Tagged / Minister for Universities

HE Policy Update for the w/e 7th June 2019

Is it only just over a week since Augar landed?  Given the volume of commentary, it feels much longer.  We are quite good as a sector at criticism and finding the potential problems and risks in things.  As a HEPI blog says: Last week’s Augar report divided opinion. At HEPI, we were at the more positive end of the spectrum, not least because the report addressed, in a serious way, pretty much all the points we had said it should. We were, and remain, determined not to fall down the biggest rabbit hole that has to be avoided when commenting sensibly on public policy: being unceasingly negative and refusing to recognise serious attempts to address genuine problems.” 

Last week  we stuck to the facts looking at the full set of recommendations and the content of the report, this week we look more at opinions in a report that may well not be implemented in full, but is unlikely to disappear completely.

One thing that everyone can agree on is that the implications of Augar are ominous for the Arts and Humanities – the (historian) Minister for Universities gave a speech on Thursday which we discuss below, with some reflections on what Augar could mean for Arts and Humanities subjects in universities.  This update was getting so big, we have written about that in a separate blog here.

Augar – what next?

On Tuesday the Secretary of State of Education, Damien Hinds, made a statement on the Government’s review of post-18 education and its funding – the first review since the Robbins report in 1963 to look at the totality of post-18 education. Hinds said the Government will carefully consider the independent panel’s recommendations before finalising any spending review announcements.

  • A lot of the attention will be on what this report says about higher education, but the majority of students in post-18 education are not at university. The report identifies the importance of both further and higher education in creating a system that unlocks everyone’s talents. As the Prime Minister said last week, further education and technical colleges are not just places of learning; they are vital engines of both social mobility and economic prosperity. Colleges play an essential part in delivering the modern industrial strategy and equipping young people with knowledge and skills for the jobs of today and tomorrow. We are conscious of the need for reskilling and upskilling at a time when we are all more likely to have multiple careers during our working lives.
  • …Our higher education system transforms lives and is a great contributor to both our industrial success and the cultural life of the nation. It can open up a whole world of opportunities and broaden horizons. Whatever decisions we make about how best to take forward the recommendations in the report, it is vital that we support these institutions to continue to offer world-leading higher education to students in future.

Hinds went on to highlight the general importance of education to society, listing current government policy geared toward improving education. He said that is it right that contributions to the cost of higher education are shared between the taxpayer and the student. The Minister added that although 18-year-olds from disadvantaged backgrounds are now 52 per cent more likely to go to university than 10 years ago, progress is still required in levelling the playing field in higher education.

In keeping with the continued pressure for Government to improve social mobility Hinds said: The panel’s proposals on support for disadvantaged groups are an important contribution to the debate in this area. I very much welcome the focus that the panel has placed on making sure that all higher education is of high quality and delivers well for both students and the taxpayer. There are very high-quality courses across the full range of subjects—from creative arts to medicine—but there are also courses where students are less well served. I have also spoken in recent months of bad practices not in the student interest, such as artificial grade inflation and so-called conditional unconditional offers.

On implementation: The panel’s recommendations on student finance are detailed and interrelated, and cannot be considered each in isolation. We will need to look carefully at each recommendation in turn and in the round to reach a view on what will best support students and the institutions they study at, and what will ensure value for taxpayers. In considering these recommendations, we will also have regard to students currently in the system or about to enter it to ensure that any changes are fair to current and new cohorts of students.  I am sure the House will recognise that this comprehensive report, with detailed analysis and no fewer than 53 recommendations, gives the Government a lot to consider. We will continue to engage with stakeholders on the findings and recommendations in the panel report, and we will conclude the review at the spending review.

The shadow secretary of state for education, Angela Rayner, responded, arguing the Conservatives have previously made terrible decisions regarding education. She intimated her belief that any adoption of recommendations will be deferred until the spending review, or the appointment of a new chancellor.

