

Q: To what extent do you think technical education can be delivered through higher education institutions?

  • Professor Patrick Bailey (DVC, London South Bank University): all the universities are delivering higher education courses that include enormous amounts of information directly relevant to workplaces. Most…ensure that all their students will have professional practice and some of the technical skills that are going to be required when they move into jobs afterwards. There is a move…to ensure that students are job-ready when they leave. There is a misconception that there are technical skills and pure academic subjects. Even those that would be defined as purely academic now have significant components that ensure that people are ready for a wide range of tasks. Many universities are also well directed towards developing the technical skills.
  • Pam Tatlow (Chief Executive, MillionPlus): If you want to deliver learning and qualifications that match what employers want and the reality of students’ lives, whatever their age, there is a very good case for a more flexible funding system where you fund by credit or module. That would reflect the reality of the lives of students, both the younger ones and the older ones already in the workplace…. However, it would not be for the Chancellor to introduce the primary legislation we need to create a more flexible funding system. The Government missed an opportunity to do that in both the Education Act 2011 and the Higher Education and Research Act 2017.
  • Professor Bailey: There is a subtlety here in that once students are enrolled on a three-year programme, universities are penalised in how they are judged if students do not progress through to that degree… across the sector overall we are losing the opportunity to upskill a wide range of people who could meet the needs of the industries around the UK, which are crying out for levels 4, 5 and 6 in particular.
  • Professor Bailey: The universities are extremely well placed to take level 4s and upwards. However…the ability to have a break and to exit at an early stage without a penalty increases the opportunity for many, particularly part-time and mature students who are challenged in other ways. There is a continuum: the idea that it is either FE or HE is wrong. FE does not have either the expertise or facilities to deliver at level 6 and rarely at level 5. Crucially, more and more universities like mine are working closely with FE to ensure that students feel they have a choice, as they come through level 3, either to go to level 4 at FE or move to a higher education degree at a university. It comes back to giving choice and ensuring that students have the chance to develop skills to their maximum potential.
  • Lord Burns: The same question has been on my mind. Are you saying that you can see a world in which universities are going to do both HE and FE work? I can see that FE cannot do the university work but over the years I have watched universities becoming involved in more and more different areas…with mergers, they are getting bigger and bigger. Is the end product here that universities will try to do everything over the age of 18?
  • Pam Tatlow: No.

  • Sir Anthony Seldon (VC, Buckingham University): I disagree…some universities will embrace FE. I think we will see a top tier—Oxford, Imperial et al−that becomes more research-focused, competing in the world tables and other, more regionally-based, universities that will come down to FE and even UTCs and academies and go all the way through. We do not know, but that is my sense: that the new binary divide will be between HE and FE but with less research and with high research at the top end. Who knows?

Is there a disparity in the available funding higher education and further technical education? If so, how would you address it?

  • Professor Mike Thomas (VC, University of Central Lancashire): Yes, there is a disparity. I can tell you how we are addressing it…We feel that when you do an undergraduate degree—four years for engineering or five years for medicine and so on—you should also be allowed the opportunity to do an apprenticeship at the same time, so that when you qualify and graduate you may be, say, a four-year engineering degree-holder but you may also be a trained fitter or plumber. If you are doing construction, you could do joinery or carpentry. We tested this model internally in the university. We have 1,000 student start-ups at the university, which is quite a large number for the economy of Lancashire, creating about 3,000 jobs over three years, with a turnover of about £500,000 on average. Many of them come from fashion and the arts, because when they get their degree they set up on their own. When we piloted this internally at the university, we found that our art students, particularly fashion students, wanted to do a certificate in accountancy because they were setting up their own businesses, but they were not allowed to do it because it involved different funding or different institution.
  • We are modelling a system in the university whereby students can do that. At the moment, we are picking up the fees. Engineers can train through a long-term apprenticeship levy. Arts and fashion students can train to get other types of qualifications. We do not take the hierarchical vertical view of learning; we take a horizontal model and work with 21 FE colleges so that our students can go there on Wednesday afternoons or spend four to six months in employment. The piloting with BAE involves them doing two years of a degree in the university, but in the final year they move to a levy and a degree apprenticeship, so that reduces their fee loans. They pick up an “Earn as you Learn” as they go along, and they graduate with a degree and an apprenticeship at the same time. We think that we meet the employer need.
  • The difficulty is the silo payment; you have to have an EFA or an ESF payment or a student loan. We think there should be one payment and that undergraduates should be allowed to do apprenticeships and respond to the lifelong learning. For me, it is self-evident that people need support, in relation to what Peter said. We are living longer and people are doing different jobs. Even if they stay in the same firms, the technologies in that firm will change so they will need to relearn anyway as they go along, but those opportunities are not there. We are very much modelling a horizontal model.
  • Lord Turnbull: I think you are telling us that we are going down a cul-de-sac in thinking of tertiary education as having these two divisions, HE and FE apprenticeships, and that we want to create something that is seen across this whole system… You heard in the previous session that you can go along the pathways and every time you hit a block there is some kind of regulatory funding decision to the effect that, “When you get here, you cannot get on to the next stage”.
    The committee then moved on to discuss the blockages and how it could be easier for people to move across different models.
  • Professor David Latchman: This emphasis on the student and the student outcome is the key, because we have a system that is basically like the school system: you leave school at 18 and you will never go back. Our system is predicated on you requiring an undergraduate degree, 18 to 21, and never needing that again. Somehow or another, within the funding envelope or in some other way, we have to get to this lifelong learning issue, because the world is changing. What you do at 21 is not going to be what you do at 51, and to assume that you will never need to get other qualifications between 21 and 61 or whatever is madness in today’s world.

Q: What kind of future do you see for degree apprenticeships?

  • Professor Bailey: I can see an engagement from business and industry more generally, which has picked up as they have had to pay the levy and have realised the financial implications and how it affects them, and that has been really positive.
  • Pam Tatlow: The Institute for Apprenticeships does not understand HE standards, which is a major issue…there is an inflexibility in the Government’s approach to the use of the apprenticeship levy. There could be some relaxation…. There is a bit of a numbers game going on when actually we need degree apprenticeships to be allied with programmes where it makes sense. We are dependent on the employers recruiting to degree apprenticeships; it is not our gig. We need the employers to be convinced that this is what is going to deliver for them.
  • Professor Bailey: The concern…is that a tranche of standards have been identified by the professions, which need to be superimposed on the qualification requirements that we have for degrees—in particular critical thinking, working in teams, synthesising information and taking complex problems.. there are high-level skills that would benefit anybody within a technical discipline, but how the technical part is defined is rather more specific within those particular disciplines. They can complement each other, but it makes it a very complicated process for us, because we have to run the whole degree programme and map that across a different set of standards that the apprenticeships require. However…I think it has provided an additional incentive for employers to become engaged in how we develop qualifications.

TEF

  • Professor Bailey: [we] were aware that we were using very weak proxies to identify the quality of education in the UK. We did our very best to combine the crude metrics that were used to identify which rating institutions should get with the provider statement that went alongside it. The thing that came across really strongly from the teaching excellence framework was how little difference there was in the quality of provision. At the beginning, it was assumed that there were outstanding institutions and others that were performing very poorly and it was important to identify those extremes. In the end, you obtained what I will call a black mark if you were 2% below the standard in an area being measured, such as the quality of the facilities. You got a gold star if you were 2% above that. That tells us that the differences across the sector were very much smaller than people outside higher education had perceived…As to how it has helped students, it is probably slightly limited because the range is smaller than had been perceived at the outset.

Cross-subsidisation of research

  • Lord Darling of Roulanish: Jo Johnson, the Universities Minister, said recently that he wanted to see a reduction in the cross-subsidy between courses. What is your view on that?
  • Professor Simon Marginson: Cross-subsidy is worth a major inquiry in its own right. It is a complex problem, and it is an information issue in part. The tendency has been for us to find every way and means we can to subsidise and build research, because research is not only integral to the role of universities but has become central to their national and global competition…Of course, teaching and research are integrally related. It is not as if, when you subsidise research, you do nothing but teaching. It becomes a more complicated problem. Some disciplines are cross-subsidised by others. In many institutions, I suspect that the relatively low-cost business programmes, which generate high volumes of students, with large numbers of international students paying full fees and so on, subsidise a lot of other activity.

OfS consultation (part 3)

We continue our series on the OfS consultation on the future regulatory framework with the 4th objective of the OfS on value for money for students and a look at how the OfS will regulate the HE market (as opposed to how they will regulate individual providers, which we will come back to in a future update).

Objective 4: that all students, from all backgrounds, receive value for money

  • “Providers have a responsibility to ensure that students are able to secure value for money for their investment in their education, just as students have a responsibility to engage with their own learning and take the opportunities higher education offers.”
  • “Transparency is also central to promoting value for money for students and protecting their rights, shining a light on provider activities and ensuring they are held to account. Students must be assured that the investment they are making in their future is worthwhile, and will be able to challenge institutions that do not deliver on their commitments.”
  • Under the management and governance condition (see the section on this below), providers in the Approved categories will be expected to be demonstrably responsible for operating openly, honestly, accountably and with integrity, and will be required to publish a statement on the steps they have taken to ensure value for money for students and taxpayers which provides transparency about their use of resources and income. Providers should design this statement to allow students to see how their money is spent, following examples from other sectors, such as Local Authorities publishing breakdowns of how Council Tax is spent. ….Where there are substantial concerns the OfS may carry out an efficiency study to scrutinise whether a provider is providing value for money to both its students and the taxpayer.”
  • “Higher education providers are autonomous institutions, and they are solely responsible for setting the salaries of their staff. However, the taxpayer is the sector’s most significant single funder and there is a legitimate public interest in their efficiency, including of senior staff pay. There will be a new ongoing registration condition requiring providers to publish the number of staff paid over £100,000 per annum, and to explain their justification for pay above £150,000.”
  • “Arrangements will be made for the publication of data on senior staff remuneration, including in relation to protected characteristics such as gender and ethnicity. Where issues with senior staff pay lead to substantiated concerns over governance, the OfS will be able to arrange for efficiency reviews into the providers.”
Consultation question: What more could the OfS do to ensure students receive value for money?

Market regulation – Chapter 2

“Effective competition compels providers to focus on students’ needs and aspirations, drives up outcomes that students care about, puts downward pressure on costs, leads to more efficient allocation of resources between providers, and catalyses innovation. The higher education sector in England is well suited to market mechanisms driving continuous improvement “

“It does not, however, follow from these features that an entirely laissez-faire approach is appropriate. Higher education is a service unlike any other:

  • there are almost never repeat “purchases” of the same type of higher educational courses by an individual student – the market is in most cases a one-shot game
  • many of the primary benefits to the student (for instance improved learning, knowledge, and skills, greater earnings and career prospects, and personal fulfilment) are not received immediately; they are spread out over their life time. This exposes the market to distortions such as time inconsistency (where students’ preferences change over time) and temporal discounting (where students value the benefits of higher education less because they occur in the future)
  • similarly, the cost of higher education is often not paid immediately, but rather paid for after through graduate repayments, which in most instances are subsidised by the state. This too, creates temporal distortions, and exposes the sector to moral hazard (where students may take greater risks because they do not necessarily bear the full cost of the degree)
  • there are (currently) significant information asymmetries, and prospective students often make decisions with limited reliable information
  • in the case of undergraduate degrees, there is a price cap in place for some providers. In practice, providers sometimes compete in terms of the grades they require to admit students, rather than on price
  • institutional failure has significant repercussions for current, past, and (in some cases) potential future students, as well as wider social and political consequences. This is why the OfS’s regulatory framework is designed to prevent sudden, unplanned market exit (in particular through its approach to early warning monitoring), and support students to continue their studies if their original provider can no longer deliver their course. The creative destruction witnessed in more traditional markets, though still a powerful and relevant tool, has the potential to carry greater costs
  • there are both private and non-profit organisation competing in the provision of similar services”

Student engagement: The OfS will engage with students to ensure the student voice is not only heard clearly, but that students actively shape the OfS and – by extension – the sector itself. Alongside the student representation on the Board and Student Panel, the OfS will seek the input of individual students and their representative bodies, including student unions.”

The Teaching Excellence and Student Outcomes Framework (TEF): “In accordance with the provisions set out in HERA, a statutory Independent Review of the TEF will likely take place in academic year 2018/19 and will report in time to influence the assessment framework for assessments taking place in academic year 2019/20 (TEF Year 5). Depending on the findings of the Independent Review and of the subject pilots, this will also be the first year of subject level TEF. The assessments taking place in academic year 2019/20 will therefore constitute the completion of the TEF development process. This will be a significant milestone for the TEF, which has the potential to evolve over time as the Research Excellence Framework (REF) has done.”

Proposed on-going condition:   Condition P: “The provider must participate in the Teaching Excellence and Student Outcomes Framework (TEF).”

Consultation question: Do you agree or disagree that participation in the TEF should be a general condition for providers in the Approved categories with 500 or more students?

Removing unnecessary barriers to entry (for new providers that meet a high bar): “The OfS and HERA will enable new providers in particular through the mechanisms below:

  • Simplification of the regulatory landscape:
  • No requirement for a track record
  • Increased options for market entry
  • Recognition of diversity
  • Reduction in burden
  • Grant funding and registration fees
  • Validation”

Accelerated courses: ”HERA includes powers for the Government (subject to approval by Parliament) to set the annual tuition fee cap – for accelerated courses only – at a higher level than their standard equivalent. This should incentivise more providers to offer accelerated courses, increasing choice for students. At the same time, the cost for a student taking an accelerated course which is subject to the new fee caps will be less than that of the same course over a longer time period. The Government will consult shortly on specific proposals for accelerated courses.”

Teaching grant: “The teaching grant is designed to support a range of activities and provision …The majority of the funding is used to support provision where the cost is greater than the amount received as tuition fee income either because the course is costly to provide, because the location brings about additional costs or additional opportunities, or the provision is highly specialised, as with the support provided to our world-leading specialist institutions. The teaching grant supports efforts to improve social mobility by widening access to under-represented or disadvantaged students and ensuring their continued participation and success in higher education. Funding also supports innovation and the national academic broadband infrastructure. The OfS will continue with this approach, but it will also wish to deploy the teaching grant strategically, taking into account Government priorities. This will enable it to influence sector level outcomes“

Widening Participation – Parliamentary question

Q – David Lammy (Lab): Whether she has made an assessment of the effectiveness of steps taken by Oxford and Cambridge Universities to improve access and widen participation from under-represented groups; and if she will make a statement.

  • A – Joseph Johnson (Con):. …the Director [of Fair Access (DfA)] negotiates with institutions to ensure that Access Agreements are stretching and appropriately demanding. Higher Education Institutions are independent from Government and autonomous – legislation specifically precludes Government from interfering with university admissions.
  • In our guidance to the DfA, published in February 2016, we asked for the most selective institutions, which include the University of Oxford and the University of Cambridge, to make faster progress on widening access, and to ensure their outreach is more effective. The guidance acknowledged that within this group of institutions there is wide variation, with some demonstrating little progress.
  • Access agreements for the 2018/19 academic year show that the University of Oxford and the University of Cambridge plan to spend over £22 million on measures to further improve access and student success for students from disadvantaged and under-represented backgrounds.
  • Following the introduction of the Higher Education and Research Act, from January 2018, the Office for Students (OfS), with a new Director for Fair Access and Participation appointed by my Rt Hon. Friend, the Secretary of State, will take on responsibility for widening participation in higher education. The OfS will have a statutory duty to promote equality of opportunity across the whole lifecycle for disadvantaged students, not just access. As a result, widening access and participation will be at the core of the OfS’ functions. In addition, our reforms will introduce a Transparency Duty requiring higher education providers to publish application, offer, acceptance, drop-out and attainment rates of students broken down by ethnicity, gender and socio-economic background. This will shine a spotlight on those higher education institutions that need to go further and faster to widen participation in higher education.

Consultations

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JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

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Follow: @PolicyBU on Twitter                   |                       policy@bournemouth.ac.uk

HE Policy update for the w/e 17th November 2017

Welcome!

There’s a veritable feast of HE policy for you to enjoy this week – lots on the budget and fees and funding, another section of the OfS consultation including quality, consumer protection, student protection plans and student transfers, and an update on engagement with schools.

Fees, loans, funding – and the Budget

Philip Hammond’s imminent delivery of the Budget on Wednesday 22 November has caused a mini flurry of organisations releasing reports and evidence aimed to influence. Here’s UUK’s.

It may be too late. Speaking at Wonkfest on 6 November Jo Johnson’s tone of certainty suggested plans were already ready. Of course it wouldn’t be the first time Johnson’s opinion has diverged from the government on expected policy, nor the first time the Prime Minister makes a last minute policy changing decision….

A Budget snippet that Johnson trailed at Wonkfest, to the consternation of the audience, was the suggestion that universities may pick up the tab for the repayment threshold reduction in the student loan repayment rate. While it may be unwise to speculate, your fearless Policy team will once again have a go:

Option 1: The Government could cut all tuition fees down to a lower level without replacing the lost income universities receive.

  1. This reduces the Government’s subsidy for student loans, however it is socially regressive, because it mostly helps those students who go on to earn most. .
  2. However, that is a purely economic analysis – there are many in the sector and politicians who believe that the impact of loans is not purely financial but has effect on behaviour, discouraging those from poorer backgrounds or who don’t expect to have high earnings from applying at all. That argument is of course countered by those who rely on the data that shows that student participation from low income backgrounds is going up steadily – and that at least until last year, there was a strong upward trend in applications overall (which may now have stalled). Note that OFFA do not support direct financial help as a method for increasing participation (they are usually talking about bursaries but the same may hold true for grants)

Option 2: The Government could reduce or abolish tuition fees for a specific group, such as students most in financial need.

  1. This would reduce the Government’s subsidy for student loans
  2. It is a socially progressive policy which supports the Government’s social mobility aims by tackling the debt adversity of the most disadvantaged students. It would help them to attack Labour’s (regressive) 2017 general election promise to abolish tuition fees – and winning back lost voters is of paramount importance to the Conservatives.
  3. It would be easy for the Government to implement this change quickly – as soon as the 2018/19 intake.

Under this scenario it would unlikely that the Government would replace the lost income to universities – so the impact of this would be to force efficiencies within the sector (Johnson is renowned for saying that HE institutions haven’t experienced austerity and have ‘had it good’ for a long time).

In effect, the fees from richer students would be subsiding the poorer students. Universities with the largest number of low income students would be most affected (with the Russell Group relatively unscathed).

This may be a well-planned long game – the Office for Students will have increased power to interrogate and publish admissions statistics to highlight “gaming” and the new Director of Access and Participation can sanction universities through the TEF for a fall in recruitment of low income students. The use of contextual admissions has also been debated widely in the media in recent weeks.

Option 3: The Government could decide to differentiate tuition fees based on subject, allowing subjects with the highest graduate earnings, employment rates and value added to charge the highest fees. The subject level TEF pilots have recently commenced (over 2 years), so such a decision would seem to be premature. However, a consultation in conjunction with the subject-level TEF outcomes ready for swift implementation in 2019 seems plausible. This approach might also mean that high cost subjects (e.g. STEMM) could remain at the highest chargeable fee, but the government could remove the current funding top ups and so reduce the overall cost (and reduce university income still further). See this Sunday Times article on differentiated fees per subject and institution.

Option 4: There have been suggestions of controlling the number of places for certain subjects based on the jobs needed by the economy. The Lords’ Economic Affairs Select Committee has been conducting a series of oral evidence sessions to investigate The Economics of Higher, Further and Technical Education. There is much more from this debate in the section below but this exchange is interesting:

  • Willetts: Essentially, there is a group of high-earning courses: law, economics and management. There is a group of middle-earning courses, mainly STEM subjects. There are less well-paid graduates. The worst paid are in the performing arts. That is another reason why it proves very difficult to get into differential fees. We could charge more for graduates doing courses with high pay but how then would we exempt fees or justify charging higher fees for skills shortage areas such as STEM or medicine.
  • Adonis: Tiered fees of that kind are precisely what the Australians have.
  • Willetts: Yes, and it is not satisfactory. Australia is in a mess; it has static levels.

Option 5: Continuing in this vein the Government may reconsider the original TEF proposal to set limits on which institutions can charge the higher tier of fees. You will recall that the TEF proposal was to let Gold and Silver rated institutions raise their fees each year- linked to a percentage of the inflation cap, but this idea was postponed in response to feedback from the House of Lords. Using new employability and earnings data (to be included in the TEF from this year) the argument may now be that students studying at an institution likely to result in a highly paid job could reasonably be expected to pay more upfront. And a recent student opinion surveys suggest students would be willing buy into such a ‘guarantee’ (see UPP, page 17). Earlier in the term some institutions within the Russell Group were lobbying for this. However, given that far fewer WP students currently apply or are admitted into the Russell Group institutions this would negatively impact the Government’s social mobility agenda. Of course the government may believe that the OfS provisions on WP will address this.

Option 6: And of course other options that do not hit tuition fees are also available. The Sutton Trust (see later in this Policy Update) would like to see a return to grants. The IFS have published a paper on “options for reducing the interest rate on student loans and introducing maintenance grants” – as two key options for the government, which are being called for – including by UUK. they conclude that both of these options could be done at a reasonable cost in some circumstances but that both would benefit high earning graduates most and make very little difference to the rest. As with an across the board reduction in fees (see above) this would therefore be regressive, but might have a beneficial effect in terms of increasing participation.

Option 7: The current Office for Students regulatory consultation (see below) considers the future use of the teaching grant (the grant to universities topping up high cost subjects, specialist support and innovation). It states the OfS will continue the current approach “but it will also wish to deploy the teaching grant strategically, taking into account Government priorities. This will enable it to influence sector level outcomes…” Could this mean government inadvertently pushing institutions to conform to a similar set of ideals (to attract the money) at a time when institutions need to differentiate themselves to compete successfully for students in a squeezed market? If so it could also be contrary to the regional specialities (responding to place) within the industrial strategy.

And more: Differentiated caps and varying loans might seem unattractive to Government due to its complexities to both administer and communicate to the electorate. It is also poor timing given the significant press covering Steve Lamey’s dismissal from the Student Loans Company after claiming it was a “mess” and badly run.

In last week’s policy update we wrote about HEPI’s paper which revealed the extent to which it can be argued that tuition fees from all students, but particularly international students, subsidise research costs. Jo Johnson has long been rumoured to be vexed at the cross-subsidisation that exists within the sector. So will we see a shake-up aimed at research funding too? Given the instability associated with Brexit, the Government’s focus on industrial strategy to boost the economy, in particular their aim to capitalise on innovation and the commercialisation of research, and the recent cash injections announced for R&D might research survived unscathed? It is not a stretch to imagine that this would disproportionately benefit some institutions more than others given the current rhetoric around outcomes (outputs) and institutional status.

Lastly, Conservative think tank Bright Blue have proposed that universities themselves should contribute financially to the sustainability of the student-loans system by repaying the Government subsidy for student loans. This subsidy is currently estimated as 20-30p for each £1 lent. Bright Blue is quick to remind that the cost of such a subsidy wouldn’t be so high if universities didn’t all charge the highest fee. Bright Blue continues:

  • “Certainly, there are an awful lot of expensive institutions producing graduates with earnings that mean their student loans must be subsidised, costing the taxpayer a lot of money…Thanks to the new Longitudinal Educational Outcomes (LEO) dataset., which uses HMRC and Student Loans Company data to accurately link nearly all graduate salaries to institutions attended, it is now possible to expose such universities. Institutions producing a disproportionate number of graduates who will need their student loans subsidised should contribute a levy to government.”

They go on to suggest that should universities charge less/contribute financially to the write-off subsidy this would enable the Government to better fund lower (FE) qualifications or more modular methods of study.

Delve into the detailed background and some other options in Jane’s blog on the Lighthouse Policy Group: Fees, loans and debt – an Autumn update.

In retrospect, after our dark musings on the Budget, Jo Johnson’s repeated reminder that the sector should not clamour for May’s announced review of HE (as it risks a less advantageous settlement than present) seem like wise words.

IFS – student loans and maintenance grants

As mentioned above, The IFS have published a paper on “options for reducing the interest rate on student loans and introducing maintenance grants” .  Key findings are (our emphasis added):

Interest rates

  • Positive real interest rates on student loans increase the debt levels of all graduates but only increase the lifetime repayments of higher-earning graduates. Removing them does not affect up-front government spending on HE, but it does slightly increase the deficit (due to the slightly confusing treatment of interest accrued on student debt in the government finances). More significantly, it also increases the long-run costs of HE due to the associated reduction in graduate repayments.
  • Reducing the interest rates to RPI + 0% for everyone would reduce the debt levels of all graduates. Debt on graduation would be around £3,000 lower on average, while average debt at age 40 would be £13,000 lower. However, because of the link between income and interest in the current system, this cut would reduce the debts of the highest-earning graduates the most: the richest 20% of graduates would hold around £20,000 less debt at age 40 as a result of this policy, while the lowest-earning 20% of graduates would be just £5,500 better off in terms of debt held at the same age. This policy of switching to RPI + 0% would have no impact on up-front government spending on HE, but would cost the taxpayer £1.3 billion per year in the long run. It would be a significant giveaway to high-earning graduates, saving the richest 20% more than £23,000 over their lifetimes.
  • A less costly policy would be to reduce interest rates to RPI + 0% while studying and leave rates unchanged after graduation. This would reduce the debt levels of all graduates at age 40 by around £5,000. It would be a significantly cheaper reform, costing around £250 million per year in the long run. Again, there is little impact on the repayments of low- and middle-earning graduates, while the highest-earning graduates would be around £5,000 better off over their lifetimes.

Maintenance grants

  • Reintroducing maintenance grants in place of loans also has no impact on up-front government spending on HE, but it results in a large increase in the government cost of HE as measured by the current deficit, due to the differential treatment of loans and grants in government accounting. The long-run cost of this type of policy is typically much lower as a large proportion of the loans that grants would replace are not expected to be repaid anyway.
  • Reintroducing grants of £3,500 under a similar system to that before 2016 would increase deficit spending by around £1.7 billion, but the long-run cost is only around £350 million. This reform would reduce the debt on graduation of students from low-income backgrounds taking a three-year degree by around £11,000.
  • The beneficiaries from this change in terms of actual lifetime loan repayments are students from low-income backgrounds who go on to have high earnings. We estimate that students eligible for the full maintenance grant who are in the lowest-earning 60%of graduates would experience little or no change in lifetime repayments, while those who have earnings in the top 10% of graduates would save around £22,000.

Sutton trust – fairer fees

In contrast to the IFS paper above, The Sutton Trust, a social mobility foundation, has released Fairer Fees which proposes using a sliding scale of means-tested fees and the reintroduction of maintenance grants. This focuses not on the economic effect of changing the structure (which the IFS says is regressive) but on the psychological impact of reducing debt.

They state that implementing these measures would cost the Treasury the same amount as October’s reduction to the student loan repayment threshold. The benefits of the approach are that they would cut average student debt by 50% (psychological benefit encouraging the debt adverse to reconsider HE) but with the greatest beneficial effects on students from low household income backgrounds “it would slash debt among the 40% poorest students by 75%, from £51,600 down to £12,700, and mean those from the poorest backgrounds emerged with two thirds less debt than their better-off counterparts”. The report claims changing to the proposed fee policy would also benefit the Treasury as it would reduce the proportion of graduates never repaying their full loans from 81% to 56% with the overall proportion of debt not paid back to 35%. However, the Treasury may consider these figures in a different light as there would be fewer graduates required to repay their loans because of the reintroduction of maintenance grants. The report makes the following five recommendations:

  1. The government should implement its promised review of higher education funding. While the October reforms were welcome, there needs to be a thorough review of deeper reforms to the system. In particular, the crisis in part-time numbers should be addressed and bespoke solutions explored.
  2. Our proposed solution would be to introduce a system of means-tested fees which waives fees entirely for those from low income backgrounds, and increases in steps for those from higher income households. Significant ‘cliff edges’ between income bands should be avoided as much as possible.
  3. Maintenance grants, abolished in 2016, should be restored, providing support for those who need it most and reducing the debt burden of the least well-off, so that they graduate with lower debt than those from better-off backgrounds.
  4. Losses to higher education institutions through lower fee income should be replaced by increased teaching grants. While this involves greater upfront costs to the Exchequer, it also provides a lever by which government could promote the provision of courses in certain areas such as STEM. This teaching grant compensation would be adjusted to ensure that universities admitting intakes with lower average fee levels would not suffer any drop in income.
  5. Reducing access gaps to university, especially top universities, should be at the heart of government higher education policy. There needs to be a joined-up effort to tackle the persistent access gap for those from lower socio-economic backgrounds across all aspects of higher education, from student finance to the UCAS application process to the use of contextual data by universities in admissions.

Returning to the Sutton Trust’s recommendations it is interesting to note that it doesn’t tackle Lord Willetts’ (ex-Universities and Science Minister) calls for a differentiated loan system for mature and part time students. Willett believes an alternative loan scheme coupled with more diverse degree models would tackle the part time and mature falling student number crisis by ruling out both psychological and financial deterrents. We’ll await the Budget with baited breath to find out if the Sutton Trust (and their accompanying press attention: Huff Post, Independent, Metro) will influence Government spending.

The Economics of Higher, Further and Technical Education

The Lords’ Economic Affairs Select Committee has been conducting a series of oral evidence sessions to investigate The Economics of Higher, Further and Technical Education. The aim of the investigation is to consider whether the funding of post-school education is focused sufficiently on the skills the British economy needs. The transcripts of a particularly interesting session held on 10 October were released this week revealing a stimulating debate. The witnesses were Lord Willetts, Lord Adonis and Paul Johnson (Director of the Institute of Fiscal Studies). Some interesting bits are below:

One third of graduates won’t end up in a graduate job.

  • Willetts: while they may not be in graduate employment when young they have a higher chance of securing graduate employment eventually..   Jobs considered non-graduate in the official standard occupational classifications are becoming more demanding, furthermore graduates seem to change the nature of the work they do just by virtue of their additional skills

Does what the HE system is trying to achieve match labour market outcomes, and how does it relate to other routes people could take?

  • Adonis: due to high fee levels some careers that previously required graduates are now moving to take non-graduates. [Examples given were big accountancy firms and the Civil Service who are recruiting high-level apprentices into graduate roles]. Graduates who previously would have gone to university are “now seizing prestigious high-level apprenticeship opportunities as a way of going straight into careers without having to take degrees and take on debt. I see no reason in principle why that could not go a lot further.” “I see no reason in principle why accountancy, and even the law, which, if you go back two generations, were not graduate careers for many of those participating in them, could not once again become much more vocational careers, where people can train on the job, get qualifications that are recognised in their profession and not have to take on high levels of debt. That is much more the case in German-style economies where the number of graduates is much lower to start with.”

Is student debt discouraging people from attending university and will our economy suffer?

  • Adonis: If you talk to sixth formers and those making decisions at 18 or 19, it is undoubtedly true that they are looking at alternatives to university in a way they were not a few years ago. As the number of high level apprenticeships increases they will become increasingly attractive. I suspect that we will see trends in both directions over the next few years. It will not by any means be just a trend towards more graduates.
  • Paul Johnson: there is no evidence in the data that the fee system has had much effect on the numbers of people going into higher education. There may be an effect later on, and a group of young people may be making different choices, but overall, as far as we can tell, the numbers have not been affected.

Given that many graduates will not repay debt is there any argument to forgive debt in public sector shortages areas (teachers, doctors, nurses)?

  • Adonis: “I tried hard to persuade the Treasury of the virtues of that argument. I did not get very far because it was convinced that… it would be left with almost no debt to collect.”
  • Baroness Kingsmill: In the US debt is forgiven relative to the number of years worked in the dearth sector – for 5 years work you’re forgiven half the debt; for 10 years, you are forgiven the whole lot.
  • Paul Johnson: rather than forgiving debt it’s more effective just to pay them more. Why do it in a roundabout way by forgiving debt?

On technical and vocational training – see the apprenticeships section below for more on this

University – seen as the only option

  • The discussion turned to suggesting young people choose university because it’s the most obvious and easiest to understand route, that there is limited information or advice to support young people who might choose an alternative route.
  • Willets responded: I agree with your point that other routes need to be clearly signalled, but I expect that in a modern western economy the managed transition to adulthood via three years of higher education is the mainstream route people will take. The danger of some people going down the alternative route is that I know who they will be. Eton will not be sending 25% of its kids on apprenticeships. You will reopen the social divide in participation by advantaged and disadvantaged groups.

Discussion of university place number controls was peppered through the committee hearing.

  • Adonis argued against controlling numbers based on the jobs needed by the economy (referencing Robbins): How should we think of universities? Should we try to predict the jobs that people are going to do in 20 or 30 years’ time and allocate places at university in accordance with our predictions? He said, “No, we cannot know”. Instead, he wanted an open, flexible system, heavily influenced by the number of people with the capacity to benefit from higher education.

Decline in part time students – a different loan system needed

  • Willets stated the decline in part time students was one of his greatest regrets in his time as Minister. He continued: The lesson I learn from it is that, rather than the seductive idea that you can have a single pot per person to pay for their education, you need different models for different groups. We extended loans to part-time students thinking it would have the same beneficial effect on them as the loans for full-time students, and all would be fine. The evidence is that the loans for part-time students have not worked. There has been low take up and people have been put off. We need new mechanisms for helping adults to study part-time, and I accept that the loan model has not delivered for them… If at any point we were looking at how to spend limited public money and what public spending would do, rather than spending it on compensating universities for a general reduction in fees, I have a list of things where I think there is a need. Certainly, a public spending package for adult learners, including helping mature students with the cost of tertiary education, be it university or not, would be a high priority.

International Students Fees/Cross-subsidisation

  • Discussion on whether it was right to charge international students a greater fee took place -asking whether the international students were getting value for money.
  • Adonis: if we were overcharging international students they would quite rapidly start to go elsewhere. We seem to be pretty price competitive with other major international education providers, and less expensive than many of the providers in the United States.

Charging differential fees – see the fees section above for this bit

On sandwich courses:

  • Baroness Bowles of Berkhamsted: We often hear from companies that the graduates they recruit are not job-ready…do we have the right approach in what we are looking for from university education? Is it delivering?
  • Willetts: I have a sneaking regard for…the extra year sandwich course. We should remember that, now, about half of all university students are doing vocational technical training courses that include time with an employer. We could have taken a different route, but Britain has ended up with a large amount of our professional and technical education now happening in a university context, and that is why university students are absolutely entitled to know which of those routes lead to good, well-paid jobs.

Flexible Degree Models

  • Baroness Harding of Winscombe: How do we get more flexible university education. It feels better with one year or two-year courses and courses you can dip into through a decade, not just three years. That seems to me, from a business perspective, to be a more effective means of building the skills we might need in the modern economy than assuming that all institutions doing three-year courses from the age of 18 to 21 is the right answer.
  • Lord Adonis: The failure to offer two-year degrees is a serious one on the part of universities. One of the effects of stuffing their mouths with money, which is what we have done over the last five years, has been to reduce significantly the incentives on them to do so. The Minister for higher education, in what I think was a very surprising change in the rules, is now allowing universities to charge the equivalent of three years’ worth of fees, taking out state loans over two years, as a way of encouraging them to offer two-year degrees when, surely, the rationale for two-year degrees ought to be that they should be at lower cost and at lower fees for the students.

Evolution of Apprenticeships

Wonkhe have published the blog: How apprenticeships can help productivity and social mobility which considers the evolution of apprenticeship policy. The article favours current government apprenticeship policy and on social mobility states: we have a unique once-in-a-generation opportunity to develop exciting work-based apprenticeship routes for new and underrepresented cohorts of learners. This will call for new patterns of apprenticeship delivery, new partnerships and new thinking.

There was some debate at the Economic Affairs Select Committee on this (see above for the rest);

  • Willets: Sometimes the higher education debate is just the lightning rod for a debate about what kind of structure we think the British economy should have. The German educational and industrial models are closely linked. In a highly regulated labour market, with a large amount of licence to practise that you need to secure to do a whole range of jobs, and apprenticeship routes into those jobs, and provincial banks funding the companies that protect those jobs—in other words, a much more corporatist model—you can also have a whole series of regulated training routes into specific types of vocational employment.
  • Adonis: “…if you are pretty clear what you want to do and which direction you want to go in and it is a commercial occupation, it is better to learn on the job and not accumulate between £60,000 and £100,000 of debt and be less work-ready at the age of 21 than you would be if you started at 18.”

And later on:

  • Lord Layard: I should declare that I work in a university, and I know that the rate of return for university education is reasonable, but the rate of return for apprenticeship and further education is generally found to be a lot higher. Is it not peculiar that we have not put more resources and effort into developing that side of it?…Failure to develop the non-university vocational education route, both at lower and higher levels, is a major cause of the inequality of wages in our country. What is being done about the alternative?
  • Adonis: I do not think that, somehow, we have a weak apprenticeship stream because we have a strong graduate stream. We have a weak apprenticeship stream because the state has not devoted resources, energy and commitment to creating a strong apprenticeship stream. Many of the countries that have them also have very strong universities. It is not a question of regulation; it is a question of proper funding streams, proper qualification systems and a commitment by employers to foster skills among their workforce, which historically has not happened here.
  • Willetts: It is absolutely right that we should promote technical education; we find it in universities, and, by and large, around the world the places that do it well tend to seek university title in the end.
  • Paul Johnson: We still do a very poor job for too many young people in vocational education. We need to focus more on apprenticeships. A serious issue is that Governments have tried, to some extent in the past, and have continually failed serially to make changes happen in an effective way. The serious question is why. Is it about political focus? Is it about resource? We certainly put a lot less resource into apprenticeships than we do into the university system.

Widening Participation – Schools

School Sponsorship

UUK have published Raising attainment through university-school partnerships, a good practice booklet of case studies detailing successful collaborative partnerships between universities and schools to raise pupil attainment and appetite for HE. The case studies are diverse and the booklet concludes that preserving flexibility of arrangements is a key aspect of the sector’s drive to raise standards in schools and remove the attainment gap between advantaged and disadvantaged pupils. Two recommendations are made:

  • focus should be on ends rather than means, with great flexibility over how HE can support schools based on local context and need whilst meeting the Government’s objectives
  • universities and their school partners need access to information on ‘what works’ – the Evidence & Impact Exchange (proposed by the Social Mobility Advisory Group) would support this by evaluating and promoting the evidence on social mobility, and assisting the direction of future partnerships to support attainment, access and student success

At the UUK Access and Student Success summit on Tuesday a Government representative made clear that broader (and effective) forms of partnership working are welcome but that they expect more universities to be involved in a school sponsorship style model.

Background: In December 2016 the Government made clear that they expected universities to be more interventionist proposing that all universities sponsor or set up a school in exchange for charging higher HE tuition fees. The Schools that work for everyone consultation garnered responses to the Government’s aim to harness universities’ expertise and resources to drive up attainment through direct involvement. (Note: the Government has not yet published a response to the consultation feedback.) When the snap election was announced the school sponsorship agenda featured in the Conservative’s manifesto. However, recently there has been little additional push from Government.

Working quietly in the wings throughout this period, OFFA have been urging institutions to make progress against a more diluted version of the Government’s aim – that universities take measures to support school pupils’ attainment and increase school collaboration through the Fair Access Agreements. In this they are acting on the strategic priorities the Government set out for them (originally in February 2016). While the push from OFFA has been to consider school sponsorship they appear to concur with the sector that this ‘one size fits all’ approach is not appropriate. Furthermore, it may run counter to social mobility objectives as encouraging an institution to focus the majority of its required WP spend on just one local school disadvantages pupils in other schools who will no longer receive the university’s support. This approach has faced much criticism from the education sector and from some MPs.

OFFA’s 2018-19 strategic guidance to institutions: It is now imperative to progress and scale up work with schools and colleges to accelerate the sector’s progress….[we are] asking you to increase the pace and scope of your work with schools to raise attainment, so that the teaching and learning outcomes for schools that work with universities are enhanced.  The guidance went on to request detailed information on the specific attainment-focused cohorts, success criteria, and how the work is planned to grow over time.

What will the New Year bring?  It seems unlikely that Government intend to drop the school sponsorship agenda. In spring/summer 2018 the Office for Students will come into its full powers, with a new Director, Chris Millward, at the Fair Access helm. We’ll see of this is a priority then.

Office for Students regulatory consultation

Continuing our series of updates on the OfS consultation – three weeks ago we looked at widening participation, this week we look at quality and standards, and protecting students as consumers. This section includes extensive quotes from the consultation document, reordered and edited to make it easier to follow.  BU will be preparing an institutional response to this consultation. Policy@bournemouth.ac.uk will work with colleagues across BU and collate our response. (Wonkhe have helpfully grouped them all on one web page)

  1. Objective 2: all students, from all backgrounds, receive a high quality academic experience, and their qualifications hold their value over time in line with sector-recognised standards
Consultation question:: Do you agree or disagree that a new Quality Review system should focus on securing outcomes for students to an expected standard, rather than focusing on how outcomes are achieved?

Consultation question:: Would exploring alternative methods of assessment, including Grade Point Average (GPA), be something that the OfS should consider, alongside the work the sector is undertaking itself to agree sector-recognised standards?

The quality conditions are:

  • B1: The provider must deliver well-designed courses that provide a high quality academic experience and enable a student’s achievement to be reliably assessed.
  • B2: The provider must support students, including through the admissions system, to successfully complete and benefit from a high quality academic experience.
  • B3: The provider must deliver successful outcomes for its students, which are recognised and valued by employers, and/or enable further study.

Quality code: “In parallel to this consultation, the UK wide Standing Committee for Quality Assessment (UKSCQA) has issued a consultation on revised expectations for the Quality Code.. The UKSCQA is working to conclude its consultation, and to finalise a revised set of expectations during Spring 2018. ….The new Quality Review system will provide a sound basis for the assessment of the quality and standards conditions, and be able to evolve with the increasing diversity of providers.”

New providers: “To facilitate greater diversity in provision and student experience, the OfS will make it easier for high quality providers to enter the sector. ….The OfS will also reduce the emphasis on a provider’s track record, which risks shutting out high quality and credible new providers.”

Grade inflation: “The OfS will annually analyse and arrange for the publication of information on grade inflation, directly challenging the sector where there is clear evidence of grade inflation”.

It was recently announced that the TEF will also include a new grade inflation metric on the proportion of students awarded different classifications over time. ….The TEF will therefore provider a counterweight to traditional ranking systems, some of which inadvertently encourage grade inflation by giving providers credit for the number of high-class degrees they award without further scrutiny.

A new condition will address this: C1: The provider must ensure the value of qualifications awarded to students at the point of qualification and over time, in line with sector-recognised standards.

Freedom of speech: Much heralded in the press around the launch of the consultation, there is actually very little about this (and it is not mentioned at all in the student summary). There is a lot more detail about the public interest proposal (see the section on the Public Interest Principles below), but this bit is relevant in this context:

  • the provider has set up a code of practice to ensure compliance with the statutory duty in section 43 of the Education (No.2) Act 1986 and compliance with any other applicable obligations in relation to freedom of speech
  • the provider ensures that its governing documents consider its obligations in relation to freedom of speech, and do not contain any provisions which contradict these obligations
  • the governing body abides by its governing documents in practice with respect to any issues around freedom of speech

Objective 3: that all students, from all backgrounds, have their interests as consumers protected while they study, including in the event of provider, campus, or course closure

“Consumer rights are not limited to protecting students from the very worst situations where their provider or course closes entirely. It is also important that students understand what they can expect of their providers in terms of issues such as teaching hours and support available.”