  • “Augar is the epitaph for Theresa May’s government…slow, wrong-headed, indecisive and, above all, failing in its central objective, to help level up Britain. As it stands, the Government have now wasted two years on a review to reach the blindingly obvious conclusion that, as the Prime Minister now admits, abolishing maintenance grants was a huge mistake.
  • Decisions need to be made on funding. The outgoing Prime Minister promised that austerity is over, but there is every danger it will continue in tertiary education. Presumably, the Secretary of State accepts that a cash freeze in funding for universities means a real-terms cut. Is the tokenistic fee cut pushed by the Prime Minister not the worst of both worlds, as institutions will have their hands tied on funding while students will still be graduating with tens of thousands of pounds of debt?”

She pushed the Secretary of State to assure the House that maintenance grants will be restored and that the cash-freeze for university’s will not have an equality impact burden – and that an assessment of this would be produced.  She concluded that any shortcomings in the Augar review are a product of the limitations the Government has set on them.

The Secretary of State responded:

  • The hon. Lady asked me to commit to not playing off further education and higher education. I give her that absolute commitment. That principle is at the heart of the independent panel’s report: both routes of higher learning are essential for widening social mobility, for letting young people fulfil their full potential, and indeed for enabling our economy and our society to fulfil theirs.
  • We should not lose sight of the fact that we have a successful system in place, particularly for the financing of higher education. The hon. Lady and her Front-Bench colleagues constantly complain about it, but since the 2012 reforms, resource per student has increased dramatically, the living costs support available to disadvantaged students has risen to its highest ever level, more young people are going to university than ever before, and more young people from disadvantaged backgrounds are going to university than ever before.

The Chair of the Select Committee on Education, Robert Halfon, raised the necessity of degree apprenticeships to ensure individuals from disadvantaged backgrounds gain the necessary skills to gain skilled employment. I welcome much of the report, particularly its strong emphasis on further education and technical education. Our Education Committee report talked about value for money in higher education and universities, focusing on skills, employability and social justice. Does my right hon. Friend not agree that the real engine of those three things is using funds to boost and put more emphasis on degree apprenticeships? They help people from disadvantaged backgrounds to gain the skills they need, they help us to meet our skills needs and they ensure that people are employed in properly skilled jobs.

Jo Johnson: The Augar review does not mention the teaching excellence framework. What use does the Secretary of State think the TEF will have in assessing which courses offer value for money for students and the general taxpayer?   [Readers will remember that differential fees based on TEF outcome were thrown out of the HERA by the Lords.]. Hinds: The TEF is a very important reform and is part of the framework from HERA—the Higher Education and Research Act 2017—and the OFS that enables a much more holistic view of quality in higher education. It remains a central part of that architecture.

Carol Monaghan, the SNP Spokesperson for Education questioned whether the Government will make up any funding shortfall associated with a reduction in fees. Hinds responded that education equality in England is better than that of Scotland and all recommendations will be considered carefully.

Several non-Conservative MPs echoed Rayner’s arguments, questioning when grants would be reinstated or whether the Government will fund the shortfall in funding for disadvantaged students.

Thangham Debbonaire (Lab, Bristol West) raised a necessity for free or low-cost high-quality childcare to ensure more women can develop their potential within further education to ultimately close the gender pay gap.  Hinds side stepped a direct response.

Dr Roberta Blackman-Woods: “…we want to hear a guarantee from the Minister that those resources will not come from higher education. We also want a guarantee that if tuition fees are reduced, any shortfall of money going to universities will be made up by teaching grant from the Government not just for science, technology, engineering and maths subjects, but for arts and humanities subjects, because they are also very important for our economy. If these proposals will eventually see their way into legislation—it is not clear to any of us how that would happen—is the Minister going to consult the sector widely so that he does not destabilise it further? We need those guarantees so that universities have certainty if they are to compete globally.”