  • Condition D: “The provider must be financially viable and financially sustainable and must have appropriate resources to provide and fully deliver the higher education courses as advertised ….and enable the provider to continue to comply with all conditions of its registration.”
  • Condition E4: “Providers must demonstrate in developing their policies and procedures governing their contractual and other relationships with students that they have given due regard to relevant guidance as to how to comply with consumer law.”
  • Condition G: “The provider must cooperate with the requirements of the student complaints scheme run by the Office of the Independent Adjudicator for Higher Education including the subscription requirements and make students aware of their ability to use the scheme.”

Consumer law: “The provider is expected to submit a short self-assessment, describing how, in developing its policies and procedures governing their contractual and other relationships with prospective students (and relationships once those students have become current students), it has given due regard to relevant guidance about how to comply with consumer law.”

“In terms of the initial students’ contracts and consumer rights registration condition, the OfS will look at steps taken by providers in relation to prospective students i.e. it will look at policies and procedures governing contractual and other relationships with students who are commencing their studies from the academic year 2019/20, ensuring the policies and procedures are sound to govern the contractual and other relationships with those students once they have become current students.”

“The provider’s self-assessment should be accompanied by supporting evidence, demonstrating how it meets the condition. “

“In order to determine whether or not a provider is complying with the students’ contracts and consumer rights registration condition on an ongoing basis, the OfS’s judgement will be informed by the provider’s behaviour, information submitted by the provider, and any other information available to the OfS, such as whistleblowing / public interest disclosure reports submitted to OfS, or information from other relevant bodies, such as OIA, CMA or Trading Standards.”

Consultation question: Do you agree or disagree that a student contracts condition should apply to providers in the Approved categories, to address the lack of consistency in providers’ adherence to consumer protection law?

Student transfer: “Students should have, and be aware of, the option to transfer. For individual students, like the new parent changing to a part-time course so they can spend more time with family, or the carer who needs to move to another part of the country, but doesn’t want to give up their studies, transfer has the potential to improve their lives dramatically. For students collectively, the availability of student transfer empowers choice and helps drive competition. The OfS will work to ensure students are able to transfer fluidly within and between providers wherever it best meets their needs and aspirations.”

Condition H: “The provider must publish information about its arrangements for a student to transfer. If the provider lacks such arrangements, it must explain how it facilitates the transfer of a student.”

“The OfS will monitor whether providers have procedures in place to facilitate student transfer, along with information about students transferring into courses delivered by their institution …The OfS will use this reporting to raise the profile of student transfer for students, and highlighting successes, best practice, and areas where further work is needed for providers. If necessary, the OfS will go further to promote student transfer and raise awareness among students to help individuals make the choices that are right for them, or even commission research into the means by which transfer could be most effectively encouraged.”

Consultation question: Do you agree or disagree with the proposed general ongoing registration condition requiring the publication of information on student transfer arrangements? How might the OfS best facilitate, encourage or promote the provision of student transfer arrangements?

Student protection plans

“The OfS will be a market regulator, and as such it should not have to be in the business of having to prop up failing institutions, and neither should Government. The possibility of exit is a crucial part of a healthy, competitive and well-functioning market, and such exits happen already – although not frequently – in the higher education sector.”

“However, the OfS’ regulatory framework, and in particular the financial viability and sustainability condition and the OfS’s early warning approach to monitoring, are designed to prevent sudden and unexpected closures. This does not mean departmental, campus or even institutional closures will never occur. Higher education providers are autonomous institutions, and as such are entitled to make their own decisions about any future business model or viability of any particular course or subject.”

“The OfS’ interest is in ensuring that such changes and closures do not adversely affect students and their ability to conclude their studies and obtain a degree. This is why it will be a registration condition for all providers in the Approved categories to have an agreed student protection plan in place (see condition F) – the core purpose of which will be ensuring continuity of study.”

Condition F: “The provider must have in force a student protection plan which has been approved by the OfS (which sets out what actions they will take to minimise any impact on the students’ continuation of study should the provider discontinue the course, subject, discipline or exit the market completely) and the provider commits to taking all reasonable steps to comply with the provisions of that plan.”

“Student protection plans will set out what students can expect to happen in the event of course, campus or department closure, or if an institution exits the market. The plans must be approved by the OfS, and be easily available to current and prospective students. Providers with a low risk of unplanned closure would be required to have light-touch plan “

“Any measures must be feasible and practicable, and be backed up by clear implementation plans. When agreeing SPPs with the OfS the provider may be expected to provide some sort of reassurance on the financial position, which may include additional measures such as financial guarantees, or escrow type arrangements where a higher risk of market exit specifically is identified.”

Electoral registration – The HERA included a provision that the OfS could require providers to take steps to facilitate electoral registration. This is a provider level requirement that does not fit easily under the headings. The consultation says that:

“A healthy democratic society is one which has social justice at its heart. It is also dependent on the active participation of its citizens. The Government is, therefore, committed to helping ensure that everyone who is eligible to vote is able to do so, including students. However, people cannot vote until they have registered to vote and higher education providers have a major part to play in achieving this.“

“The condition will require higher education providers to cooperate with EROs, in accordance with such steps as the OfS considers appropriate. The Secretary of State will issue guidance under section 2(3) of HERA…subject to the outcome of this consultation, we expect this Ministerial Guidance is likely to:

  • reinforce the requirement for higher education providers to co-operate with EROs’ requests under Regulation 23 of the Representation of the People (England and Wales) Regulations 2001 for information on students for the purposes for electoral registration. We want providers to understand that they have a legal obligation to co-operate with these requests
  • include a direction for higher education providers to work in partnership with their local electoral services team to actively promote electoral registration amongst their student populations”

“The Government proposes to review and evaluate the overall effectiveness of this condition, once it has been implemented over a sufficient period to facilitate the gathering of appropriate data in terms of numbers of students who have registered. The evaluation will examine how effective the condition has been at helping increase successful applications from students to join the electoral register. “

More to follow on other aspects of the consultation

Brexit – Parliamentary Question

Q – Dr Matthew Offord: What assessment he has made of the capacity within UK universities and research institutes to continue to investigate the European geo-political area after the UK leaves the EU.

A – George Eustice: The Department has made no such assessment but the Prime Minister explained in her Florence Speech that the UK will continue to take part in those specific policies and programmes which are greatly to the UK and the EU’s joint advantage, such as those that promote science, education and culture.

Other news

Advertising Standards: The Advertising Standards Authority (ASA) has upheld disputes with six universities claiming to be top or within a top percentage for student satisfaction, graduate prospects, academic discipline, and global or national ranking. Leicester, East Anglia, Strathclyde, Falmouth, Teesside and the University of West London have all been instructed to remove their misleading content. The ASA has stated universities should substantiate such comparative statements by ensuring that the data behind the claim is sufficiently robust and can stand up to impartial interrogation. New guidance for universities on the required standards has been published here.

Press coverage of the ASA’s decisions: BBC, Guardian, and the Times.

Wonkhe have a guest blogger, Charles Heymann, who argues for universities to radically rethink their marketing straplines focusing on the institution’s values.

It remains to be seen if the ASA decisions, which threaten all top claims, will affect the sector’s preoccupation with rankings or influence student and parental opinion of the validity of such rankings.

Undergraduate employment: The Office for National Statistics has been researching undergraduate students’ employment whilst studying. In 2014/15 72.7% of students were in paid employment. Interestingly the South West had the highest employment percentage (77.6%) and London the lowest. Particularly notable for BU is that in East Dorset 9 out of 10 students were counted within the employment figures.

Konfer: This week saw the official launch of phase 2 of Konfer – a collaborative initiative from the National Centre for Universities and Business, the Research Councils, and HEFCE. It aims to open up research, researchers, and services within UK universities to businesses and other organisations looking for collaboration or new ideas, and to translate the research into jobs, innovation and economic growth. Described as ‘Google meets LinkedIn for university collaboration’ it utilises a search facility (search for an expert, a paper, a piece of equipment, a business or charity partner) to connect with the supplier.

David Sweeney, Director of Research and Knowledge Exchange at HEFCE and Executive Chair Designate of Research England, said: “konfer promotes stronger commercialisation, business and policy links and wider societal engagement with publicly funded research. It opens out what universities and research institutes do to a wider audience and I’m delighted to see it reaching full launch stage following development work with universities and businesses of all sizes.”

BU’s Research and Knowledge Exchange Office engaged with Konfer during its early development and continue to develop our involvement.

Immigration: The Home Office has doubled the number of Tier 1 visas, available to those with exceptional talent or promise in the technology, arts, creative and sciences industries. Two thousand visas will now be made available for those endorsed by Tech City UK, the Arts Council of England, the British Academy, the Royal Society or the Royal Academy of Engineering. (WONKHE)

Policy Research Principles: The National Audit Office (NAO) has published their review Cross-government funding of research and development concluding that a more joined up approach is needed for some science based cross-departmental research areas within leadership, research principles and coordinated, prioritised funding arrangements. It concludes that BEIS and UKRI will play leading roles.

Government needs a coherent view of the UK’s research strengths relative to other nations and analysis of funding in key areas of research, so that it can prioritise areas where activity is lagging behind and ensure the UK is investing in the right areas…there is a risk that funders do not have coherent data across research areas on capability, funding gaps, or outcomes of research and development to inform decisions on national priorities and strategic direction..” (Amyas Morse Head of NAO)

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JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

65111                                                                                 65070

Follow: @PolicyBU on Twitter                   |                       policy@bournemouth.ac.uk

HE policy update w/e 3rd November 2017

Influencing factors – where to work and study

UPP have released Skills to Pay the Bills: How students pick where to study and where to work. In the report they consider decision making at application stage, the relative importance of employability and which factors drive graduation retention in the area.

  • 70% of students said they would have been influenced by a university’s TEF score when selecting where to study (last year 84% said they would have been influenced by TEF – UPP suggest the decrease is that students have lost confidence in the TEF as a tool to help them differentiate between institutions). 58% of students declared they would not pay more fees to study at a gold or silver institution, however, applicants to Russell Group providers were more willing to pay an increased fee
  • More students (+6%) were aware of apprenticeships than in previous years. 30% say that they genuinely considered undertaking an apprenticeship before committing to their undergraduate degree. However, many decided against an apprenticeship because they thought it would limit their future career choices.
  • 40% of students were prepared to pay more (£2,000+ more) in fees if their degree guaranteed them a job with a salary minimum above £24,000 upon graduation. Students prioritised investment in employability programmes and work experience over research investment spend in institutions. Across all responses it was clear students feel vulnerable and are seeking future security – they are carefully weighing up whether they will benefit from the graduate premium
  • Students relocate after graduating for economic reasons – the perception of prosperity and sufficient graduate opportunities were the most significant factor to retain graduates within the area. The report recommends universities that aim to retain more graduate talent should work to increase the amount of graduate employment locally and effectively communicate these opportunities. For example, pairing students and recent graduates with local businesses.
    The second most influential factor was the availability of affordable accommodation. The golden handcuffs are areas which combine good graduate employment, affordable accommodation, and an attractive ‘look and feel’ to the local area (see map diagram on following page)

Read the concluding remarks and the recommendations for universities on page 15.

Universities must be careful to ensure that they act in ways that cement the personal, institutional and civic bargain embodied by higher education. Focusing on employability, opportunity and retention is a vital part of that bargain.

The above report was compiled from data collected in the UPP Annual Student Experience Survey. Click here for a deeper dive into the wider survey’s data and infometrics.

HE trends, facts and figures

UUK have published Higher Education in Facts and Figures 2017 which provides headline data on students, staff and finances. UUK describe their highlights:

  • In 2017 overall student satisfaction at UK HE institutions was 84%
  • University applications from 18 year olds in areas of England with lower HE participation rates have increased to record levels (part time students continue to decline)
  • Employment rates and median salaries continue to be higher for graduates than for non-graduates
  • Just under a quarter of total university income comes from direct UK government sources
  • 16% of research income comes from sources outside of the UK
  • The report stresses the diversity of students, the UK is the second most popular destination behind America and 14% of undergraduates, 38% of postgraduates, and 29% of academic staff are from outside the UK (of which 17% EU). Almost a quarter of senior lecturers and 18% of professors are non-UK nationals. 45% of the academic workforce are female.

Industrial Strategy

The Industrial Strategy Commission published their Final Report recommending a complete overhaul of the Government’s initial plans. They recommended the Industrial Strategy be owned by all and be “rethought as a broad, long-term and non-partisan commitment to strategic management of the economy… [it] must be an ambitious long-term plan with a positive vision for the UK.

Dr Craig Berry (Sheffield Political Economy research Institute): “Industrial strategy isn’t just about supporting a small number of sectors. It should focus on big strategic challenges like decarbonisation and population ageing – and ultimately it should aim to make material differences to people’s everyday lives. This will mean rethinking how government makes policies and chooses its investments.”

Recommendations:

  • A powerful industrial strategy division should be established within the Treasury to catalyse all other departments to devise and implement policies consistent with the industrial strategy. The ambition should be to achieve positive outcomes and make a material difference to people’s everyday lives. They propose overhauling current decision making on large strategic projects to take into account the effect on people’s lives. In the trade-off between economic efficiency and the equitable treatment of communities it is right for fairness to communities take priority in some cases
  • The new UK Research and Innovation agency (UKRI) should inform, and be informed by, the proposed new industrial strategy division. The UKRI board should have a high-level advisory committee including representatives from all three Devolved Administrations, and from key local authorities with devolution deals.
  • A new independent expert body – The Office for Strategic Economic Management – was proposed to monitor and measure the long-term success of the new strategy. It should be created on the model of the Office for Budgetary Responsibility
  • The new strategy should commit to providing what they call “Universal Basic Infrastructure”. All citizens in all places should be served by a good standard of physical infrastructure and have access to high quality and universal health and education services.
  • The report says that skills policy has suffered decades of damaging instability, and so policy makers and institutions should provide stability, including a cross-party consensus. Closer working and co-operation is required between the Department for Education and BEIS, national and local authorities, and the higher and further education funding and regulatory systems. Read section 2.4 The skills system from page 37 for more detail on this.
  • A long-term commitment to raise the R&D intensity of the economy, measured as the ratio of R&D spend, should be accompanied by a more detailed understanding of the whole innovation system. This will require intermediate milestones for both business and government/HE R&D intensity, supported by proposals for concrete interventions at a material scale, and with a new emphasis on demand-led initiatives to supplement the supply-side approach characteristic of the last 15 years of science and innovation policy. The new strategy should be designed with a comprehensive understanding of the whole R&D landscape and the relationships between its different parts. New institutions must have clarity of mission and be judged by the appropriate metrics. More on research and development on page 41, section 2.5 The research and innovation landscape.
  • The UK should seek to maintain and enhance the international character of its research system, including through future participation in EU Framework Programmes, for example through associate country status.
  • Health and social care must be central to the new industrial strategy. As well as offering potential for productivity gains and new markets, achieving better outcomes for people’s wellbeing must be placed at the centre of the strategy.
  • The new strategy should be organised around meeting the long-term strategic goals of the state. These include decarbonisation of the economy, investing in infrastructure and increasing export capacity.
  • Innovation policy should focus on using the state’s purchasing power to create new markets and drive demand for innovation in areas such as healthcare and low carbon energy. Harness the UK’s current world-class innovation by re-linking excellence in basic and applied research.
  • Place continues to remain central to the new strategy – an industrial strategy should not try to do everything everywhere, but it should seek to do something for everywhere. In 5 or 10 years’ time we should be able to pick anywhere in the UK and say how the strategy has helped that place, its people and industries. As most places perform below the UK average the strategy should push further and faster devolution. LEP boundaries should coincide with the appropriate economic geography.

Health and social care at the centre of industrial strategy

An effective, efficient and financially viable health and social care system, in the context of an ageing demography, is a key strategic goal for the UK. The new strategy must incorporate social care, public health, the NHS (as a market as well as a service), and the UK’s strong industrial sectors in pharma/life sciences and medical technology, as one whole system.

Future increases in public spending on health should come with the strict expectation that investment should be used to raise productivity. The provision of health and social care in all places means that even small productivity increases could have a significant impact.

The new industrial strategy should aim to achieve higher productivity and better health outcomes by ensuring more skilled and satisfying jobs in the health and social care sector. An urgent focus on redesigning training and education should aim to both raise the skills of existing employees and attract new people to the sector.

Health and social care services should be integrated, but this should be steered by the goal of achieving better outcomes for people’s wellbeing and not purely by reducing costs. This will lead to savings but not on a sufficient scale to meet the spending pressures of an ageing population. Lessons must be learned from the places which are now experimenting with health and social care integration to build the evidence base for how to achieve better outcomes.

Read more on Health & Social Care from page 64.

Goals

The report outlines what the UK’s 2017 goals should be:

  • Ensuring adequate investment in infrastructure
  • Decarbonisation of the energy economy
  • Developing a sustainable health and social care system.
  • Unlocking long-term investment
  • Supporting high-value industries and building export capacity
  • Enabling growth in all parts of the UK

Other news

Apprenticeships: DfE confirmed they will review level 4 and 5 technical education to ensure it better addresses the needs of learners and employers. This includes progression from the new T level which will be taught from 2020. Anne Milton (Apprenticeships and Skills Minister) said: “High quality technical education helps young people and adults get into new, fulfilling and better paid careers. That’s good for them and good for our economy. This is the way we build a better, higher skilled workforce.”

Getting your research into parliament: A new How to guide has been released. Here are there 10 top tips:

Making connections

  • Be seen online or at events, so it’s easy for us to find you
  • Blog your research so we know what you are working on
  • Follow what we are doing on the Parliament website and via Twitter
  • Sign up to POST, Commons and Lords Library, and Select Committee Alerts
  • Invite parliamentary staff to your events

Presenting research

  • Don’t just send your journal articles: send us a brief and include your sources
  • Be relevant: start with a summary and focus on how your research impacts people
  • Use visuals: a picture can paint a thousand words (and save time and space)
  • Be clear and accurate: be explicit about all limitations and caveats
  • Don’t forget the essentials: include your contact details and date your briefing

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To subscribe to the weekly policy update simply email policy@bournemouth.ac.uk

JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

65111                                                                                 65070

Follow: @PolicyBU on Twitter                   |                       policy@bournemouth.ac.uk

 

 

 

HE policy update for the w/e 27th October 2017

Freedom of speech, censorship and bias

After last week’s flurry on freedom of speech prompted by the Minster’s comments when launching the OfS consultation, this week the discussion has taken on a much more aggressive and personal tone, as the letter from an MP asking for information about staff teaching about Brexit hit the headlines, and the Daily Mail outed university staff as being majority pro-Brexit. I’ve written about all this on the Lighthouse Policy Group blog.

OfS Regulation

As noted last week, BU will be preparing an institutional response to this consultation. Policy@bournemouth.ac.uk will work with colleagues across BU and collate our response.

The consultation documents are huge, and as soon as you start looking at one area, you have to look at more than one (the conditions, and lots of details about them are in a separate Guidance document). So we will start simply this week with some highlights from the opening sections.

As a risk-based regulator, the OfS will seek to mitigate (though not eradicate) four risks – the risk that the four primary objectives are not met.

[The OfS will have four primary objectives:

  1. all students, from all backgrounds, are supported to access, succeed in, and progress from, higher education
  2. all students, from all backgrounds, receive a high quality academic experience, and their qualifications hold their value over time in line with sector-recognised standards
  3. that all students, from all backgrounds, have their interests as consumers protected while they study, including in the event of provider, campus, or course closure
  4. that all students, from all backgrounds, receive value for money

The OfS will seek to mitigate the risk that each of these four objectives is not met]

As it does so, the OfS will also seek to mitigate risk that the sector does not deliver value for money for taxpayers and citizens (who are directly involved through the allocation of public grant funding, research funding by UKRI, and the public subsidy to the student finance system). It will also do so while recognising the needs of students from disadvantaged backgrounds, who are less likely to access, succeed in, and progress successfully from higher education, even once their entrance characteristics are taken into account.

The OfS will also work with UKRI to ensure that the reciprocal risk around the sustainability of providers which contribute to the vibrancy of the research base is monitored and mitigated appropriately. The flow of information between the two organisations will be crucial to achieving this.

Consultation question: Do you agree or disagree these are the right risks for the OfS to prioritise?

Interesting point:

Provider level regulation will not be used to drive continuous improvement. It will be for autonomous, individual providers to decide for themselves the extent to which they wish to offer provision that extends beyond the baseline. The impetus to do so will be driven by student choice and competition rather than direct regulatory intervention

This general approach does not apply to access and participation. In this case, competition, choice, and market mechanisms alone are not able to deliver the outcomes needed for students and society, so regulation of individual providers will be used to drive improved access and participation

Objective 1: all students, from all backgrounds, are supported to access, succeed in, and progress from, higher education

Consultation question: Given all the levers at its disposal, including but not limited to access and participation plans, what else could the OfS be doing to improve access and participation and where else might it be appropriate to take a more risk-based approach?

Widening access and promoting the success of all students who have potential to benefit from higher education, including those from disadvantaged backgrounds and groups under-represented in higher education, will be at the heart of the OfS’s remit. It will have a duty which relates to equality of opportunity across the whole student lifecycle; with the aim of ensuring that students from disadvantaged and traditionally under-represented backgrounds can not only access, but successfully participate in and progress from higher education too. The OfS will intervene at the provider level in this area; market forces alone will not be sufficient to deliver the change needed. The OfS will also have a duty relating to student choice and opportunities, which it will consider in terms of a range of models of higher education – including new providers, work-based study, accelerated programmes and flexible provision for adults – which will facilitate higher education opening up to under-represented groups.

OFFA will be merged into the OfS with a Director for Fair Access and Participation.

Fair Access Agreements will continue to be required for providers charging higher fee amounts – and will operate as now, although there will be a new focus on participation – they will be called “access and participation plans”.

New point on schools:

In order to ensure better outcomes for both current and prospective students, the relationship between the higher education sector and the schools and further education systems will need to be strengthened. The establishment of the OfS and the new regulatory framework presents a unique opportunity to take a fresh look at our approach to managing these important transition points between stages of learning for an individual and their whole educational experience. These relationships between sectors are critical, not least when it comes to widening access and successful participation.