Hinds: “The hon. Lady will shortly meet the universities Minister in her all-party group on universities and will have an opportunity to discuss some of these things further. She mentioned teaching grants. The Augar report recommends precisely that—that there should be top-ups, although not exactly the same for all subjects. Few people realise the extent of the teaching grant. It is £1.3 billion, with some 40%—two in five—of courses attracting some sort of teaching grant. What the report talks about is how we balance that correctly properly to reflect not only value but cost to serve, as I said to my hon. Friend the Member for Harborough (Neil O’Brien).” [So no guarantee then, despite his earlier commitment to “not playing off further education and higher education”.

Later in response to questions he also says: We must not allow different parts of our education system to be pitted against each other, and I can give him an absolute commitment not to do so. In fact, as he will know through his work, there is already a great deal of cross-over between what higher education institutions do and what further education institutions do, but they are both incredibly important parts of the overall system.

Barry Sheerman (Huddersfield) (Lab/Co-op): As I learned from the 10 years I chaired the Select Committee, we make most progress in higher education when we find a cross-party consensus, as anyone who looks at the Robbins report or subsequent reports, such as the Dearing report, will know. There is some good stuff in this report. ….let us build a cross-party consensus. I love the part about a new fund for lifelong learning. Tony Blair introduced one in 1997. It failed, but everybody knew we should bring it back to secure the future of further and higher education. So I say well done in part, but if the Secretary of State could keep a higher education Minister for more than a few months we would do a lot better.

Hinds: The hon. Gentleman was right about more than one thing—let us say several. He spoke of the local importance of universities not only to the cultural life of our towns and cities but to, for instance, local economies, business development, innovation, and research and development. He was absolutely right about that, but he was also right to speak of the importance of securing a degree of consensus about these matters. The last two major reports, the Browne and Dearing reports, straddled a change of Government. I hope that that will not happen on this occasion, but I think it right for us to have an opportunity, between now and the conclusion of the spending review, to engage in a good discussion with, among others, representatives of the sector and politicians on both sides of the House and elsewhere, because I think that such discussions help policy making to evolve.

Augar was mentioned in Wed’s Prime Minister’s Questions – Richard Graham (Conservative) made the case that the Government’s review into post-18 education should be “essential reading” for Treasury ministers before the Spending Review. He said that more funding for further education would be “very welcome”. Lidington concurred that further education plays a vital role in equipping young people with skills, but also providing a path towards higher education. He added that the Augar Review “provides a blueprint of how we can make sure that everybody can follow the path that is right for them” and its conclusions should be studied carefully before the Spending Review.

Augar – the critique

Wonkhe have centralised all their analysis and blogs on the Post-18 review and Augar – find it all  here. Including this ‘lessons learned’ blog from crossbench peer Professor Dame Julie King (who was part of the previous Browne review) and says Augar is ‘damaging’ and that it does not propose fundamental transformation.

One concern has been the impact on social mobility.  The Sutton Trust response is here:

  • The Augar Review’s headline proposal to reduce tuition fees to £7,500, alongside the reintroduction of maintenance grants, means that the overall student “debt” figure looks a little less eye watering.  But the review also proposes lowering the repayment threshold from £25,000 to £23,000 (based on 2018 figures) and to extend the lifetime repayment period to 40 years from the current 30 years, all at interest rates which at present are around 6 percent.  This means that lower and middle earners (like teachers and social workers) will end up paying more than they did before  and for longer – and the wealthiest, who can fall back on support from parent or grandparents, can pay the fees upfront, or over a shorter period, and thus contribute far less overall.
  • This is why the Sutton Trust has always argued for means tested fees – so the poorest student are asked to pay less than the wealthiest- and we are disappointed that the Post-18 Review did not adopt this as a policy.   It seems to us fundamentally unfair that, whatever the repayment mechanism, the son or daughter of a cleaner is asked to pay the same as the son or daughter of a stock broker.

Lizzy Woodfield, Policy Advisor at Aston University, wrote for Wonkhe on WP“Government should undoubtedly run with reintroducing maintenance grants, but not so hastily that it overlooks commuter students. The continued freeze in per student funding risks further squeezing universities’ ability to maintain high quality student services, like careers and placements and additional learning support, which support retention, success and good graduate outcomes. Doing away with foundation years would be very ill-advised and would set widening participation back.”

In an article for Wonkhe on 4th June 2019 , David Willets, the former Minister for Universities and Science, points out:

  • The period covered by the LEO data is the ten years since the financial crash. Our research at Resolution Foundation has shown that this post-crash decade has been particularly bad for salaries, and even more so for the pay of young people. The real hourly pay of young people aged 18-29 fell by 9% in the four years after the crash – an unprecedented fall followed by a modest recovery. Unemployment was less bad than in previous recessions but – again – one group which did suffer increased unemployment was young people with lowest educational qualifications. Their unemployment rate increased from 68% to 56% after the crash whereas for graduates it only fell from 91% to 88%. It looks as if graduates traded down to less well-paid jobs, displacing the less qualified.
  • The LEO data excludes unemployed people so the only effect they show is on pay. You would not get any sense from the review that the British economy has just been through its deepest post-war recession – with big effects covering exactly the same period as the LEO data. By contrast that same decade did not see a significant increase in the number of graduates – indeed the rate of increase of people with higher education qualifications slowed down. So it is dangerous to interpret LEO data as telling us much about higher education when it may be telling us more about the post crash labour market.”

There is also a geographical effect.  This has been raised by many in the sector before and I understand that there is some work looking at this in the context of the TEF (which is using median earnings as supplemental data in the subject level TEF pilot). The Office for National Statistics latest report on geographic mobility and young people (2012-2016) shows the change in average earnings growth for young people by local authority (see Figure 6). We wrote about some of these issues in our policy update on 6th July 2018

Augar – what does it mean for the Arts and Humanities

In an interesting choice of headlines, the headline on gov.uk is “Science Minister hails the importance of humanities to society”.  Of course his full title is Minister of State for Universities, Science and Innovation (and currently also Interim Minister of Stage for Energy and Clean Growth.  Like his predecessor , Chris Skidmore has also taken several titles upon himself – Sam Gyimah was famously “minister for students” and Chris Skidmore has called himself “minster for the 2.4% [investment in R&D]” and “minister for EdTEch”.  But most importantly, he adopted the title “Minister for the Arts and Humanities”. So what did this former academic and historian say on this vital topic at the meeting of the Arts and Humanities Research Council?  The full speech is here.

So with all that in mind, we took a look at the implications of Augar for the Arts and Humanities.  One narrative around the Augar Review is that it has embraced, and even validated the popular narrative about “mickey mouse degrees” and universities filling low cost, high volume courses, putting “bums on seats” to subsidise other activities, doing a disservice to “overqualified graduates” who are “saddled with debt” that they can never repay.  This shocking state of affairs means that the government subsidy to higher education, in the form of direct funding and underwriting for the student loan system, in which 83% of students will not repay their loans in full, is misdirected and therefore the taxpayer is receiving poor value for money.  And, the argument goes, it is not only the taxpayer who is being ripped off, but students are too.  They are being tricked into taking courses that will not lead to better paid jobs but will instead leave them with student loans that will hold them back even further.  These are the students who should be doing technical training, apprenticeships.  They should be plumbers and bricklayers.  They have been told that they will achieve social mobility through education, and it isn’t true.  These narratives were not born with the Review of Post-18 Education and Funding in February 2018.  They became sharper once the tuition fee cap was increased to £9000 and were heightened when Labour adopted a policy of abolishing fees.  Jo Johnson raised them when launching the Green Paper in November 2015 that led to the Teaching Excellence Framework and the Higher Education and Research Act 2017.  In just one example, many of the arguments were rehearsed by Jo Johnson as Universities Minister in a speech in February 2017.  It all boils down to value for money.