There are already many higher education providers playing an active role in schools and colleges in order to improve the prior attainment of pupils from disadvantaged backgrounds. The new regulatory regime creates the opportunity to spread these ties further and deeper, in service of students accessing, succeeding in, and progressing from, higher education.

Note we do not know what this means at this stage and the government have not published a response to the schools consultation.

Note on registration conditions – the relevant ones for this area are condition A1 – Access and Participation Plan and condition A3 – transparency condition on disclosure of information.

Widening Participation

The Sutton Trust published a paper on contextual admissions. Key findings include:

  • While the gap [in access] between disadvantaged students and their more advantaged peers has narrowed somewhat in recent years, the gap at the most selective universities remains stubbornly wide.
  • a majority of these [selective] universities use contextual data to inform their admissions processes.
  • A substantial number provided no information to applicants about how indicators would be used…This lack of transparency is a barrier to access..
  • There is a wide distribution of grades among those from better-off backgrounds – with as many as one in five students from higher participation neighbourhoods being admitted with A-level grades of BBC or below, for example – and that the average grades of those from contextual backgrounds are only marginally lower than those from non-contextual backgrounds.
  • There is little evidence to suggest that leading universities that practice greater contextualisation see significantly higher dropout rates, lower degree completion rates, or lower degree class results
  • Greater use of contextual admissions could result in a substantial increase in the numbers of low income students at the UK’s most selective universities.

Recommendations include

  • Universities should use contextual data in their admissions process to open up access to students from less privileged backgrounds.
  • There should be a greater use of individual-level contextual indicators, such as previous eligibility for free school meals, as well as school-level and area-level criteria.
  • Universities practicing contextualisation should provide additional support to students from disadvantaged backgrounds, including those who have been admitted with lower grades, in recognition of the additional difficulties such students may face.
  • There should be greater transparency from universities when communicating how contextual data is used. ….There should also be greater clarity and consistency in the reporting of contextual admissions processes in access agreements with the Director of Fair Access, including reporting levels of contextually admitted applicants.
  • Foundation year provision should be increased, with greater targeting of those from disadvantaged backgrounds..
  • Participation in outreach programmes should be shared as a contextual indicator across universities.
  • Many outreach programmes include academic eligibility criteria set at a high threshold. However, this is likely to exclude disadvantaged pupils with the potential to do well at university, but whose GCSE results are not exceptional. Universities, and those who run similar outreach programmes, should consider more inclusive thresholds to reduce barriers to participation and increase access

Other news

The new ESRC CEO and Executive Chair Designate has been announced. Professor Jennifer Rubin. is currently Director of the Policy Institute at King’s and Professor of Public Policy. Before joining King’s Jennifer established and then led the justice and home affairs research programme at RAND Europe for ten years.

Following the launch of the Dyson Institute of Engineering and Technology last month, a new university has been announced for Hereford – it will specialise in engineering courses and will offer accelerated degrees.

The Royal Society has announced a scheme to place entrepreneurs in universities.

David Davis indicated at the Exiting the EU committee that the UK would be “quite likely” to stay in Horizon 2020 after leaving the EU, and also that EU students would be likely to qualify for student loans after March 2019. It was not at all clear whether this would be part of a transition arrangement or a final deal.

From Wonkhe: Justine Greening told the House of Commons Education Committee that the HE funding review first announced by the Prime Minister will be “something DfE leads”.

Subscribe!

To subscribe to the weekly policy update simply email policy@bournemouth.ac.uk

JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

65111                                                                                 65070

Follow: @PolicyBU on Twitter                   |                       policy@bournemouth.ac.uk

 

HE policy update for the w/e 20th October 2017

OfS Regulation – Free Speech, Compulsory TEF, Student empowerment

The long awaited (and very long) consultation on the role and functions of the Office for Students was published this week. In fact there are several separate consultations (Wonkhe have helpfully grouped them all on one web page):

  • the regulatory framework
  • registration fees
  • Degree awarding powers and university title
  • One about selection of designated quality assessment body for the OfS– QAA is the only candidate
  • One about selection of a designated data body for the OfS – HESA is the only candidate

The consultations are open until 22nd December and BU will be reviewing them and preparing responses – please let policy@bournemouth.ac.uk know if you would like to be involved.

There is a huge amount of detail and a lot of areas for discussion here, but interestingly the Minister and the press chose to focus on freedom of speech yesterday. The Times published an interview with Jo Johnson discussing the proposal that measures to protect freedom of speech should be a condition of OfS registration. The Guardian notes proposed powers for the OfS to fine or suspend the registration of universities that fail to protect the freedom of speech on campus, including student unions that ‘no platform’ controversial speakers. There has been a lot of commentary on this – not least that students’ unions are independent organisations. It is really interesting to note that in the summary of the consultation prepared for students by the Department for Education, freedom of speech is not mentioned.

  • Johnson: “Our young people and students need to accept the legitimacy of healthy, vigorous debate in which people can disagree with one another. That’s how ideas get tested, prejudices exposed and society advances. Universities mustn’t be places in which free speech is stifled.”
  • Sir Michael Barber OfS Chair: “Ensuring freedom of speech and learning how to disagree with diverse opinions and differing views of the world is a fundamental aspect of learning at university. The OfS will promote it vigorously.”

The relevant bit of the consultation starts on page 32 –

  • This consultation includes such a public interest principle, which states that the governing body of an institution must take such steps as are reasonably practicable to ensure that freedom of speech within the law is secured within its institution. This public interest principle will form part of the public interest governance condition…”
  • “The OfS will use ‘indicative behaviours’ to assess compliance with the principles; these are set out in the Guidance on registration conditions. With regard to free speech, for example, one behaviour that would indicate compliance would be to have a freedom of speech code of practice. This should set out the procedures which members, students and employees should follow in relation to meetings or activities, and the conduct which is expected of those individuals. Some of the best examples set out clearly what does and does not constitute reasonable grounds for refusal of a speaker, and the disciplinary actions which would follow a breach of the code of practice. A behaviour that might indicate non-compliance would be where a provider fails to abide by its own freedom of speech procedures”.

There has of course been something of a media/social media storm, with rage from both ends of the political spectrum about those with different views allegedly seeking to stifle or prevent free speech, big disagreements on the role of trigger warnings, safe spaces and “no platforming”, and a number of voices pointing out that universities are already subject to legal obligations on both free speech and the Prevent duty and this is all a bit over-played.

But apart from this issue, the consultation has much broader scope. It sets out the broad objectives for the OfS:

  1. all students, from all backgrounds, are supported to access, succeed in, and progress from, higher education
  2. all students, from all backgrounds, receive a high quality academic experience, and their qualifications hold their value over time in line with sector-recognised standards
  3. that all students, from all backgrounds, have their interests as consumers protected while they study, including in the event of provider, campus, or course closure
  4. that all students, from all backgrounds, receive value for money

The OfS will seek to mitigate the risk that each of these four objectives is not met and:

  • “As it does so, the OfS will also seek to mitigate risk that the sector does not deliver value for money for taxpayers and citizens (who are directly involved through the allocation of public grant funding, research funding by UKRI, and the public subsidy to the student finance system). It will also do so while recognising the needs of students from disadvantaged backgrounds, who are less likely to access, succeed in, and progress successfully from higher education, even once their entrance characteristics are taken into account.
  • The OfS will also work with UKRI to ensure that the reciprocal risk around the sustainability of providers which contribute to the vibrancy of the research base is monitored and mitigated appropriately. The flow of information between the two organisations will be crucial to achieving this.”

The many other areas covered in detail include

  • Making TEF compulsory for all HEIs with >500 students
  • Publishing justification of high senior staff salaries
  • Transparency about student transfer (between courses)
  • Empowering students through clearer student contracts

We will look at some areas in more detail in the following weeks.

The impact of universities

Meanwhile, Universities UK (UUK) published a report on the Economic Impact of Universities in 2014-15. Some highlights:

  • In total, the economic activity of universities, the international students they attract and their visitors, supported more than 940,000 jobs in the UK in 2014-15.
  • In 2014-15, universities themselves employed 404,000 people, or 1.3 percent of all UK employment
  • UK universities, together with their international students and visitors, generated £95 billion of gross output in the economy in 2014-15.
  • The gross value added contribution of universities’ own operations to GDP, at £21.5 billion in 2014-15, is larger than that made by a number of sizable industries.
  • UK universities, together with their international students and visitors, supported £14.1 billion in tax receipts for the Exchequer in 2014-15.
  • In total, universities in the UK earned £13.1 billion in export receipts in 2014-15.

Student Loans and Value for Money

The Treasury Committee launched an inquiry scrutinising recent changes to the student loan system. This week evidence was received from Dr Helen Carasso (Oxford) and Andrew McGettigan (freelance author and lecturer). Key points:

  • Experts disagree exactly how much raising the repayment threshold will cost the taxpayer. The system is complex and not even understandable to highly-qualified experts
  • The notion that the written off loans will cost to the taxpayer the same amount with the post-92 as the previous £3,000 fees is publically unpopular
  • The post-92 higher fees is believed to have created more teaching resources within the system
  • McGettigan claimed that higher interest rates for students still studying were purely designed to deal with the rarer issue of rich students taking out loans and investing them elsewhere
  • Varying price for tuition fees by programme is nonsensical – students would be discouraged from choosing courses which were priced lower as it has a status implication (McGettigan).
  • The system has created a series of disincentives for universities to charge anything other than the highest fee (Carasso).
  • Carasso stated an overt graduate tax would be a better accounting method than student loans although it would feel like a penalty. McGettigan expanded suggesting it may destabilise recruitment and retention and potentially encourage drop out or emigration
  • On the sale of the loan book McGettigan stated the old mortgage-style loans had already been sold at a profit, but under the new system the sale of loans would not affect public sector net debt, that any price would be lower than fair value and amount to a loss for the government.
  • Re: marketization of HE Carasso stated it was very difficult for an applicant to make a fully-informed decision (in relation to price and net cost).
  • How should the repayment system best be reformed:
    • McGettigan – the main problem is the large graduate debt. A lower starting debt would mean interest rates would not apply in the same way,
    • Carasso – if the system is too complex to understand that’s a problem. Fees are probably too high, and why is there not an employer contribution mechanism?

Meanwhile the Economic Affairs Select Committee is examining if students get value for money (HE, FE and technical education) through oral evidence sessions. Follow it here

Widening Participation

50% of students are First in Family – This week the Telegraph drew on UCAS data to report that half of students who started a degree last year were first in family to attend HE. However, the article is disparaging as many of these students attended ‘low’ or ‘mid-ranking’ universities and few studied the ‘top’ subjects (listed as medicine, maths and science). The article went on to raise the current headline grabbing debate over fees and value for money and stated: “critics said last night that the figures showed that too many students were attending low-performing universities which charge “outrageous” fees but fail to improve social mobility.”

Whole-institution approach to WP – This week OFFA called for universities to create a step change and accelerate social mobility goals by adopting a whole-institution approach to widening participation, embedding fair access at all levels of the organisation, across all areas of work, and senior management. To accompany the call OFFA released the commissioned report: Understanding a whole institution approach to WP

Les Ebdon (Director, OFFA) stated: “Excellent progress has been made in widening access to higher education for the most disadvantaged young people. But for too long, this progress has only been incremental. We now need to see transformational change.

“Adopting a genuine whole institution approach – where access is a key priority at every level – is the biggest thing a university or college could do to make change happen. This research offers a vital opportunity to make the further, faster progress we badly need to see.

International academics

Q – Stephen Gethins (SNP): With reference to the Government’s policy paper, Collaboration on Science and Innovation: A Future Partnership Paper, published on 6 September 2017, whether it is her policy to extend visa entitlement to the spouses and dependents of EU academics who can work in the UK after the UK has left the EU.

And

Q – Stephen Gethins (SNP): With reference to the Government’s policy paper, Collaboration on Science and Innovation: Future Partnership Paper, published on 6 September 2017, what representations she has received from universities and national academies on the potential effect of changes to freedom of movement on the UK’s ability to attract and retain high quality researchers.

A: Brandon Lewis (Con): The Government recognises the valuable contribution migrants make to our society and we welcome those with the skills and expertise to make our country better still. But we must manage the process properly so that our immigration system serves the national interest.

We have been clear that after the UK leaves the EU, free movement will end, but migration between the UK and the EU will continue and we are considering a number of options as to how this might work. We will be setting out initial proposals for our future immigration arrangements later in the year.

The Government recognises that it is important that we understand the impacts on the different sectors of the economy and the labour market and want to ensure that decisions on the long-term system are based on evidence. On July 2017, we commissioned the independent Migration Advisory Committee (MAC) to advise on the economic and social impacts of the UK’s exit from the European Union and also on how the UK’s immigration system should be aligned with a modern industrial strategy… The Government will carefully consider any recommendations made to it by the MAC before finalising the details of the future immigration system for EU nationals.

The Government also regularly engages with sectoral bodies – including those in the scientific and academic sectors ¬- to ensure our immigration routes work effectively to enable businesses to access the talent they need. Their views do, and will continue to, inform our decisions on any changes to the system.

Consultations & Inquiries

The Policy team compiles details of the key HE and niche research consultations and select committee inquiries on the consultation tracker. BU responses to HE consultations are managed by Sarah and Jane.

Let us know you’re interested! We invite colleagues across BU to provide response input, however, if there is a consultation in your area of expertise don’t wait for an invite – contact us on policy@bournemouth.ac.uk – we’d love to hear from you so we can access all the pockets of expertise across BU. Take a look at the consultation tracker to find out if there is a current inquiry related to your role.

New consultations and inquiries:

  • 5 Higher Education and Research Act consultations
  • International students – social and economic impact (link)
  • Science budget and the Industrial Strategy (link)
  • Intellectual Property
  • Decarbonisation in HE sector
  • Enabling Gypsies, Roma and Travellers
  • Regulation of Nursing Associates in England

(See the consultation tracker for links to all these new consultations and inquiries.)

To view the responses BU has submitted to recent consultations and inquiries across all topics click here.

Other news

Teaching excellence: The University Alliance has published Technical and professional excellence: Perspective on learning and teaching.

TEF Gold: HEPI have released Going for Gold: Lessons from the TEF provider submissions. The report breaks down the influential aspects of the provider submissions which the author suggests may have swayed the panel’s final award decisions. While the report is based on opinion it offers suggestions to providers and Government on how to improve the qualitative aspect of the TEF submission. Spoiler alert: BU features frequently within the document.

Alternative Providers: The National Audit Office has published their Follow-up on alternative HE providers. The report notes several area of progress:

  • Non-continuation rates reduced from 38% to 25% (although still 15% higher than the mainstream HE sector) with DfE action taken against 11 alternative providers where dropout rates are unacceptably high. More regular and reliable monitoring data has been called for.
  • Reduction in paying student loans to ineligible students from 4% to 0.5%
  • DfE have strengthened their oversight framework and are acting on third party reports of non-compliance or under-performance.
  • Positive reports of widening access within disadvantaged or under-represented groups of students

However, early data implies graduates from alternative provider’s progress to further study or employment at a lower rate and lower entry salary than graduates from mainstream HE institutions.

Subscribe!

To subscribe to the weekly policy update simply email policy@bournemouth.ac.uk

JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

65111                                                                                 65070

Follow: @PolicyBU on Twitter                   |                       policy@bournemouth.ac.uk

HE policy update w/e 6th October 2017 (belated)

As the focus of the conference season for HE has been fees, loans and debt, we have a slightly delayed policy update with a catch up on this complicated issue, with a few hints of other things to come in our regular update at the end of the week.

Discussions about student finance have dominated the news and chat across the higher education sector consistently since the early summer, with a “national conversation” and now calls for a “major review” – which may or may not be happening. So it seemed like a good time to look at the problem, some of the proposed solutions and what might happen next.

Although of course concerns about student debt, the cost of the government subsidy for student loans and whether university degrees provide “value for money” have been a consistent theme, the general election really brought focus, because of the Labour pledge to abolish tuition fees for new students and the desire to forgive existing student debt. The latter was interpreted by some as a “promise” and others as a “wish”, but the combination allegedly swayed young people in huge numbers to (a) vote, and (b) vote Labour. I have written about this elsewhere – students and young people did turn out in large numbers and many of them did vote Labour – but it is highly unlikely (at least in my view) that this was down to a single issue.

The immediate effect of all this was that in the summer the government postponed the announcement of the anticipated inflation increase to the tuition fee cap in 2018/19 for universities with Year 2 TEF awards (i.e.most universities but not some new or alternative providers). The delay prompted speculation that the rise would be cancelled (despite already being provided for in legislation), and sure enough, just before the Conservative Party conference the Prime Minster announced that there would be no increase in 2018/19 – and also that the repayment threshold for tuition fee loans will go up (from £21k to £25k) from 6th April 2018. The written ministerial statement that confirms all this was issued on 9th October 2017. Note that the upper threshold is also going up and that this only applies to those with loans since 2012.

So what next? The PM announced a “major review” – but did she mean it? The ministerial statement (as the most recent indication) says: “The Government will set out further steps on HE student financing in due course”. In the meantime, Sheffield University have announced their own review.

We will consider some of the options, some of the implications, and make an unwise effort to predict what might happen next.

Option 1: Tinker with the current system

The repayment threshold rise was long overdue, for many, as it was part of the original deal for student loans that was reversed, because the impact of the freeze in the threshold was regressive. This is not just a tweak. The Institute for Fiscal Studies have assessed the cost as over £2.3billion per year in the long run – a “big (and expensive) giveaway to graduates”.

Postponing the inflation based fee cap increase could have implications for the Teaching Excellence Framework. Fee cap increases were a “carrot” to encourage universities to improve their teaching and earn an increased fee through better TEF awards (on hold since the House of Lords pressure on the Higher Education and Research Act before the election meant that plans for differentiated fee caps linked to TEF were postponed).

Those hoping that dropping fee increases (at least for now) means that the TEF isn’t necessary are (at least for now) going to be disappointed – the link to fees was to support the TEF, not the other way around – and so on 9th October 2017, alongside the fee notification referred to above, the Department for Education issued the year 3 TEF specification. The changes were anticipated in the Minister’s big speech at Universities UK on 7th September, and here it is, now renamed the “Teaching Excellence and Student Outcomes Framework” (TESOF). So no sign of that being abandoned.

[Notes on TEF: The name change is interesting after so much feedback from everyone that the one thing that the TEF doesn’t measure was teaching quality. The metrics changes this time are limited to including LEO data – longitudinal educational outcomes (employment and salary) and a self-assessment on grade inflation. The subject level pilot is also starting this year, along with a pilot of new metrics on teaching intensity. Remember also that there is a possibility that subject level TEF might also be linked to fees – something that some in the House of Lords thought was a good thing at the time that they threw out the link between TEF and fees – they said it was meaningless at an institutional level but more meaningful at a subject level.]

Changing the interest rate – read the myth busing article from MoneySavingExpert on why this isn’t as obvious as it sounds. There is no question that the headline rate is high but the article points out that different rates apply to students once they graduate according to what they are earning. Nevertheless, students at university right now are accruing interest at 6.1%. And (to the extent that it is repaid) that is helping to fund those who don’t repay.

Give it a new name. This is potentially a flier – after all the TEF has been renamed after the Minister insisted at length that the name was not important and what counted was what the TEF actually did. In a debate with Martin Lewis (of MoneySavingExpert) on 3rd October, Jo Johnson agreed that there was a problem with terminology. Instead of a “student loan” he offered a “time-limited, income-linked, graduate contribution” – which doesn’t trip off the tongue. However cumbersome as a name, this does make it clear the Minister’s position, which is that the fact that the government writes off a lot of debt is not accidental, or a sign that the system is broken, it is a deliberate investment in the cost of education which supports those who cannot afford later to repay it. [

[While we are talking about names, could there be a reconsideration of the name of the Office for Students as well?]

Add more conditions. There has already been a bit of this. In the Minister’s speech to UUK referred to above, Jo Johnson said that the government would:

  • consult on: “making it a condition of joining the register of higher education providers that institutions clearly set out in this way how they will provide their courses so that there is full compliance with consumer law”
  • Introduce a new ongoing condition of registration requiring the governing bodies of [Approved and Approved (fee cap)] providers to publish the number of staff paid more than £100,000 per year and to provide a clear justification of the salaries of those paid more than £150,000 per annum.

So there is an option to add other conditions too – such as giving bursaries, fee waivers for students with financial difficulties etc. But the Office for Fair Access don’t think that bursaries and direct funding are the best way to increase participation – see the blog by Les Ebdon on Wonkhe. And there is still a question about how these are funded (see below).

Option 2: Just cut the cap – or introduce variable caps

One proposal trailed in the newspapers recently as being under serious consideration by the Chancellor as a plan for the November budget, was that the fee cap should just be cut. This is linked in some quarters to the argument (by Lord Adonis and some others) that universities are operating a cartel by (mostly) all charging the maximum fee. The Times Higher Education did an analysis of this:

“According to an article in The Sunday Times on 17 September, Mr Hammond is considering a plan to scrap the current fee cap of £9,250 for home undergraduates and replace it with a maximum of £7,500. The government would then top up the fee with some direct funding per student for those studying higher-cost science and technology subjects. But such a move could mean universities losing £1,750 for students enrolled on any other course.”

Apart from caps linked to TEF outcomes, described above, one solution that has been proposed in a range of forms is that there should be different fees – perhaps enforced by different caps, for different courses. There’s an interesting history lesson here. Of course, this could be more subtle than just allowing the universities with the highest earning graduates to charge the highest fees – the Economist looked at value add recently. Caps could be linked to cost – the Times Higher Education showed an analysis of costs at a subject level in an article on 5th October. This is a very complex argument, because of issues about cross subsidisation across the sector, including for bursaries and research.

Lower fees overall, or lower fees for some courses could lead to courses being cut as well as a big focus on cost savings in institutions. The UUK statistics show that UK undergraduate tuition fees were 27% of total income in 2014-15. Universities spent £14.42 billion on teaching and research, 69% of it on staff costs. Cost cutting will be difficult.