But there is a terrific confusion here, as highlighted by the Minister earlier on.  The talk in Augar is all about value for money subject level.  But when people (including previous Universities Ministers (both Sam Gyimah and Jo Johnson) and the current Education Minister) talk about this, they talk not about the value of whole subjects, but of individual courses at individual universities.  And so they talk about quality.  But they don’t really mean quality either, because they talk about entry tariffs and outcomes and start talking about bums on seats.  Which is the big give away.  What they really mean is that they believe that there are too many students going to universities to do courses which are not aligned with the government’s priorities.  This is about the government wanting to choose not to invest in subjects that they believe do not add value to the economy.  Which is why Augar, which is all about money, has kept in the threat of a 3D threshold and/or a cap on student numbers (for some courses at some universities).

You can read more in our separate blog on this here.

Student Mental Health

The OfS have published details of the 10 winners of their Challenge Competition (investing £14.5 million) which aimed to achieve a step change in mental health outcomes for students.

The OfS new story says:

  • The proportion of full-time UK undergraduate students reporting mental health concerns when they enter higher education has more than doubled over the last five years.
  • Over 87% of students said they struggle with feelings of anxiety, and 1 in 3 experienced a serious psychological issue which required professional help.
  • OfS data shows that full-time students with a declared mental health condition are more likely to drop out, and less likely to achieve a first or 2:1 degree or secure good jobs after graduation.

This week they have released a news story focussing on Northumbria University which aims to reduce student suicide through utilising analytics and mining data (such as social media). Of course the scheme has to be data compliant and students have to opt in. Northumbria state that only 1 in 3 suicide deaths are known to mental health services. In response the researchers have developed an Early Alert Tool identifying students in crisis to sport early warning signs and to target intervention. (A little more information on the data triggers is here.) Northumbria’s project has been picked up by the Telegraph.

Projects in other Universities cover:

  • Transition from school to university – addressing the first year additional vulnerability something mentioned by the Minister in his recent speeches]
  • Mental health needs specific to international students [another thing mentioned by the Minister recently]
  • Advancing HE / NHS partnership working to improve support
  • Embedding mental health within a community approach, holistically incorporating police, local authorities and the NHS.
  • Developing a module for the PGCertHE to ensure that new academics, nationally, have the knowledge and skills to support mental health and learning through their teaching.
  • Creation of a ‘hub’ of qualified therapists and volunteers with mental health experience who will provide brief therapeutic interventions for students in comfortable, open-plan safe-spaces without the need for appointments or waiting lists.
  • Curriculum-based ‘mind management’ skills training (separate UG and PG courses) which use evidence-based approaches for improving emotion regulation and for managing common issues in student life (e.g. anxiety, stress, social isolation, managing expectations, imposter syndrome).

Nicola Dandridge, OfS Chief Exec, said:

  • Whenever I talk to students, improving mental health support is consistently raised as a priority. Universities and colleges are responding to the problem, but in too many cases students are having their experience of higher education blighted by mental ill-health. For many of these students, there is much more that we can do. Taking preventative action to promote good mental health is critical, as is taking a whole institution approach and involving students in developing solutions. In addition, the earlier we can identify issues developing, the more effectively we can give the vital support that is needed.
  • We know that many complex factors impact on students’ mental health and wellbeing, so addressing mental ill health is always going to be challenging. But universities and colleges are uniquely placed to rise to that challenge: through the expertise of their staff, insights from their own students, and their ability to bring groups and other organisations together to tackle complex problems in partnership.

The Independent covers the launch of the projects.