As noted above, Lord Adonis has claimed that universities are running a cartel – opening the door to legal remedies that would force differentiation in fees – but there has been a strong response to this argument.

Option 3: Make someone else pay for HE

The government

The Labour Party’s preferred option is to go back to the old days – scrap tuition fees and centrally fund HE. Many commentators have poured cold water on this idea for two main reasons – affordability, and because they argue that this policy is regressive compared to the current system. If lower paid graduates don’t have to repay their loans, they benefit most from that “income linked, time limited government contribution”, while higher paid graduates do repay (and subsidise the others through the interest rate). There is an IFS report on the impact of the Labour manifesto pledge here.

The affordability discussion is linked to the other objection to this policy – that because it would otherwise be unaffordable, it is inevitable that student numbers will have to be limited – either by the reintroduction of the Student Number Control system or some version of it. It appears that Labour do not agree that this is inevitable.

Many have looked at Scotland – where there are still controls on numbers, and pointed out that free tuition associated with a cap on numbers has had a negative impact on participation amongst lower participation groups.

Of course, it is also government policy to increase the number of young people pursuing technical qualifications, including apprenticeships – which may push down the total number of students at universities, and so may make that less of an issue.

There is a strange potential Brexit bonus here for the government, if not for universities or for the wider economy. It is anticipated that EU students will have to pay international fees after Brexit, and will cease to be eligible for student loans. A Higher Education Policy Institute paper suggested that this will reduce the number of EU students substantially, by up to 31,000 students in one year. Some of these students have loans they don’t repay – so there is scope for a saving in the up front loan funding and a smaller write-off later– although it is limited.

Before the referendum, a House of Commons briefing paper on student loans estimated that 65% of EU students took up fee loans in 2013/14. Some of these students may be taking loans because they can, rather than because they need to (according to UUK, more EU borrowers than English ones repay in full or make large repayments). It has been hard to recover debt from some of these students, although the overall default number is smaller than for UK students; the government’s student loan repayment strategy (Feb 2016) aims to improve collection rates.  For more information about student loans to EU students read the Student Loans Company Statistical First Release – Student Loans in England for the financial year 2015-16

Business

David Green, the VC of the University of Worcester, wrote in the Guardian in July that there should be a return to the pre-2012 system with a twist:

“The pre-2012 system was a reasonable compromise, with students paying approximately one third of the total fees through an interest-free, index-linked government repayment scheme.

Since there are three beneficiaries of higher education, there should be three principal sources of funding: taxpayers, companies and the individual. As well as tuition fees and general taxation, there should be a payroll tax or levy on enterprises with the proceeds earmarked for higher education. Introducing a contribution from companies will ensure that philanthropic funding provides a vital boost without serving as a substitute. “

The levy route is being used to fund apprenticeships – it seems likely that the government will want to see how that works before trying another direct tax on businesses – especially as the link to employment is less direct for HE than it is for apprenticeships.

Universities

In a variation on this theme, Ryan Shorthouse of Conservative think tank Bright Blue suggested that universities should pay towards the cost of funding student loans: “Institutions producing a disproportionate number of graduates who will need their student loans subsidised should contribute a levy to government.

  • That’s an interesting idea, but there are some problems with it. In other markets, suppliers can pay a levy towards the “greater good” e.g. green levies paid by energy companies – these are funded either by increased prices for consumers or reduced profits (and reduced dividends for shareholders).
  • The parallels in higher education don’t work in the same way – fees are capped, so the consumer won’t pay more, and as most universities do not have shareholders and do not pay dividends, the cost would therefore be funded by cutting investment in something else. That seems unlikely to help improve outcomes for students (as was argued by the NUS in relation to differential fees linked to TEF, the outcome is that poor performers have less money to invest in improving performance). There is an interesting Wonkhe article with a US perspective that supports that view here).
  • What this would probably mean over time is that those courses with worse outcomes on salary would be cut. Perhaps that is the desired policy outcome – remove courses that are not “profitable” for society from government funding altogether. And that opens another whole debate about the value of education beyond salaries.

Graduates

There is also the graduate tax option. There’s a 2016 article by Martin McQuillan here and one by Will Cooling here. This could just be a name change for student loans – or something more drastic – one policy trailed recently was that all graduates should pay the tax – regardless of when they studied (but of course, if they didn’t have loans, no-one knows who they are…). The graduate tax still seems to be Lib Dem policy. There is a more recent review of the idea here.

Option 4: Leave tuition fees – focus on maintenance grants

This is UUK’s flagship policy in this area. The most recent article is by Alistair Jarvis for the Telegraph which covers other ground but also refers to their views on maintenance. This was described by Janet Beer, the UUK president, in a speech to UUK’s annual conference on 7th September and in the Guardian here. In a recent THE article, Professor Beer also suggests that the Welsh model of maintenance support alongside fees might be worth looking at for England.

So what’s next?

It is very hard to see where this might go. The hint in the ministerial announcement could suggest there is more to come – the promised review or more tinkering? Certainly no-one will believe anyone who suggests that nothing else will change – the two changes that have been announced were denied energetically until quite recently.

The obvious tinkering option that is still available is interest rates. That might change in the budget – but on top of the repayment threshold change it will be expensive (even though much of the accrued interest is monopoly money – it isn’t repaid so it was never real in the first place). Andrew McGettigan explains how the government accounting works in a blog here.

The Chancellor might announce a more dramatic shift in policy in the budget – but it seems unlikely that he would announce a reduction in the fee caps without more work to understand the implications. He might announce a limited programme of maintenance grants.

And he might announce a review. That would push the issue into the long grass for a while. It seems incredible that there could be another new idea that no-one has thought of yet, given all the words on this subject over the last year.  But there could be.

And if there is a review – a graduate tax of some sort – whether a renaming with other tinkering or a more fundamental change that means graduates pay more than just their own loans– does seem to be a possibility.

And given the context described above, it seems likely that any more fundamental change would be accompanied with a change to the current single fee cap. If the government is going to pay more of the cost of HE –or make business or graduates pay- it is unlikely to accept that all courses should be funded at top of the cap. It is inevitable that the value for money concept would feature somewhere, whether linked to quality, outcomes or costs.  So those who hope for a review need to be prepared for a differentiated fee or funding caps.

Next stop – the budget.

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JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

65111                                                                                 65070

Follow: @PolicyBU on Twitter                   |                       policy@bournemouth.ac.uk

BU He Policy update for the w/e 29th September 2017

UK Research and Innovation (UKRI) Non-Executive Board

On Thursday Jo Johnson announced the non-executive members of the UKRI Board.

  • Sir John Kingman (Chair of UKRI) is the Legal and General Group Chairman and Former Second Permanent Secretary to HM Treasury
  • Fiona Driscoll (UKRI Audit Committee Chair) is Chair of the Audit Committee of Nuffield Health
  • Mustafa Suleyman is co-founder and Head of Applied AI at DeepMind
  • Professor Sir Peter Bazalgette is the founder of a successful independent TV production company and now Executive Chairman of ITV
  • Professor Julia Black is Pro Director for Research at the London School of Economics
  • Professor Sir Leszek Borysiewicz is Vice-Chancellor of the University of Cambridge (stepping down at the end of the month), and Chair of Cancer Research UK
  • Lord (John) Browne of Madingley is the Executive Chairman of L1 Energy, and former Chief Executive of BP plc
  • Sir Harpal Kumar is the Chief Executive of Cancer Research UK
  • Professor Max Lu is the President and Vice-Chancellor of the University of Surrey
  • Professor Sir Ian Diamond is the Principal and Vice-Chancellor of the University of Aberdeen
  • Professor Alice Gast is President of Imperial College London
  • Vivienne Parry is Head of Engagement for Genomics England
  • Lord (David) Willetts is Executive Chair of the Resolution Foundation and former Minister for Universities and Science
  • Professor Dame Sally Davies – as Chief Medical Officer and serving civil servant, Dame Sally will not be a formal member of the board but will join board meetings in a personal capacity.

Sir John Kingman, interim UKRI Chair stated: “UKRI’s Board brings together an extraordinary array of brilliant scientific and business leaders. Together with the emerging executive team led by Mark Walport, we will be superbly equipped to ensure the new organisation delivers on the great opportunities it has.”

Jo Johnson said: “UKRI has a pivotal role in our future as a knowledge economy. This is an exceptionally strong board that will ensure the UK’s world leading research system stays at the frontier of science and innovation for decades to come.”

The government has committed to investing over £6 billion per annum in research and innovation.

Labour Party Conference

Industry Research & Innovation

The chair of the Data Analytics All Party Parliamentary Group, Daniel Zeichner, writes in Politics Home on How to convert UK excellence in science and research into wider economic success. Zeichner is a fan of the 2010 Labour government’s Catapult Network. Catapults are technology and innovation centres that are business-led by industry experts providing companies with access to expertise and equipment to speed up the commercialisation of research and drive economic growth.

Zeichner believes adopting new technology is essential to improve UK productivity but that Britain needs to be better at this, stating we’re behind other nations. Catapult centres will shortly fall with UKRI’s remit (UKRI is the merger of the UK’s seven research councils) and Zeichner sees this as advantageous for a more seamless diffusion of research expertise into the private sector, matching industry with update technology. The sticking point is that Catapults are currently partly financed by EU funding so Brexit may well lead to their downscaling or demise. In addition to supporting the expansion of the Catapult network Labour calls for new Retails and Materials and Metals Centres, and for R&D % of GDP spending to be raised, plus additional new investment. Zeichner pledges this will all happen if Labour is elected at the next general election.

In the meantime we need to see what is included in the forthcoming Industrial Strategy White Paper and the autumn budget, and of course any announcements at the Conservative conference.

Immigration – Shadow Home Secretary Diane Abbot claimed the Conservatives have ‘weaponised’ immigration. She stated the immigration targets are ‘bogus’ and will never be met. Meanwhile at the Labour party conference backbenchers are battling for Labour to amend policy and campaign for continued access of the EU single market and customs union post-Brexit. This would mean committing to retaining free movement.

Sadiq Khan @SadiqKhan To the one million EU citizens in London: you are Londoners, you are welcome & you make a huge contribution. @TSSAunion @LabourList #Lab17

Fees – Wonkhe report that Shadow Chancellor John McDonnell said that as “a result of Labour pressure, the government is now being forced into discussing reducing interest rates or raising repayment thresholds. If they bring forward effective proposals we will support them.” Wonkhe state the Shadow Chancellor did not indicate what he hoped the government would propose precisely, nor would he be drawn on the level of Government compromise that he would support.

Gordon Marsden, speaking at a UCU fringe event, stated the party would “wait and see” what the government offers before committing to a particular course of action. However, he called on the government to present a holistic package including action on loan repayment terms and maintenance support. Marsden wouldn’t state a figure for the level of fee cap which he would support as part of a deal on the student funding system.

BME teachers in schools – Shadow Education Secretary Angela Rayner hit the headlines this week after indicating that current school recruitment policies are not promoting equality stating: “If the only people we see in schools that are black or ethnic minority are the cleaners… then we are perpetuating the problems we have in our communities…. I am sick of soft targets. I am all for hard targets, and if it means we have to force quotas, then I am an advocate for that.”

An article in Politics Home notes that an additional 68,000 teachers from BME backgrounds would be required to reflect the proportion of ethnic minority pupils in English state schools and quotes a DfE source who notes a steady increase in the minority ethnic trainee teachers recently and describes the Leadership, Equality and Diversity Fund. This supports schools to provide coaching and mentoring for BME teachers and increase the representation of BME teachers in senior leadership roles.

National Education Service – Angela Rayner launched her 10 principles behind the National Education Service (NES) described here by Schools Week. This is Labour’s ‘cradle to grave’ proposal for the reform of education and includes increasing school funding, free adult education throughout life, valuing all forms of education and pushing technical and apprenticeship streams as alternatives to traditional routes such as HE. David Morris (ex-Wonkhe, now VC’s policy adviser at Greenwich) blogs for Wonkhe to question what it would mean for the HE sector if Labour were elected and implemented the NES in 2022.

Jeremy Corbyn’s Keynote Conference Speech

Corbyn’s keynote speech which closed the Labour Party Conference emphasised skills and training focusing on free tuition throughout life at any stage and improving on technical and vocational training, establishing these as equal-status alternative routes. Corbyn envisions the National Education Service as ‘universal, free and empowering’, a service that “will give millions a fair chance”.’ A flurry of debate followed on twitter on whether abolishing HE tuition fees would mean reinstating student number controls.

A student numbers cap is not inevitable in a fee-free system, says @GordonMarsden in response to @mgmcquillan , and he doesn’t want one.

During the (very long) speech Corbyn reiterated Labour’s message to the Government “pull yourself together or make way” and detailed the Conservative manifesto commitments that have been dropped from policy, such as grammar school expansion. One aspect Labour agree with the Conservatives on is the importance of the Industrial Strategy.

In his speech, Jeremey Corbyn supported the automation thread prevalent in the Government’s Industrial Strategy for its potential to contribute to the nation’s work/life balance “We need urgently to face the challenge of automation… [it] is a threat in the hands of the greedy but what an opportunity if it’s managed in the interests of society as a whole.”

A Labour spokesperson stated to Politics Home that: increased use of new technology in the workplace will inevitably boost productivity, and a Labour government would force them to pass on the benefits of that to employees through higher wages and shorter hours….

“…the potential for this big technological leap and the increase in productivity to be shared in different ways. If it’s under the control only of large corporations, as it is currently, the sharing out is in one direction in long hours, the fall in real wages and increased profits. Who is in control of that process? If that process of big employment transformation is going to be managed for the benefit of the workforce, that needs to be planned at a national level, it can’t just be left to the companies employing those people or introducing advanced robotics.”

Fringe event – Tackling disadvantage experienced by the armed forces community – This fringe event focussed on issues of housing, education and barriers to future employment. There were calls for skills and qualifications to be transferable and compatible with those in civilian institutions and a particular need for work experience and placements alongside qualifications.

Fringe Event – Brexit Generation: The Debate – This fringe event presented evidence on the issues that prompted young people to vote. Asha, a Young Labour member stated the Brexit message to young people had been wrong and it needed to go beyond thinking about issues like Erasmus and University. Asha went on to say that young people wanted to engage on important issues like mental health in schools, changing the education system so it was not an “exam factory” and building a generation of young people with the digital skills they need.

Labour MP Wes Streeting said education was ‘his number one priority’ and ‘the closest thing to a silver bullet for tackling social issues’. Children should be given the opportunity to explore, fail and find what they are great at rather than being pushing into huge numbers of stressful exams, he stated.

Finally…Wonkhe responded to the Labour Party Conference proclamations discussing where some Labour HE policies would benefit from further details in Key questions for Labour and its higher education policy.

Student Retention

William Hammond, Universities UK, blogged about student dropout rates this week. The blog is in response to a sensationalist Sky News story which targets individual programmes at three universities with dropout rates of 50-60% without considering the validity of the statistics.

Hammond reports that the true picture for the national dropout rate for 2014/15 is near a record low at 6.2%, yet pockets of poor retention are seen within mature students at 11.8%; LPN (students coming from geographical populations where few access HE provision) at 8.2%; and acknowledges ethnicity can also be a factor. (Note: Hammond is only looking at non-completion in first year undergraduate students.)

The blog considers how universities retain students (see paragraphs 3 and 4 here) such as ensuring study choices are right for the student through providing clear information and outreach programmes, inclusive measures and the sticky campus concept.

A commenter to the blog (Andy Penaluna) questions why we don’t track student dropout for positive career opportunities.

Science and Innovation Audits

The Department for Business, Energy and Industrial Strategy (BEIS) invited consortia to form around geographic and technological themes and apply to be involved in the science and innovation audit (SIA) process. These consortia are made up of businesses, universities, research and innovation organisations, Local Enterprise Partnerships (LEPs) and their equivalents in the devolved administrations.

The summary report presents the findings of the second wave of audits:

Alternative Providers

HEFCE have commenced a planned series of blogs on Alternative Providers. On Wednesday they explored the diversity of alternative providers in Alternative providers: debunking the myths. The blog covers the variability of alternative providers with regard to sizes, focus, geographical location and student loan eligibility. The blog is a useful simple introduction for colleagues unfamiliar with alternative providers.

Parliamentary Questions

Student Loans

Q: Bambos Charalambous – Whether she plans to (a) cap or (b) reduce the interest rate applied to student loans.

A: Jo Johnson – We have a world class student finance system, which has enabled record numbers of people to benefit from a university education. Latest UCAS data for 2017 shows more disadvantaged young people have been accepted to university than for the whole of the 2016 application cycle.

The student funding system removes financial barriers for anyone hoping to study, and is backed by the taxpayer. The interest rate on student loans remains significantly below the relevant Bank of England reference rate for unsecured personal lending. In addition, the repayment terms of student loans are significantly more favourable for the borrowers than commercial loans. Monthly repayments are linked to income and not to the amount borrowed or the interest rate. Borrowers earning less than the repayment threshold of £21,000 repay nothing at all. Loans are written off after 30 years with no detriment to the borrower, and student loans are available to all eligible students regardless of their previous financial history.

As with all Government policy, we continue to keep the detailed features of the system under review to ensure it remains fair and effective.

Other news

The Scottish Funding Council published a report on Widening Access 2015-16 showing dropout rates for disadvantaged students at 13% (drop out is 7% for affluent students). The Herald covers the story here.

The Guardian report on Clearing 2017: what worked for universities, and what didn’t shares a perspective from four universities on this year’s Clearing marketing practices.

Fees – Simon Marginson blogs for Wonkhe highlighting that the contribution a university education makes as public goods hasn’t been picked up during the current tuition fee wrangling. It touches upon accessibility to HE, a graduate’s more discriminating understanding of culture, and goods at the collective level – new knowledge created by research, positive effects of higher education on social tolerance. On the TEF Simon writes: If higher education institutions follow the logic of the consumer market and the Teaching Excellence Framework as the government wants them to do, over time unfinanced public goods will be whittled away. The TEF requires institutions to focus on maximising individual student satisfaction scores and individual employability. This requires England’s universities to target more precisely their spending and activities to maximise performance as measured by the TEF indicators. In other words, the more the university neglects extraneous unfunded public goods such its contributions to the local region, the more ‘effective’ it will become. Simon ends by debating whether the private/public split that funds HE should be differently balanced.

The Guardian ran an article on overseas academics who have been refused visas to speak at UK conferences.

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To subscribe to the weekly policy update simply email policy@bournemouth.ac.uk

JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

65111                                                                                 65070

 

Follow: @PolicyBU on Twitter                   |                       policy@bournemouth.ac.uk

HE policy update for the w/e 22nd September 2017

Fees debate

Last week started with the Sunday Times headline suggesting that the government would reduce tuition fees to £7500 and then the debate that has been continuing all summer boiled over briefly. You can read more about it on Wonkhe here.

Headline grabbing policies on tuition fees are apparently fed by the view that all those students who turned out in much increased numbers (and they did) voted Labour (which many of them did) because of their belief in the Labour policy on fees (since denounced as a lie by the Conservatives). As we wrote in our 7th July policy update when we looked at this question specifically, whether this will work to convert all those student votes is very questionable – students are not single issue voters and even if they were, living costs are probably a more immediate issue for many.

Nick Hillman, Director of HEPI, writes in the Guardian that a Government study providing data on student income and expenditure (due to be published 18 months ago) is still being suppressed by Whitehall. Nick calls for this report to be published to underpin the current furore with a robust evidence-base.

Meanwhile living costs remain a hot topic in an article that talks about Labour “hoovering up the student vote”.

The Labour party conference takes place next week and Conservative party conference starts on 1st October so we can expect more on this over the next few weeks. There are still rumours that there will be an announcement on postponing the inflation based fee cap rise for students starting in 2018/19 (now long overdue and expected to be around £9500), that there will be announcements on reducing interest rates or increasing repayment thresholds for student loans, or just possibly something on maintenance grants.

For BU staff: Consultations, intranet and other resources

Did you know that we track sector consultations and calls for evidence and consultations that are relevant to research areas? We provide links to the documents and BU responses on our BU policy intranet pages? Read about current and previous consultations and find all the links, including to the latest tracker.

If you missed our “TEF: Going for gold” workshop with Professor Debbie Holley of CEL recently, you can read more about the latest plans for the Teaching Excellence framework, including subject level TEF, teaching intensity and learning gain on our TEF pages here You can read about the workshop on the CEL blog.

Our intranet pages cover a range of subjects, including the Higher Education and Research Act 2017 and its implications, the Industrial Strategy and Brexit. See our front page here and our “what’s happening” page here.

Industrial Strategy

The Commons BEIS Committee has published the Government’s response to its Industrial Strategy: First Review report, published in March. The Government confirmed that the Consumer and Competition Green Paper will be published in October and will be “consulting on the case for strengthening scrutiny of future overseas investment in some key parts of the UK’s critical national infrastructure. The Green Paper will set out proposals for discussion and consideration, and will invite stakeholders to provide feedback before any proposals become legislation.”

The recommendations from the report and the responses are set out below in summary:

Recommendations 1 and 2 – “The Government should outline a set of clear, outcomes-focussed metrics..”. And 2: “we recommend that the Government publishes annual updates to its action plan …the Government should also create a single dashboard of metrics …on GOV.UK”.

  • Response – “…we are considering the role of metrics in measuring the progress of the Industrial Strategy in meeting its goals. This work is part of ensuring that the Industrial Strategy endures for the long-term.” And (2) “we will be considering the most appropriate mechanisms to update on progress made by the Industrial Strategy and what analysis and data should accompany these updates.”

Recommendation 3 – “We recommend that Government reconsider giving sectoral strategies priority and instead focus on horizontal policies and specific ‘missions’ to meet UK-wide and local public policy challenges.”