Tory leadership contest

From Dods:

  • Speaker of the Commons, John Bercow has dismissed the idea that Parliament could be prorogued in order to force through a no-deal Brexit. The idea that Parliament could be dissolved by a new Prime Minister, so that MPs could not take any legislative steps to block no-deal, was touted by ERG members and gained attention when leadership contender Dominic Raab repeatedly refused to rule out pursuing it. The Speaker yesterday, however, told MPs that it was “simply not going to happen.”
  • 10 have confirmed that the Commons will be sitting when the new Prime Minister is appointed at the end of July, amid concerns that Parliament could have entered summer recess before this happens which would mean that the new PM could avoid a potential no confidence vote.
  • Theresa May will resign as Conservative Party leader today, but will remain on as Prime Minister until her successor is appointed in late July.
  • Boris Johnson will launch a judicial review today to challenge the private prosecution against him for the alleged offence of misconduct in public office.

Sarah enjoyed this Spectator article on the Tory leadership contest.

  • Parties don’t get rid of their leaders unless things are going very badly. But this Tory crisis is different in scale and size to anything we have seen in recent decades. The question is not whether the Tories can win the next election, but whether they can survive.
  • The dire state that the Tories are in hasn’t put anyone off running to be leader, however. We suddenly have the most crowded field we have ever seen in a leadership race. Whoever wins will become prime minister without having to go through a general election. It’s quite a prize. Given the unpredictability of Tory contests and the frontrunners’ ability to destroy each other, everyone thinks they have a chance.

It divides the candidates into two categories: the ‘full-blooded Brexiteer’ and ‘compromising cabinet members’. Then it explains the four challenges the Conservative leadership will need to deliver on:

The Tory party is attempting to answer four different questions in this contest.

  • The first is who can best get Britain out of the EU. This will require not just an ability to find a way to extract concessions from a recalcitrant EU, but also an understanding of how to get Britain’s departure through parliament.
  • Secondly, the Tories are trying to work out who is best placed to take on Jeremy Corbyn and Nigel Farage. Given the parliamentary numbers, the next election is likely to come sooner than 2022 and so the Tories need someone who can fight on two fronts simultaneously.
  • The next question is who can come up with a new domestic agenda. The failure of Theresa May’s attempt to reinvent the Tories as a Christian Democrat party has resulted in a vacuum where Tory domestic policy should be.
  • Finally, the Tories must ask themselves who could best do the job of being prime minister.

The problem for the party is no one candidate is the best answer to all four questions. The Tories will have to make trade-offs to decide which qualities they regard as the most important.

Apart from their views on Brexit, the candidates are trying to differentiate themselves on other policies too.  We pick out a few of both here but of course there is much more.  Two dropped out this week – James Cleverly and Kit Malthouse.  Nominations (which now require 8 MPs rather than 2) open and close on Monday.  The BBC list is here.   The Express have their take here  Politics.co.uk have a detailed analysis of their policies on Brexit.  And the (Boris Johnson banking) Guido Fawkes shows the state of support amongst Tory MPs .