  • Response – “We agree with the importance placed by the Committee on horizontal policies…However, there is also advantage in addressing the opportunities and challenges in particular industries and sectors—such as by helping create conditions for a thriving supply chain, and developing institutions in which companies can share in research and development and training. …we have proposed to set an ‘open door’ challenge to industry to come to the Government with proposals to transform and upgrade their sector through ‘Sector Deals’. This will allow us to consider and address sector-specific issues which would not otherwise be addressed through horizontal policies.”

Recommendation 4 –“We recommend that specific support for industry be guided by a targeted ‘mission-based’ approach, channelling the Government’s support towards addressing the big challenges of the future. “

  • Response –“We agree that one of the strengths of an Industrial Strategy is to be able to bring together concerted effort on areas of opportunity that have previously been in different sectors, or which require joining forces between entrepreneurs, scientists and researchers, industries, and local and national government. The Government has announced a new Industrial Strategy Challenge Fund (ISCF)….” [read more in our Industrial Strategy update in the policy update of 25th August.]

Recommendation 5- “We recommend that the Government consider establishing a joint unit bringing together civil servants from BEIS, the Treasury, the Department for Communities and Local Government, and the Department for Education to provide an inter-departmental team to develop and implement the industrial strategy.”

  • Response – “The Industrial Strategy is a Government-wide initiative. …The importance of this is demonstrated by the creation of the Economy and Industrial Strategy Cabinet Committee, chaired by the Prime Minister and comprising the Secretaries of State…….A unit based within the Department for Business, Energy and Industrial Strategy coordinates the development of the strategy….We do not believe that establishing a more formal joint unit will provide sufficient added value to justify the disruption to the policy development that this would cause.”

Recommendation 6 “We recommend that the Government improve the transparency of its engagement with business by publishing details of external meetings in a single, searchable database and extending publication to include all meetings ….”

  • Response –“Enhancing transparency and accountability is at the heart of our approach to government –…We have a manifesto commitment to continue to be the most transparent government in the world. …We publish details of Ministers’ and Permanent Secretary meetings with external organisations, including senior media figures, routinely on GOV.UK. Information about meetings between officials, businesses and charities are not currently held centrally and could only be obtained at disproportionate cost. Expanding this approach to include all Senior Civil Servants would be a lengthy and costly process …”.

Recommendation 7 – “We recommend that the Government work with industry and local government to conduct a holistic review of the business services and support it offers with a view to simplifying access to advice on these in order to improve the ‘customer journey’. “

  • Response – “Government plays an important role in signposting businesses to the support and advice that they need to improve, grow and scale-up their business. Through GOV.UK, supported by a Business Support Helpline and Local Enterprise Partnership (LEP) led Growth Hubs, businesses are able to receive free, impartial support, which aims to simplify their journey to finding the right advice at the right time. In the Industrial Strategy Green Paper we …highlighted that we would look to identify any potential gaps in current policy, informed by international best practice. We also announced a Scale-Up Taskforce, overseen by the Minister for Small Business, to support high growth scale-up businesses across the UK….”

Recommendation 8 – “We repeat our previous recommendation that the Government should set a target to increase R&D investment to 3 per cent of GDP and implement policies to achieve it.”

  • Response – “This Government has set out its vision to meet R&D investment of 2.4% of GDP within ten years and 3% in the longer-term. Going forward, this ambition will be an important part of our Industrial Strategy and will require a concerted cross-government approach.”

Recommendation 9 – “In line with the Secretary of State’s stated aim to support disruptors and economic innovation, we recommend that the Government review with industry whether additional steps are needed to provide regulatory certainty for emerging business models.”

  • Response – “The Green Paper recognised that new entrants, not just incumbents, play an important role within established sectors of the economy, and that innovative businesses are driving growth in important new sectors. …The Government recognises that, to do this, we must understand key technology trends, foster growth in the new sectors (such as AI and Robotics) that will become increasingly economically significant, and work with established sectors (such as Education and Insurance) as new entrants deploying new technologies and business models emerge and change sector dynamics. In line with the Green Paper commitment the Challenger Business Programme that engages new entrants in existing sectors is being expanded into a Future Sectors team. …”

Recommendation 10 – “We recommend that the Government consider the potential for greater devolution of responsibility and funding for skills to local authorities and Local Enterprise Partnerships….”

  • Response – “We recognise we need to bring forward a new offer on skills and technical education …which is why we’ve set out our ambitions for wide-ranging reforms to technical education in both the Industrial Strategy Green Paper and, more recently, in the Budget set out by the Chancellor in March….Alongside this we are devolving the adult education budget to the mayoral combined authorities, starting with a transition towards devolution in 2018/19. Full transfer of statutory adult education functions to the combined authorities, and delegation to the Mayor of London, will take place in 2019/20, subject to readiness conditions. …We are continuing to work towards devolution deals with England’s largest cities where they don’t have them at present. We will also be setting up Skills Advisory Panels in England that will bring together local employers, providers and LEPs to identify local skills needs and inform delivery to support local growth.”

Recommendation 11 – “we recommend that the Government exclude university students from immigration totals and promote high skilled migration to the UK on an equal “who contributes most” basis to people wishing to invest and innovate in the UK.”

  • Response – “The Government strongly welcomes genuine international students who come to the United Kingdom to study. There is no limit on the number of genuine international students who can come to study in the UK and there is no intention to impose a limit on the number of international students that any institution can recruit.”
  • “Migration statistics are produced by the Office for National Statistics (ONS), the UK’s independent statistical authority. It is for the ONS to determine how statistics are compiled. By including international students in its net migration calculations, the ONS is using the internationally accepted definition of migration, which includes all of those who move for more than 12 months, including students. Other major countries such Australia, Canada and the United States include students in their migration statistics.
  • “Those planning the provision of services need to know who is in this country and, like other migrants, international students have an impact on communities, infrastructure and services while they are here. So long as students are complying with the terms of their visas and returning home at the completion of their studies, the overall contribution of students to net migration should be very small and incremental growth in student numbers, along the lines of that seen in recent years, can be accommodated within the net migration target. The target does not require us to impose restrictions on student numbers and we have no intention of doing so.
  • “We recognise the value of international students and this is why we are commissioning the independent Migration Advisory Committee (MAC) to provide an objective assessment of the impact of international students.
  • “We are considering the options for our future immigration system very carefully. As part of that, it is important that we understand the impacts of different options on different sectors of the economy and the labour market. We will build a comprehensive picture of the needs and interests of all parts of the UK and look to develop a system which works for all. As part of our evidence gathering, we have commissioned the Migration Advisory Committee to consider patterns of EU migration and the role of migration in the wider economy, including how we align our immigration system with the Industrial Strategy. Parliament will have an important role to play in this, and we will ensure that businesses and communities have the opportunity to contribute their views.”

Recommendation 12 – “Fiscal levers can play a key role in shaping business behaviour. We recommend that Government commission an independent review bringing together broad representation to consider whether taxation levers can better be used to boost investment in physical and human capital, research and innovation.”

  • Response –“ The government recognises the role of fiscal levers in shaping business behaviour and is committed to ensuring that Britain has a competitive tax system that encourages businesses to invest. …The government keeps all tax policy under review but we do not see the case for an independent review at this time.”

Recommendation 13 – “We recommend that the Government conduct a fundamental review of the outdated structure of the business rates system….”

  • Response – “The government conducted a review of business rates in 2015. This review concluded at Budget 2016 where the government announced business rates reductions, costing nearly £9bn over the next five years, benefitting all ratepayers. …All ratepayers will benefit from the switch in indexation from RPI to the main measure of inflation (currently CPI) from April 2020. ….In addition, the government has cut the main rate of corporation tax from 28% to 19% from April 2017 and it will fall further to 17% in 2020.”

Recommendation 14 – “The Government should also consider the opportunities to further boost procurement from within the UK as part of its negotiating strategy for withdrawal from the EU.”

  • Response – “We welcome the Committee’s endorsement of our work to maximise opportunities for UK firms to compete in public procurement. The issue of how procurements should be governed following our exit from the EU is being considered as part of the wider [Brexit] process …”

Recommendations 15 and 15 – “…the Government needs to provide much greater clarity and certainty as to what steps it intends to take to intervene in foreign takeover deals and in what circumstances.” And (16) “We recommend that the Government takes steps to ensure it has the power to retain IP benefits in the UK in the event of a foreign takeover”

  • Response [Subject to change if published after the Consumer and Competition Green Paper in October]
  • “…Maintaining a clear, stable and open environment for trade and investment is, and will continue to be, core to our approach. …We will therefore be consulting on the case for strengthening scrutiny of future overseas investment in some key parts of the UK’s critical national infrastructure in order to protect against potential national security risks. The Green Paper will set out proposals for discussion and consideration, and will invite stakeholders to provide feedback before any proposals become legislation.”
  • And (16): “…When companies in receipt of public funds are taken over, Government is able to safeguard public funds by using ‘change of control’ clauses in funding agreements where they exist.”

Recommendation 17 – “The Government needs to provide clarity on the respective roles and responsibilities between national, local and regional institutions. ….While many services may best be designed at a local level, the Government needs to ensure that it avoids creating barriers to cooperation between local institutions or inadvertently introducing perverse incentives that lead to needless and inefficient duplication of services.”

  • Response – “We are conducting a review into strengthening the role of LEPs. This gives us the opportunity to consider how we can support the business voice by bringing it further into local economic decision making…”

Recommendation 18 – “We recommend that the Government set out a clear plan to close per head spending gap on infrastructure, R&D and education between London and the rest of England.”

  • Response – “The Government recognises the importance of spending on infrastructure, R&D and education to support growth across all regions of the UK. …The White Paper will be an important vehicle to consider these issues in more depth…The Green Paper recognised that, although we have world-leading centres of excellence and leading R&D clusters, we need to do more to strengthen areas outside the ‘golden triangle’ of institutions and businesses between Oxford, Cambridge and London. ….We are now considering how different policy approaches might work in the wider funding landscape for regions and places”.

Alternative and niche providers

Higher Education Commission launched its report: ‘One size won’t fit all: the challenges facing the Office for Students’ The report makes recommendations for the OfS, following hot on the heels of those made by the Minister last week – it looks at alternative and niche provision. There’s a Wonkhe article here

Strategic challenges for the OfS:

  • The unintended consequences of policy reform and funding continue to favour the offer of certain modes of study and undermines choice for students
  • The balance between upholding quality and encouraging innovation is not achieved, either damaging the sector’s reputation or meaning the sector does not keep pace with changes in technology and the labour market
  • Innovation and growth in the sector does not effectively align with the industrial strategy or aspirations for regional growth
  • Price variation and two tier provision result in greater segregation across the system damaging social mobility
  • The student experience of higher education is undermined as some providers struggle with competition and funding challenges
  • Institutional decline, and ultimately failure, reduces choice and the quality of provision in certain areas, or damages the student experience or the perceived value of their qualification
  • The Office for Students in its new role as the champion of ‘choice for students’ and ‘value for the tax payer’ must address these challenges. It is hoped that the findings in this report and the recommendations outlined below will aid the new regulator in ensuring the continued success of the sector.

The report includes an interesting overview of how we got to where we are now, and then moves on to look at some knotty issues facing the sector, including alternative models, and a number of themes that arise in that context (such as access, support for students and progression). They look at class and course size, which is interesting given the new TEF focus on “teaching intensity”, practitioner lecturers, industry experience, sandwich degrees and apprenticeships. There is a chapter on funding, costs and fees and of course the report looks at part-time and accelerated courses, also another hot topic for universities as well as alternative providers. The report also examines some of the perceived barriers to innovation which were cited in government papers – validation (which is described a barrier to innovation rather than entry) and retention being a problematic measure for alternative providers.

The consequences of all this start in chapter 4 (page 55) where the report turns to recommendations for the OfS as the regulator.

The recommendations are:

  • Universities should learn lessons from the further education sector to create an environment that feels more accessible to students from low participation backgrounds.
  • The OfS should work with HEIs and alternative providers to identify how personalised and industry-orientated provision can be scaled up and replicated across the system.
  • The OfS, as a principal funder and regulator of the HE sector, should develop ways of incentivising industry practitioner involvement in universities.
  • Universities should consider flexible models of placements for sandwich degrees in order to meet the needs of SMEs.
  • The OfS should closely monitor the impact of degree apprenticeships on sandwich courses and other work based learning provision.
  • The OfS should address cost issues around part-time study and accelerated degree programmes, so as to support wider provision of these non-standard modes.
  • We recommend that the OfS monitors the implications of different delivery costs between HE and FE, not least in terms of enabling entry to part-time and mature students.
  • Research should be commissioned by the OfS to better understand how students, especially from disadvantaged backgrounds, can be encouraged to use sources of information more critically in their HE choices.
  • The Office for Students should provide Parliament with an annual report mapping the diversity of provision across the higher education sector, commenting on trends and explanations for changing patterns of provision.
  • The DfE and the EFSA should consider the viability of allowing employers to use the apprenticeship levy to fund work-relevant part-time HE
  • The DfE should consider the extent to which accelerated and flexible programmes could be supported by changes to the funding based on credit.

Brexit

Question to the Treasury

Q: Stephen Gethins – If he will make an assessment of whether there will be any gap in funding for UK universities during the transition from EU structural and investment funds to the UK Shared Prosperity Fund.

A: Elizabeth Truss – The Government made a manifesto commitment to use the EU structural and investment fund money returning to the UK after the UK leaves the EU to create a UK Shared Prosperity Fund. In October 2016 the Chancellor confirmed that HMT would guarantee funding for all multi-year ESIF projects signed ahead of the point at which the UK leaves the EU. Funding will be honoured provided that the relevant government department considers the project to provide good value for money and be in line with domestic strategic priorities.

Question on Exiting the European Union

Q: Baroness Coussins – When issues relating to the UK’s participation in the Erasmus Programme will be scheduled for discussion as part of the negotiations on exiting the EU.

A: Baroness Anelay Of St Johns – At the start of these negotiations, both sides agreed that the aim was to make progress on four key areas: citizen’s rights, the financial settlement, Northern Ireland and Ireland and broader separation issues. Both sides need to move swiftly on to discussing our future partnership, including specific European programmes we may still wish to participate in. We want that to happen after the October European Council. The UK government does recognise the value of international exchange and collaboration in education and training, and this forms part of our vision for the UK as a global nation.

Other business this week

The Education Policy Institute published Entries to arts subjects at Key Stage 4 noting a sharp decline in the numbers of pupils studying art and design; drama and theatre; media, film, and TV studies; music; dance; and performing arts. In 2016 entry rates to arts subjects at key stage 4 were the lowest in 10 years. There is evidence of a North-South divide with Southern regions more likely to choose arts options. The report also notes substantial gaps in the arts entry rates from pupils with different ethnic backgrounds. Black Caribbean pupils have particularly high entry rates, whilst pupils from Indian and Pakistani backgrounds are much less likely to take an arts option than those from other ethnic groups. The decline in entry to arts subjects will likely have a knock on effect for university applications within the subject areas by 2020. Entry rates peaked in 2014 so the 2018/19 academic year may see a higher volume of applications. The publication discusses the influence of the introduction of the English Baccalaureate (EBacc) and of Progress 8 which may be deterring entry to arts subjects as they are not within the core subjects for the EBacc.

HEPI published The Positive and Mindful University. The report advocates creating a proactive culture where by students and staff develop their capacity to deal with adversity to prevent mental health problems manifesting. The report provides short school-based cased studies and examples from an Australian and Mexican University. Chapter 4 discusses the UK based good practice and UUK’s mental health in HE programme. Chapter 5 (page 41) sets out 10 steps to support students to make a positive transition to university.

JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

65111                                                                                 65070

Follow: @PolicyBU on Twitter                   |                       policy@bournemouth.ac.uk

HE policy update for the w/e 15th September 2017

REF 2021

As we noted last week, on 1st September 2017 HEFCE published the initial decisions on REF 2021. This does not include decisions regarding submitting staff, output portability or the eligibility of institutions to participate in the REF. There is another consultation on those issues and BU’s response is being prepared by RKEO – please contact Julie Northam if you would like to be involved.  This week, the four UK funding bodies published a summary of the responses to the previous consultation. The document summarises the 388 formal responses to the consultation.

Consultation responses welcomed an overall continuity of approach with REF 2014 and recognised that this would reduce the burden on institutions and panels. Broad support was expressed for the principles behind Lord Stern’s recommendations. There were mixed responses to some of the proposed approaches to implementing the changes, in particular:

  • all-staff submission
  • non-portability of outputs
  • institutional-level assessment
  • open access and data sharing.

Feedback on these areas included concern about their effects on different disciplines or types of institution, their impact on specific groups, in particular early career researchers and those with protected characteristics, and the burden of implementation.

Some highlights:

  • Over a third of respondents suggested that the proposal might result in changes to contractual status, with some staff being moved to Teaching-only contracts. A small number of HEI respondents suggested that they would make such contract changes if the proposal is implemented.
  • “the predominant suggestion (by one-fifth of respondents addressing this issue) was that HEIs should retain a key role in identifying staff with significant responsibility for research”.
  • Many respondents stressed the importance of research independence as a criterion, especially for staff employed on Research-only contracts. The majority of respondents argued for a nuanced approach to the inclusion of research assistants where they could demonstrate research independence. There was some support for using the REF 2014 independence criteria, although many requested clearer guidance to limit the burden on HEIs.
  • Of those who commented on question 9c., asking for views on the minimum number of outputs per staff member, over half supported setting a minimum requirement of one output per person. Over one-third were in favour of no minimum at all. This support was often linked to the use of contracts to determine research-active status and concern about the ability to submit large numbers.
  • Of those who provided a clear view, around three-quarters did not support the introduction of non-portability rules.
  • Just over 50 per cent of respondents to Question 38 agreed in principle with the introduction of an institutional element to the environment template; this support came with a lot of caveats.
  • Almost half of the responses to Question 26 supported the principle of maintaining the volume of impact case studies overall. The majority recognised that this would affect the ratio of case studies required per FTE when applied alongside the submissions of all staff with significant responsibility for research. Respondents were keen to know the multiplier as soon as possible, to enable HEIs and submitting units to plan the number of case studies required.
  • A third of responses agreed that the minimum number of impact case studies per submission should be reduced to one. This was felt to be of particular benefit to smaller submitting units. However, a number of respondents discussed the risks associated with a minimum of one case study.
  • A small number of respondents drew attention to the Teaching Excellence Framework, which was mentioned in the context of incentivising research-led teaching and minimising burden on HEIs. It was stressed that an aligned approach is necessary to avoid creating a division between teaching and research

Office for Students

Higher Education Commission launched its report: ‘One size won’t fit all: the challenges facing the Office for Students’ The report makes recommendations for the OfS, following hot on the heels of those made by the Minister last week – it looks at alternative and niche provision. There’s a Wonkhe article here

Strategic challenges for the OfS:

  • The unintended consequences of policy reform and funding continue to favour the offer of certain modes of study and undermines choice for students
  • The balance between upholding quality and encouraging innovation is not achieved, either damaging the sector’s reputation or meaning the sector does not keep pace with changes in technology and the labour market
  • Innovation and growth in the sector does not effectively align with the industrial strategy or aspirations for regional growth
  • Price variation and two tier provision result in greater segregation across the system damaging social mobility
  • The student experience of higher education is undermined as some providers struggle with competition and funding challenges
  • Institutional decline, and ultimately failure, reduces choice and the quality of provision in certain areas, or damages the student experience or the perceived value of their qualification
  • The Office for Students in its new role as the champion of ‘choice for students’ and ‘value for the tax payer’ must address these challenges. It is hoped that the findings in this report and the recommendations outlined below will aid the new regulator in ensuring the continued success of the sector.

The report includes an interesting overview of how we got to where we are now, and then moves on to look at some knotty issues facing the sector, including alternative models, and a number of themes that arise in that context (such as access, support for students and progression). They look at class and course size, which is interesting given the new TEF focus on “teaching intensity”, practitioner lecturers, industry experience, sandwich degrees and apprenticeships. There is a chapter on funding, costs and fees and of course the report looks at part-time and accelerated courses, also another hot topic for universities as well as alternative providers.   The report also examines some of the perceived barriers to innovation which were cited in government papers – validation (which is described a barrier to innovation rather than entry) and retention being a problematic measure for alternative providers.

The consequences lf all this start in chapter 4 (page 55) where the report turns to recommendations for the OfS as the regulator.

The recommendations are:

  • Universities should learn lessons from the further education sector to create an environment that feels more accessible to students from low participation backgrounds.
  • The OfS should work with HEIs and alternative providers to identify how personalised and industry-orientated provision can be scaled up and replicated across the system.
  • The OfS, as a principal funder and regulator of the HE sector, should develop ways of incentivising industry practitioner involvement in universities.
  • Universities should consider flexible models of placements for sandwich degrees in order to meet the needs of SMEs.
  • The OfS should closely monitor the impact of degree apprenticeships on sandwich courses and other work based learning provision.
  • The OfS should address cost issues around part-time study and accelerated degree programmes, so as to support wider provision of these non-standard modes.
  • We recommend that the OfS monitors the implications of different delivery costs between HE and FE, not least in terms of enabling entry to part-time and mature students.
  • Research should be commissioned by the OfS to better understand how students, especially from disadvantaged backgrounds, can be encouraged to use sources of information more critically in their HE choices.
  • The Office for Students should provide Parliament with an annual report mapping the diversity of provision across the higher education sector, commenting on trends and explanations for changing patterns of provision.
  • The DfE and the EFSA should consider the viability of allowing employers to use the apprenticeship levy to fund work-relevant part-time HE
  • The DfE should consider the extent to which accelerated and flexible programmes could be supported by changes to the funding based on credit.

Fees and funding

There was a debate in the House of Commons this week on an Opposition motion to reverse the legislation on tuition fees – these debates are non-binding and after the DUP said they would support them the government declined to have a formal vote – so they were passed. The same thing happened on a motion about the pay cap in the NHS.   As they were non-binding, this is largely symbolic, but much has been made about the “anti-democratic” implications of this..

Meanwhile, the Resolution Foundation hosted a lively debate on fees and funding – you can see the (very long) recording on YouTube, and the Times Higher did their own short version. Rumours persist that despite Jo Johnson’s staunch defence of the system, No. 10 may be getting cold feet, and the new fee cap for 2019/20 has still not been announced….

And Philip Hammond contributed to the speculation while giving evidence at the House of Lords Economic Affairs Committee (reported widely, here is the Telegraph link):

“I do think there’s a significant difference between a graduate who leaves university with a, perhaps, quite significant level of debt and a well-recognised degree in an area which is known to provide strong employment opportunities; and a graduate on the other hand who perhaps has a very similar level of debt but who may not have a degree that is going to enhance his or her employment opportunities in the same way..

“We need to look at…the information we provide to students to enable them to make value-for-money assessments about what they are buying and what it’s going to cost them.”

And to contribute to the debate, the Commons Education Committee have launched an inquiry into value for money in HE. They are inviting written submissions on the following issues by 23rd October 2017:

  • Graduate outcomes and the use of destination data
  • Social justice in higher education and support for disadvantaged students
  • Senior management pay in universities
  • Quality and effectiveness of teaching
  • The role of the Office for Students

JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

65111                                                                                 65070

Follow: @PolicyBU on Twitter                        |                       policy@bournemouth.ac.uk

HE policy update for the w/e 8th September

Well, Parliament is back and we have had a lively start to the autumn.

REF 2021

On 1st September 2017 HEFCE published the initial decisions on REF 2021. This does not include decisions regarding submitting staff, output portability or the eligibility of institutions to participate in the REF. There is another consultation on those issues and BU’s response is being prepared by RKEO – please contact Julie Northam if you would like to be involved. Thanks to Julie for these highlights of the announcement:

Assessment weightings:

  • Outputs 60% (down from 65%)
  • Impact 25% (up from 20%)
  • Environment 15% (same but now includes impact strategy)
  • HESA cost centres will not be used to allocate staff to UOAs. Responsibility for mapping staff into UOAs will therefore remain with institutions.

UOA structure:

  • Total UOAs reduced from 36 to 34
  • Engineering will be a single UOA – UOA 12
  • REF 2014 UOA 17 will be restructured to form UOA 14: Geography and Environmental Studies and UOA 15: Archaeology
  • ‘Film and Screen Studies’ will be located and included in the name of UOA 33: Music, Drama, Dance, Performing Arts, Film and Screen Studies
  • HEFCE will continue consulting with the subject communities for forensic science and criminology to consider concerns raised about visibility. A decision is expected this autumn.

Timetable:

  • Impact: Underpinning research must have been produced between 1 Jan 2000 – 31 Dec 2020 andimpacts must have occurred between 1 Aug 2013 – 31 Jul 2020.
  • Environment: Environment data (such as income and doctoral completions) will be considered for the period 1 Aug 2013 – 31 Jul 2020.
  • Outputs: The assessment period for the publication of outputs will be 1 Jan 2014 – 31 Dec 2020.
  • The draft REF 2021 guidance will be published in summer/autumn 2018 and the final guidance will be published in winter 2018-19. The submission will be in autumn 2020.

Outputs:

  • Interdisciplinary research:Each sub-panel will have at least one appointed member to oversee and participate in the assessment of interdisciplinary research submitted in that UOA. There will be an interdisciplinary research identifier for outputs in the REF submission system (not mandatory).There will be a discrete section in the environment template for the unit’s structures in support of interdisciplinary research.
  • Outputs due for publication after the submission date: A reserve output may be submitted.
  • Assessment metrics: Quantitative metrics may be used to inform output assessment. This will be determined by the sub-panels. Data will be provided by HEFCE.

Impact:

  • Impact will have a greater weighting in REF 2021 (25% overall plus impact included in the environment template and therefore weighting).
  • The guidance on submitting impacts on teaching will be widened to include impacts within, and beyond, the submitting institution.
  • Impacts remain eligible for submission by the institution in which the associated research was conducted. They must be underpinned by excellent research (at least REF 2*).
  • The number of case studies required – still not confirmed – HEFCE are exploring this in relation to the rules on staff submission and the number of outputs.
  • Case studies submitted to REF 2014 can be resubmitted to REF 2021, providing they meet the REF 2021 eligibility requirements.
  • The relationship between the underpinning research and impact will be broadened from individual outputs to include a wider body of work or research activity.

Institutional-level assessment (impact case studies): HEFCE will pilot this in 2018 but it will not be included in REF 2021.

Environment: The UOA-level environment template will be more structured, including the use of more quantitative data to evidence narrative content. It will include sections on the unit’s approach to:

  • supporting collaboration with organisations beyond HE
  • enabling impact – akin to the impact template in REF 2014
  • supporting equality and diversity
  • structures to support interdisciplinary research
  • open research, including the unit’s open access strategy and where this goes beyond the REF open access policy requirements

Institutional-level assessment (environment):

  • Institution-level information will be included in the UOA-level environment template, assessed by the relevant sub-panel.
  • HEFCE will pilot the standalone assessment of institution-level environment information as part of REF 2021, but this will not form part of the REF 2021 assessment. The outcomes will inform post-REF 2021 assessment exercises.

Jo Johnson’s UUK speech – the next steps for regulation

Jo Johnson gave a speech at the Universities UK annual conference on Thursday –prefaced by a deluge of press coverage. See the BBC, the Guardian, the Telegraph, for a sample.  He started with a summary of the current state of the national debate on universities:

Recent criticisms of higher education in the UK fall into two distinct camps: we might call them the Statists and the Pessimists. The Statists direct their criticism at student finance. They argue that the most important thing we can do is to abolish tuition fees.” and “The second group of critics, the Pessimists, have an altogether bleaker view of Higher Education. They argue that university is inappropriate for many students, that student numbers should be significantly reduced and that students should pursue other types of post-18 education”.

The Minister rejected the calls for a change to the fee structure, consistent with other speeches over the summer (see the Policy Update for the w/e 21st July 2017).   He said that the “Statist” approach is “bad for social mobility, bad for university funding, bad for taxpayers”. [ See the UUK announcements on this below. In the FT on 8th September, it is reported that Theresa May is soliciting views on tuition fees policy in an attempt to close the generational gap, with Lord Willetts attending a meeting at No 10. So despite the regular assurances of no change, this is still one to watch.] To the Pessimists, his message was that “Post-18 education is not a zero-sum game, where to improve further education we must restrict and ration higher education to a privileged few”. But he said that there must be a strong economic return from a “mass system of higher education”. He highlighted graduate salaries, an increase in GDP and national productivity. [see below for the UUK position on fees and funding]

The Minister referred to concerns about value for money and used the same words as when launching the Green Paper, talking about “patchy teaching”. He also attacked the sector for grade inflation: “There has been a significant increase in the proportion of people receiving firsts and 2:1 degrees over the past five years that cannot be explained by rising levels of attainment. Grade inflation is tearing through English Higher Education. On the face of it, the facts are shocking.Grade inflation can fuel disengagement on both sides – if students know that 80-90 per cent will get a 2:1 or first from a high-reputation provider, there is less incentive to work hard – and less incentive by the provider to focus on teaching.” The Minister attacked league tables for encouraging grade inflation by using first degrees as a metric.

And he listed 5 measures that would deliver value for money:

  • The TEF – including subject level TEF (see more below in the TEF update)
  • A focus on grade inflation – as part of the TEF (see below), and be requiring the OfS to report on degree classifications and challenge providers to explain any data that suggested grade inflation, and calling on the sector to take action themselves, for example by developing a sector-recognised minimum standard. This is something that will no doubt be the subject of debate in the months to come. This could have parallels in some PSRB accreditation systems – an analogy that may be worth exploring.
  • Student contracts -this was also discussed in the July speech (see the Policy Update for the w/e 21st July 2017). This time, the Minister said that the Competition and Markets Authority guidance was only “patchily observed”. The OfS will be asked to “embed in the system student contracts that are clear, quantifiable and fair”. There is a consultation to follow on making this a registration condition.
  • Accelerated degrees – we are waiting for the formal response to the call for evidence last year but a consultation will be taking place on the new fee cap that would be required to support this – allowing providers to charge more than £9250 per year (but with a lower overall cost for the whole programme).
  • VC Pay – the OfS to introduce a new condition of registration that they publish salary data for the top earners and provide a justification, supported by guidance. The OfS will analyse and publish this data. The Minister called for the Committee of University Chairs to develop a new Remuneration Code.

UUK position

In a blog on 5th September 2017, Chris Hale, the Director of Policy of UUK responded to the debate over the summer, referring to a report from UK2020 that was published this week and repeated allegations of the sector operating a cartel to fix prices for degrees.  In a speech presumably written without advance knowledge of what the Minister was going to say, and trailed in the press on Tuesday, the new President of UUK, Professor Janet Beer, VC of Liverpool University did call for changes to undergraduate funding. She referred to “vexed issues and opportunities” and gave a staunch defence of the sector and its contribution to health, happiness and the economy.

On student finance, Professor Beer said that the system was not broken but that it needed to feel fairer, and highlighted three areas for action:

  • Targeted maintenance grants
  • Lower interest rate for low and middle-income earners. [On this point it is interesting to note that this is how it already works – see the blog from Martin Lewis on MoneySavingExpert.com which he tweeted again to respond to this story and the clip below]
  • Ensuring that the benefits of the current system are better understood – e.g. 35% of the cost of educating students is contributed by the government and 75% of students have some of their debt written off.

UUK have now published a Parliamentary briefing on the funding issues.

On senior pay:

  • “It’s understandable that high pay is questioned and it is right to expect that the process for determining pay for senior staff is rigorous and the decision-making process is transparent. It is also reasonable to expect that decisions are explained and justified.”, and continuing:
  • However, the current debate has lost sight of the facts and shows little understanding of the role that present-day vice-chancellors play not only in their own university, but in their communities, regions and on the national and international stage. The role of the vice-chancellor has evolved from leading a community of scholars, to leading large, complex, global organisations; organisations with multi-million pound turnovers, with thousands of staff working in a variety of roles, and which play an increasingly prominent role in the economic prosperity of our regions and nations. First-rate leadership is necessary for a university to be successful, and competitive remuneration is needed to attract the best leaders with the skills to lead these complex global organisations.
  • There have also been questions raised about the pay of our leading researchers and senior professional staff. We should remember that senior staff are choosing to work at our universities to deliver public good when they might otherwise choose to work in the private sector, attracting far higher remuneration. We must not let them be put off by comments that they are not worth it or their contribution is not valued.”

Nick Hillman of HEPI also writes in response that autonomy is more important than regulation in this area: “Just a few months ago, when the Higher Education and Research Act was still in short trousers, there was widespread concern that the Office for Students would not have due regard to university autonomy. Insisting they tackle vice-chancellors’ pay as one of the most urgent priorities (and before they have taken charge) will not assuage such concerns.”

Teaching Excellence Framework (TEF) update

In his speech at the Universities UK annual conference on Thursday, Jo Johnson referred to a lessons learned exercise that the government has carried out on year 2 of TEF. This used the UK survey we referred to in the Policy Update w/e 1st September 2017 as well as feedback from a range of stakeholders and desk based research of the metrics. The full report plus the specification are due to be published later in September 2017. These changes will also be included in the subject level TEF pilot. The UUK review is also discussed on Wonkhe here.

  • A new metric on grade inflation (see context in Jo Johnson’s speech above). This will be a supplementary metric which will not form part of the core metrics and the process of assessing the initial hypothesis, but will be considered by the assessors while considering Rigour and Stretch (TQ3). This will be based on a provider declaration and will “record the proportion of firsts, 2:1s and other grades as a percentage of all classified degrees at that provider 1, 2, 3 and 10 years before the year of assessment”.   If the data shows that there has been grade inflation the provider will presumably have to use their written submission to demonstrate how it is being addressed. Also, the number of firsts and 2:1s cannot be considered as evidence for the quality of teaching.
  • Changes to the NSS weighting – these are interesting – particularly as there was no formal weighting for any metrics in the TEF guidance before, and no specific weighting for metrics v the written submission either. That was why there was so much interest when the Chair of the TEF Panel, Chris Husbands, suggested that the role of the NSS in the decisions on TEF should be downplayed. The paper describes this in more details in Annex B – this is a change to the way that the “initial hypothesis” (based on metrics) will be formed.
  • Changes to address the NSS boycott, by averaging the scores across the three years or simply omitting 2017.
  • Part-time providers (those with over 35% part-time students) will also be able to provide additional information relating to their part-time students and a separate assessment will be formed for part-time students.
  • Absolute values: in a change which has been flagged as a nod to the Russell Group providers who received Bronze awards in the TEF (and who, in some cases, complained about the benchmarking process), alongside the benchmarking, the top and bottom 10% values for each metric will also be highlighted (with stars and exclamation marks). This will reinforce a positive or negative flag but can also be taken into account by the assessors – although a star will be ignored if there is a negative flag or a negative flag for a split metric (so that high performing institutions with negative flags for disadvantaged groups cannot benefit). Exclamation marks will be ignored if there is a positive flag.
  • Longitudinal Education Outcomes data (LEO) will be included as “supplementary” data – this will not affect the initial hypothesis but will be considered alongside the submission. The metrics to be included are the proportion of graduates in sustained employment or further study three years after graduation and the proportion of graduates in sustained employment earning over the median salary for 25 – 29 year olds (currently £21,000) or in further study
  • Gaming” – the Director for Fair Access will be given an opportunity to comment on “gaming” has taken place (defined as “a significant alteration in a provider’s student profile since the last TEF assessment, that involves a reduction in the proportion of students from disadvantaged groups”. In extreme cases, this might lead to disqualification.

Separate from all this a research paper by Camille Kandiko Howson of Kings College and Alex Buckley of the University of Strathclyde has been published which looks at the UK Engagement Survey – something that was tipped to be a potential metric for TEF if it was more widely adopted.

Widening Participation

Justine Greening announced that the new Director of Fair Access and Participation when the Office for Students if formed will be Chris Millward, who has been Director of Policy at HEFCE. The new role will have a focus on progression and outcomes as well as access for disadvantaged and under-represented groups in Higher Education.

Brexit

In the meantime, the Brexit negotiations continue and a flurry of papers have been published by the UK government and the EU.  The most interesting one is the one on Collaboration on Science and Innovation. The paper has lots of warm words on collaboration but little detail on what a future arrangement with the EU might look like.  On Horizon 202, the paper suggests that the UK will be seeking “associated” status (it says “associated countries have the same level of access to Horizon 2020 as EU Member States. Associated countries do not have a formal vote over the work programme, but can attend programme committees, which provides them with a degree of influence. Terms of association (including financial contributions) vary, and are determined by international agreements with the EU.“)

The overall conclusions are:

  • The UK wants to continue playing a major role in creating a brighter future for all European citizens by strengthening collaboration with European partners in science and innovation.
  • To this end, the UK will seek to agree a far-reaching science and innovation agreement with the EU that establishes a framework for future collaboration. There are a range of existing precedents for collaboration that the UK and the EU can build on, but our uniquely close relationship means there may be merit in designing a more ambitious agreement. The UK hopes to have a full and open discussion with the EU about all of these options as part of the negotiations on our future partnership.
  • The UK would welcome dialogue with the EU on the shape of a future science and innovation agreement, reflecting our joint interest in promoting continued close cooperation, for the benefit of UK and European prosperity”

Of course, the other interesting Brexit story was the paper we weren’t meant to see – the leaked draft on migration (read more in the Guardian report). The draft proposed work permits for EU citizens with a two year limit, language tests for EU students and ensuring that they have sufficient funds before they come to the UK (which implies that they will not qualify for student loans). None of these things is particularly surprising even if unwelcome – essentially the same type of restrictions would apply as apply currently to international students. What is most interesting about this is the reaction and the timing – Amber Rudd has only just announced a review of the impact of international students and a review into the social impact of Brexit – both of which will not report until September 2018. Damien Green on the Today programme said that the real paper would be launched “in a few weeks” – at the Conservative Party Conference?

Other interesting reading

The Higher Education Policy Institute published:

  • a blog on graduate entrepreneurs and what universities could do to support them
  • a report on the crisis in the creative arts in the UK – looking at what has happened in schools and suggesting that the increased and simplistic focus on graduate employment outcomes will impoverish education and damage outcomes (see the TEF report above).

JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

65111                                                                                 65070

Follow: @PolicyBU on Twitter                        |                       policy@bournemouth.ac.uk

HE policy update for the w/e 1st September 2017

We continue our series of summer updates focussing on themes rather than news with a look at learning gain.  We have updates on the Industrial Strategy Bell review of Life Sciences, and an update on the TEF from UUK.

Learning Gain

Learning gain has become a potential hot topic for universities over the last year – could it be the magic bullet for problems with TEF metrics?  Why is it a policy issue and what are the implications of the policy context for universities and students?  Wonkhe recently published a helpful summary in July by Dr Camille B. Kandiko Howson, from Kings College.

Background – TEF – The Teaching Excellence Framework (TEF) includes learning gain alongside student outcomes more generally as one of its three main criteria for assessing teaching excellence (the others are teaching quality and learning environment).  The relevant TEF criteria are:

Student Outcomes and Learning Gain  
Employment and Further Study (SO1) Students achieve their educational and professional goals, in particular progression to further study or highly skilled employment  
Employability and Transferrable Skills (SO2) Students acquire knowledge, skills and attributes that are valued by employers and that enhance their personal and/or professional lives
Positive Outcomes for All (SO3) Positive outcomes are achieved by its students from all backgrounds, in particular those from disadvantaged backgrounds or those who are at greater risk of not achieving positive outcomes

Further definition was given in the “Aspects of Quality” guidance (see the TEF guidance issued by HEFCE):

Student Outcomes and Learning Gain is focused on the achievement of positive outcomes. Positive outcomes are taken to include:

  • acquisition of attributes such as lifelong learning skills and others that allow a graduate to make a strong contribution to society, economy and the environment,
  • progression to further study, acquisition of knowledge, skills and attributes necessary to compete for a graduate level job that requires the high level of skills arising from higher education

The extent to which positive outcomes are achieved for all students, including those from disadvantaged backgrounds, is a key feature. The distance travelled by students (‘learning gain’) is included”.

And it goes on:

  • Work across the sector to develop new measures of learning gain is in progress. Until new measures become available and are robust and applicable for all types of providers and students, we anticipate providers will refer to their own approaches to identifying and assessing students’ learning gain – this aspect is not prescriptive about what those measures might be.”

The TEF guidance issued by HEFCE included examples of the sorts of evidence that universities might want to consider including (amongst a much longer list):

  • Learning gain and distance-travelled by all students including those entering higher education part-way through their professional lives
  • Evidence and impact of initiatives aimed at preparing students for further study and research
  • Use and effectiveness of initiatives used to help measure and record student progress, such as Grade Point Average (GPA)
  • Impact of initiatives aimed at closing gaps in development, attainment and progression for students from different backgrounds, in particular those from disadvantaged backgrounds or those who are at greater risk of not achieving positive outcomes.

TEF Assessment – If you have been following the debates about the TEF in Year 2 (results now published), you will be aware that the assessment of institutions against these criteria was done in two ways – by looking at metrics (with benchmarking and subdivision into various sub-sets), and by review of a written provider assessment.

  • The metrics that were used in TEF Year 2 for Student Outcomes and Learning Gain were from the Destination of Leavers from Higher Education survey (DLHE), specifically the DLHE declared activity 6 months after graduation – were they in employment of further study, and if in employment, was it “highly skilled” as defined by SOC groups 1-3 (managerial and professional).
  • So the metrics used in Year 2 of TEF do not cover learning gain at all. In fact they only really relate to SO1 above, are of limited use in terms of employability for SO2. DLHE doesn’t measure employability, only employment. Of course, DLHE is being replaced, after major consultations by HESA throughout 2016 and 2017 with the new Graduate Outcomes survey, which will take a longer-term view and look at a broader range of outcomes. (read more in our Policy Update of 30th June 2017).
  • So for the TEF year 2, any assessment of learning gain was done through the written submissions – and as noted above there are no measures for this, it was left to providers to “refer to their own approaches to identifying and assessing students’ learning gain”.

Universities UK have published their review of Year 2 of the TEF (see next section below) which includes a strong endorsement from UUK members for a comparative learning gain metric in future iterations of the TEF.

Measuring Learning Gain – As referred to above, there is a HEFCE project to look at ways of measuring learning gain.

They are running 13 pilot projects:

  • careers registration and employability initiatives – this  uses surveys and is linked most closely to SO2 – employability
  • critical-thinking ‘CLA+’ standardised assessment tool – also uses the UK Engagement Survey (UKES). CLA+ is a US assessment that is done on-line and asks students to assess data and evidence and decide on a course of action or propose a solution. As such, it measures general skills but is not subject specific.
  • self-efficacy across a range of disciplines
  • skills and self-assessment of confidence measures
  • a self-assessment skills audit and a situational judgement test
  • HE in FE
  • A multi-strand one: standardising entry and exit qualifications, new measures of critical skills and modelling change in learning outcomes
  • a project that will analyse the Affective-Behaviour-Cognition (ABC) model data for previous years
  • research skills in 6 disciplines
  • psychometric testing
  • learning gain from work-based learning and work placements
  • a project evaluating a range of methodologies including degree classifications, UKES, NSS, Student Wellbeing survey and CLA+
  • employability and subject specific learning across a range of methods – includes a project to understand the dimensions of learning gain and develop a way to measure them, one to look at R2 Strengths, one to look at career adaptability and one looking at international experience.

These are long term (3 year) projects – HEFCE published a year 1 report on 6th July 2017 – you can read more on our 14th July policy update – this flags a couple of challenges including how to get students to complete surveys and tests that are not relevant to their degree (a problem also encountered by the UKES). The report suggests embedding measurement “in the standard administrative procedures or formal curriculum” – which means a survey or test through enrolment and as part of our assessment programme.

To become a core TEF metric there would need to be a national standard measure that was implemented across the sector. That means that have to be mass testing (like SATs for university students) or another national survey alongside NSS and the new Graduate Outcomes survey (the replacement for DLHE) – with surveys on enrolment and at other points across the lifecycle.

Some BU staff are taking a different approach – instead of looking at generic measures for generic skills they have been looking at measuring specific learning gain against the defined learning outcomes for cohorts of students on a particular course. This is a much more customised approach but the team have set some basic parameters for the questions that they have asked which could be applied to other courses. The methodology was a survey. (Dr Martyn Polkinghorne, Dr Gelareh Roushan, Dr Julia Taylor) (see also a more detailed explanation, March 2017)

Pros, cons and alternatives

In January 2016, HEPI published a speech delivered in December 2015 by Andreas Schleicher, Director for Education and Skills, and Special Advisor on Education Policy to the Secretary-General at the Organisation for Economic Co-operation and Development (OECD) in Paris. In the speech, the author argues strongly for institutions worldwide to measure and use learning gain data. He supports the use of specific measures for disciplines although points out the difficulties with this – not least in getting comparable data. So he also focuses on generic skills – but he doesn’t suggest a specific methodology.

An HEA presentation from December 2016 mentions a number of inputs that “predict both student performance and learning gains” – including contact hours, class size (and a host of other things including the extent and timing of feedback on assignments).

It is worth looking quickly at GPA (Grade Point Average) as this is also mentioned in the TEF specification as noted above. The HEA are looking at degree standards for HEFCE now, having done a pilot project on GPA in 2013-14.  The report notes that “potential capacity to increase granularity of awards, transparency in award calculations, international recognition and student engagement in their programmes”. The summary says, “The importance to stakeholders of a nationally-agreed, common scale is a key finding of the pilot and is considered crucial for the acceptance and success of GPA in the UK”, and that “The pilot providers considered that the development of widespread stakeholder understanding and commitment would require clear communication to be sustained over a number of years.”

Wonkhe have a round up on the background to the GPA debate from June 2016,

Although the big focus for the TEF was on outputs not inputs, the Department for Education has announced that it will start to look at including some of the inputs. See our HE policy update for 21st July where we look at the new teaching intensity measure that will be part of the subject level TEF pilots. You can read more about this in a THE article from 2nd August:

  • The pilot “will measure teaching intensity using a method that weights the number of hours taught by the student-staff ratio of each taught hour,” explains the pilot’s specification, published by the Department for Education“. Put simply, this model would value each of these at the same level: two hours spent in a group of 10 students with one member of staff, two hours spent in a group of 20 with two members of staff, one hour spent in a group of five students with one member of staff,” it explains. Once contact hours are weighted by class sizes, and aggregated up to subject level, those running the pilot will be able to calculate a “gross teaching quotient” score, which would be an “easily interpretable number” and used as a “supplementary metric” to inform subject-level assessments”.

The contact hours debate is very political – tied up with concerns about value for money and linked to the very topical debate on fees (speech on 20th July by Jo Johnson .and see our HE Policy Update for 21st July 2017)

This is all very interesting when, as mentioned above, the TEF specification for year two put so much emphasis on measuring outcome and not just inputs: “The emphasis in the provider submission should be on demonstrating the impact and effectiveness of teaching on the student experience and outcomes they achieve. The submission should therefore avoid focusing on descriptions of strategies or approach but instead should focus on impact. Wherever possible, impact should be demonstrated empirically. “

Experts and evidence – There will be a real push from the sector for evidence that the new teaching intensity measure and reporting of contact hours and other things really does make a difference to students before it is included in the TEF. The HEA’s position on this (2016) is a helpful summary of the debate about contact hours.

There is an interesting article in the HEPI collection of responses to the Green Paper in January 2016  from Graham Gibbs, former Professor at the University of Winchester and Director of the Oxford Learning Institute, University of Oxford, and author of Dimensions of quality and Implications of ‘Dimensions of quality’ in a market environment. He supports the use of learning gain metrics as a useful tool. He points out that “cohort size is a strong negative predictor of both student performance and learning gains”. He also adds “Russell Group Universities have comparatively larger cohorts and larger class sizes, and their small group teaching is less likely to be undertaken by academics, all of which save money but reduce learning gains”. He does not accept that contact hours, or institutional reputation (linked to high tariff entry and research reputation) impact learning gain.

There is an interesting article on the Higher Education Policy Institute (HEPI) website here written by the authors of an article that looked at class size.

Impact so far – So what happened in the TEF – a very quick and incomplete look at TEF submissions suggests that not many institutions included much about learning gain (or GPA) and those that did seem to fall into two categories – those participating in the pilot who mention the pilot, and some who mention it in the context of the TEF core data – e.g. Birmingham mention their access project and learning gain (but don’t really evidence it except through employment and retention). Huddersfield talk about it in the context of placements and work experience but again linked to employment outcomes, although they also mention assessment improvement.

Teaching Excellence Framework (TEF) – year 2 review

Universities UK have published their review of Year 2 of the TEF following a survey that UUK did of their members.

The key findings from the report are:

  • There appears to be general confidence that overall process was fair, notwithstanding the outcomes of individual appeals. Judgements were the result of an intensive and discursive process of deliberation by the assessment panel. There was a slight correlation between TEF results, entry tariff and league table rankings.
  • It is estimated that the cost of participating in the TEF for 134 higher education institutions was approximately £4 million. This was driven by the volume of staff engagement, particularly senior staff.
  • Further consideration will need to be given to how the TEF accounts for the diversity of the student body, particularly part-time students, and how the TEF defines and measures excellence. [UUK also raises a concern about judgements possibly being skewed by prior attainment]
  • If subject-level TEF is to provide students with reliable information it must address the impact of increased metric suppression [this relates to metrics which could not be used because of small numbers, particularly for part-time students and for the ethnicity splits], how judgments are made in the absence of data [particularly an issue for those institutions affected by the NSS boycott], the comparability of subject groupings and the increase in cost and complexity of submissions and assessment.

[To address the issue with suppression, the report noted that the splits for ethnicity will be reduced from 6 to 3 for subject level TEF (p35)]

These findings also suggest that if the TEF is to make an effective contribution to the ongoing success of the whole UK sector, the following issues would merit consideration as part of the independent review:

  • How the TEF defines and measures excellence in a diverse sector and supports development of teaching and learning practice.
  • The role that the TEF plays across the student decision-making process and the relationship with the wider student information landscape.
  • The process for the future development of the TEF and the role of the sector, including students and devolved nations.
  • The relationship between the TEF and quality assessment, including regulatory baselines and the Quality Code.

Figure 4 shows the data benchmarking flags received by providers at each award level – these two charts are interesting because they show that providers with negative flags still received gold (and silver).

The survey also asked about future developments for the TEF with learning gain being a clear leader – ahead of teaching intensity. HEFCE is running learning gain pilots, as discussed above, and teaching intensity will be the subject of a pilot alongside subject level TEF. Interestingly, on p 33 a chart shows that nearly 70% of respondents believed that “there is no proportionate approach for producing a robust subject level TEF judgement which will be useful for students”.

Industrial Strategy

Following our update on the Industrial Strategy last week there are a couple of updates. Innovate UK has announced funding for businesses to work on innovative technologies, future products and services. The categories link closely to the Industrial Strategy priorities including digital technologies, robotics, creative economy and design and space applications as well as emerging technologies and electronics.

There was also an announcement about funding for innovative medicines manufacturing solutions.

Sir John Bell has published his report for the government on Life Sciences and the Industrial Strategy. There are seven main recommendations under 4 themes, which are summarised below. You can read a longer summary on the BU Research Blog.

Some interesting comments:

  • The key UK attribute driving success in life sciences is the great strength in university-based research. Strong research-based universities underpin most of the public sector research success in the UK, as they do in the USA and in Scandinavia. National research systems based around institutes rather than universities, as seen in Germany, France and China, do not achieve the same productivity in life sciences as seen in university-focussed systems.” (p22)
  • “The decline in funding of indirect costs for charity research is coupled to an increasing tendency for Research Councils to construct approaches that avoid paying indirect Full Economic Costs (FEC). Together, these are having a significant impact on the viability of research in universities and have led to the institutions raising industrial overhead costs to fill the gap. This is unhelpful.” (p24)
  • “It is also recommended, that the funding agencies, in partnership with major charities, create a high-level recruitment fund that would pay the real cost of bringing successful scientists from abroad to work in major UK university institutions.” (see the proposal to attract international scientists below).
  • On clusters “Life sciences clusters are nearly always located around a university or other research institute and in the UK include elements of NHS infrastructure. However, evidence and experience suggests that governments cannot seed technology clusters and their success is usually driven by the underpinning assets of universities and companies, and also by the cultural features of networking and recycling of entrepreneurs and capital.” And “Regions should make the most of existing opportunities locally to grow clusters and build resilience by working in partnership across local Government, LEPs (in England), universities and research institutes, NHS, AHSNs, local businesses and support organisations, to identify and coalesce the local vision for life sciences. Science & Innovation Audits, Local Growth Funds and Growth Hubs (in England), Enterprise Zones and local rates and planning flexibilities can all be utilised to support a vision for life sciences. “ (see the proposal on clusters under “Growth and Infrastructure” – this was a big theme in the Industrial strategy and something we also covered in our Green Paper response)
  • On skills: “ The flow of multidisciplinary students at Masters and PhD level should be increased by providing incentives through the Higher Education Funding Council for England.2 and  “Universities and research funders should embed core competencies at degree and PhD level, for example data, statistical and analytical skills, commercial acumen and translational skills, and management and entrepreneurship training (which could be delivered in partnership with business schools). They should support exposure to, and collaboration with, strategically important disciplines including computer and data science, engineering, chemistry, physics, mathematics and material science.”

Health Advanced Research Programme (HARP) proposal – with the goal to create 2-3 entirely new industries over the next 10 years.

Reinforcing the UK science offer 

  • Sustain and increase funding for basic science to match our international competition – the goal is that the UK should attract 2000 new discovery scientists from around the globe
    • The UK should aim to be in the upper quartile of OECD R&D spending and sustain and increase the funding for basic science, to match our international competitors, particularly in university settings, encouraging discovery science to co-locate.
    • Capitalise on UKRI to increase interdisciplinary research, work more effectively with industry and support high-risk science.
    • Use Government and charitable funding to attract up to 100 world-class scientists to the UK, with support for their recruitment and their science over the next ten years.
  • Further improve UK clinical trial capabilities to support a 50% increase in the number of clinical trials over the next 5 years and a growing proportion of change of practice and trials with novel methodology over the next 5 years.

Growth and infrastructure – the goal is to create four UK companies valued at >£20 billion market cap in the next ten years.

NHS collaboration – the Accelerated Access Review should be adopted with national routes to market streamlined and clarified, including for digital products. There are two stated goals:

  • NHS should engage in fifty collaborative programmes in the next 5 years in late-stage clinical trials, real world data collection, or in the evaluation of diagnostics or devices.
  • The UK should be in the top quartile of comparator countries, both for the speed of adoption and the overall uptake of innovative, cost-effective products, to the benefit of all UK patients by the end of 2023.

Data – Establish two to five Digital Innovation Hubs providing data across regions of three to five million people.

  • Create a forum for researchers across academia, charities and industry to engage with all national health data programmes.
  • Establish a new regulatory, Health Technology Assessment and commercial framework to capture for the UK the value in algorithms generated using NHS data.
  • Two to five digital innovation hubs providing data across regions of three to five million people should be set up as part of a national approach and building towards full population coverage, to rapidly enable researchers to engage with a meaningful dataset. One or more of these should focus on medtech.
  • The UK could host 4-6 centres of excellence that provide support for specific medtech themes, focussing on research capability in a single medtech domain such as orthopaedics, cardiac, digital health or molecular diagnostics.
  • National registries of therapy-area-specific data across the whole of the NHS in England should be created and aligned with the relevant charity.

Skills

  • A migration system should be established that allows recruitment and retention of highly skilled workers from the EU and beyond, and does not impede intra-company transfers.
  • Develop and deliver a reinforced skills action plan across the NHS, commercial and third sectors based on a gap analysis of key skills for science.
    • Create an apprenticeship scheme that focuses on data sciences, as well as skills across the life sciences sector, and trains an entirely new cadre of technologists, healthcare workers and scientists at the cutting-edge of digital health.
    • Establish Institutes of Technology that would provide opportunity for technical training, particularly in digital and advanced manufacturing areas.
    • There should be support for entrepreneur training at all levels, incentivising varied careers and migration of academic scientists into industry and back to academia.
    • A fund should be established supporting convergent science activities including cross-disciplinary sabbaticals, joint appointments, funding for cross-sectoral partnerships and exchanges across industry and the NHS, including for management trainees.
    • High quality STEM education should be provided for all, and the government should evaluate and implement additional steps to increase the number of students studying maths to level 3 and beyond.

JANE FORSTER                                                             |                               SARAH CARTER

Policy Advisor                                                                                               Policy & Public Affairs Officer

65111                                                                                                              65070

Follow: @PolicyBU on Twitter                      |                               policy@bournemouth.ac.uk

 

Special Edition Policy Update: Sir John Bell report on Life Sciences and the Industrial Strategy

Following our Industrial Strategy update last week, as expected Sir John Bell has published his report for the government on Life Sciences and the Industrial Strategy. There are 7 main recommendations under 4 themes, which are summarised below.

Some interesting comments:

  • The key UK attribute driving success in life sciences is the great strength in university-based research. Strong research-based universities underpin most of the public sector research success in the UK, as they do in the USA and in Scandinavia. National research systems based around institutes rather than universities, as seen in Germany, France and China, do not achieve the same productivity in life sciences as seen in university-focussed systems.” (p22)
  • “The decline in funding of indirect costs for charity research is coupled to an increasing tendency for Research Councils to construct approaches that avoid paying indirect Full Economic Costs (FEC). Together, these are having a significant impact on the viability of research in universities and have led to the institutions raising industrial overhead costs to fill the gap. This is unhelpful.” (p24 and see the recommendation about charitable contributions under “reinforcing the UK science offer” below)
  • “It is also recommended, that the funding agencies, in partnership with major charities, create a high-level recruitment fund that would pay the real cost of bringing successful scientists from abroad to work in major UK university institutions.” (see the proposal to attract international scientists below).
  • On clusters “Life sciences clusters are nearly always located around a university or other research institute and in the UK include elements of NHS infrastructure. However, evidence and experience suggests that governments cannot seed technology clusters28 and their success is usually driven by the underpinning assets of universities and companies, and also by the cultural features of networking and recycling of entrepreneurs and capital.” And “Regions should make the most of existing opportunities locally to grow clusters and build resilience by working in partnership across local Government, LEPs (in England), universities and research institutes, NHS, AHSNs, local businesses and support organisations, to identify and coalesce the local vision for life sciences. Science & Innovation Audits, Local Growth Funds and Growth Hubs (in England), Enterprise Zones and local rates and planning flexibilities can all be utilised to support a vision for life sciences. “ (see the proposal on clusters under “Growth and Infrastructure” – this was a big theme in the Industrial strategy and something we also covered in our Green Paper response)
  • On skills: “ The flow of multidisciplinary students at Masters and PhD level should be increased by providing incentives through the Higher Education Funding Council for England.2 and “Universities and research funders should embed core competencies at degree and PhD level, for example data, statistical and analytical skills, commercial acumen and translational skills, and management and entrepreneurship training (which could be delivered in partnership with business schools). They should support exposure to, and collaboration with, strategically important disciplines including computer and data science, engineering, chemistry, physics, mathematics and material science.”

Health Advanced Research Programme (HARP) proposal – with the goal to create 2-3 entirely new industries over the next 10 years.

  • Establish a coalition of funders to create the Health Advanced Research Programme to undertake large research infrastructure projects and high risk ‘moonshot programmes’, that will help create entirely new industries in healthcare
  • Create a platform for developing effective diagnostics for early, asymptomatic chronic disease.
  • Digitalisation and AI to transform pathology and imaging.
  • Support projects around healthy ageing.

Reinforcing the UK science offer

  • Sustain and increase funding for basic science to match our international competition – the goal is that the UK should attract 2000 new discovery scientists from around the globe
    • The UK should aim to be in the upper quartile of OECD R&D spending and sustain and increase the funding for basic science, to match our international competitors, particularly in university settings, encouraging discovery science to co-locate.
    • NIHR should be supported, with funding increases in line with Research Councils
    • Ensure the environment remains supportive of charitable contributions through enhancing the Charity Research Support Fund (see above for the context for this).
    • Capitalise on UKRI to increase interdisciplinary research, work more effectively with industry and support high-risk science.
    • Use Government and charitable funding to attract up to 100 world-class scientists to the UK, with support for their recruitment and their science over the next ten years.
  • Further improve UK clinical trial capabilities to support a 50% increase in the number of clinical trials over the next 5 years and a growing proportion of change of practice and trials with novel methodology over the next 5 years.
    • Establish a working group to evaluate the use of digital health care data and health systems; to evaluate the safety and efficacy of new interventions; and to help ICH modernise its GCP regulations.
    • Improve the UK’s clinical trial capabilities so that the UK can best compete globally in our support for industry and academic studies at all phases.
    • Design a translational fund to support the pre-commercial creation of clinically-useable molecules and devices.

Growth and infrastructure – the goal is to create four UK companies valued at >£20 billion market cap in the next ten years.

  • Ensure the tax environment supports growth and is internationally competitive in supporting long-term and deeper investment.
    • Address market failures through Social Impact Bonds and encourage AMR research.
    • Consider how UK-based public markets can be used more effectively in the sector.
  • Support the growth of Life Sciences clusters.
    • Government, local partners and industry should work together to ensure the right infrastructure is in place to support the growth of life sciences clusters and networks.
    • UK’s existing clusters should work together and with government to promote a ‘single front door’ to the UK for research collaboration, partnership and investment.
  • Attract substantial investment to manufacture and export high value life science products of the future. – the goal is to attract ten large (£50-250m capital investment) and 10 smaller (£10-50m capital investments) in life science manufacturing facilities in the next five years.
    • Accept in full the recommendations of the Advanced Therapies Manufacturing Action Plan and apply its principles to other life science manufacturing sectors.
    • A programme in partnership with industry to develop cutting-edge manufacturing technologies that will address scale-up challenges and drive up productivity.
    • Optimise the fiscal environment to drive investment in industrial buildings, equipment and infrastructure for manufacturing and late-stage R&D.
    • Consider nationally available financial incentives – grants and loans, or capital allowances combined with regional incentives – to support capital investment in scale-up, and prepare for manufacturing and related export activity.
    • Make support and incentives for manufacturing investment and exporting available to business through a single front door, provide a senior national account manager accountable for delivery and simplify the customer journey.

NHS collaboration – the Accelerated Access Review should be adopted with national routes to market streamlined and clarified, including for digital products. There are two stated goals:

  • The NHS should engage in fifty collaborative programmes in the next 5 years in late-stage clinical trials, real world data collection, or in the evaluation of diagnostics or devices.
  • The UK should be in the top quartile of comparator countries, both for the speed of adoption and the overall uptake of innovative, cost-effective products, to the benefit of all UK patients by the end of 2023.

The recommended actions are

  • Utilise and broaden the Accelerated Access Review to encourage UK investment in clinical and real-world studies. Deliver a conditional reimbursement approval, for implementation as soon as licensing and value milestones are delivered.
  • Create a forum for early engagement between industry, NHS and arms-length bodies (e.g. NICE, MHRA) to agree commercial access agreements.
  • Use the recommendations from the AAR to streamline the processes and methods of assessment for all new products.
  • Value assessments should be evolved in the long-term with improved patient outcome measures, affordability and cost management data beyond one year timeframes.
  • NICE’s funding model for technology evaluation should be set up in a way that does not stifle SME engagement

Data – Establish two to five Digital Innovation Hubs providing data across regions of three to five million people.

  • The health and care system should set out a vision and a plan to deliver a national approach with the capability to rapidly and effectively establish studies for the generation of real world data, which can be appropriately accessed by researchers.
  • ePrescribing should be mandatory for hospitals.
  • NHS Digital and NHS England should set out clear and consistent national approaches to data and interoperability standards and requirements for data access agreements.
  • Accelerate access to currently available national datasets by streamlining legal and ethical approvals.
  • Create a forum for researchers across academia, charities and industry to engage with all national health data programmes.
  • Establish a new regulatory, Health Technology Assessment and commercial framework to capture for the UK the value in algorithms generated using NHS data. A working group should be established to take this forward
  • Two to five digital innovation hubs providing data across regions of three to five million people should be set up as part of a national approach and building towards full population coverage, to rapidly enable researchers to engage with a meaningful dataset. These regional hubs should also have the capability to accelerate and streamline CTA and HRA approvals. One or more of these should focus on medtech.
  • The UK could host 4-6 centres of excellence that provide support for specific medtech themes, focussing on research capability in a single medtech domain such as orthopaedics, cardiac, digital health or molecular diagnostics.
  • National registries of therapy-area-specific data across the whole of the NHS in England should be created and aligned with the relevant charity.

Skills

  • A migration system should be established that allows recruitment and retention of highly skilled workers from the EU and beyond, and does not impede intra-company transfers.
  • Develop and deliver a reinforced skills action plan across the NHS, commercial and third sectors based on a gap analysis of key skills for science.
    • Create an apprenticeship scheme that focuses on data sciences, as well as skills across the life sciences sector, and trains an entirely new cadre of technologists, healthcare workers and scientists at the cutting-edge of digital health.
    • Establish Institutes of Technology that would provide opportunity for technical training, particularly in digital and advanced manufacturing areas.
    • There should be support for entrepreneur training at all levels, incentivising varied careers and migration of academic scientists into industry and back to academia.
    • A fund should be established supporting convergent science activities including cross-disciplinary sabbaticals, joint appointments, funding for cross-sectoral partnerships and exchanges across industry and the NHS, including for management trainees.
    • High quality STEM education should be provided for all, and the government should evaluate and implement additional steps to increase the number of students studying maths to level 3 and beyond