  • Matt Hancock has pledged to re-implement a form of student nurse bursary if he succeeds as PM.  Huff post reports: he said that he would offer new cash support for mature student nurses, and those specialising in mental health and community work, in a bid to fill staff shortages. However, he is clear it is about nursing dearth areas: ensure…in the areas of shortage we have that sort of targeted support that’s needed – so not across the full nursing training spectrum. He continues: There’s a question of how you make sure the money we’ve got goes as far as possible. There’s an overall shortage of nursing. It isn’t as big as the headline vacancy figures suggest. But there are acute shortages, especially in some specific areas like mental health nurses, and community nursing. And: I want to make sure that the approach we take is to support and incentivise people into those areas where we’ve got shortages.  He also intends to tackle big business care providers for whom profit is a key objective.
  • Michael Gove has said that if it “finally comes to a decision between no deal and no Brexit, I will choose no deal”. However, he would be willing to delay Brexit beyond the 31st October if a deal was in sight, stating it wouldn’t be right to ‘flounce’ out of the EU for a delay of mere weeks. Gove said that the deadline of 31 October was “arbitrary” and he was “not wedded” to it. That any delay would only be sought if a deal or breakthrough was on the horizon. This sets him against the other front runners, Boris Johnson and Dominic Raab, who have said that the UK will leave the 31 October under any circumstances.
  • Dominic Raab has repeatedly refused to rule out proroguing (discontinue) Parliament days before 31 October, which would in theory prevent Parliament from blocking a no-deal and see the UK crash out at midnight on the 31st. This move would be completely unprecedented, and arguably unconstitutional. Sky News, Lewis Goodall has said such a move would be “a hand grenade into our constitution” and leadership contender Rory Stewart has said “it would be illegal…it would be unconstitutional and it would be undemocratic.”
  • Sajid Javid has said he supports Jo Johnson’s amendment to the draft immigration legislation to change post-study visas to encourage international students.  He is, after all, Home Secretary, and since his appointment has been less than enthusiastic about TM’s “hostile environment”, dealing with the fallout from the Windrush scandal amongst other things.  The FT article says: “Mr Javid has already announced plans to axe the net migration target — which has never been met — if he becomes the next Conservative leader and is now also supporting the move to let students stay for longer after they finish at university. Mr Johnson has forced the pace on the issue, tabling an amendment to the government’s immigration bill — designed to implement a post-Brexit visa regime — which would take students out of the net migration target. …In 2012 Britain cut the time that students can work after graduating from two years to just four months, although the government this year recognised that the new regime was causing problems and agreed to raise the limit to six months.”
  • Rory Stewart says his competitors’ claims they could negotiate a new Brexit deal before 31 October are “misleading” and there is “not a hope” a new deal can by deadline.
  • Behind its paywall, the Telegraph reports that Boris Johnson plans to spend at least £5000 on every secondary school pupil to “level up” Britain’s education system.

Cost of housing hinders employment prospects

The Resolution Foundation has published: Moving Matters – Housing costs and labour market mobility.  The briefing doesn’t focus on the HE sector but that are some interesting findings that could be transferable.

Nationally changing areas to move for new employment and housing purposes has fallen. Unexpectedly the rate has particularly dropped within the younger age groups. The report notes this is surprising because young people are more likely to be graduates, non-UK born and private renters than in the past, changes that should have increased rather than decreased moves made for work.

Why?

  1. Because moving area isn’t essential to get a job – “the variation between the employment rates observed across local authorities has reduced over time” – so it is possible for young people to obtain some form of employment relatively locally. This is not ideal for graduate outcome statistics as earnings are expected to be lower, the job likely to be less specialised or relevant to the degree. It becomes a compromise option – once that can be difficult to recover from financially in their future career (see this Policy Update page 6 – impact of recession on graduates) .
  2. Moving isn’t as lucrative as it once was – “the ‘pull’ of more buoyant areas has fallen apace.. the difference in the average ‘wage premium’ achieved as a result of such a move has fallen since the turn of the century.”
  3. High housing costs negate the wage premium – “private rents have risen consistently faster in higher-paying areas of England. Rents have risen by almost 90% in the highest-paying 30% of local authorities over the past 20 years, compared to just over 70% among the 30% lowest paying places. As a result, not only has the earnings boost of moving to a more productive area diminished as a result of closing wage differentials; so, too, has the broader living standards uplift once housing costs are taken into account. So for the young graduate quality of housing and lifestyle may well go down as the quality high cost rents are prohibitive.

The report notes that job + housing mobility rate have fallen over time and the number of relocations moving to lower housing cost areas (47%) has increased  6% in the last 15 years. It also highlights a rise in commuting time – which costs the individual both in time and money.

  • With the evidence showing that efficiently matching with job opportunities is especially important for young people at the beginning of their working lives, the intergenerational implications of this briefing note are clear. While two of the reasons we identify that potentially explain the fall in job-plus-residence moves can be viewed as positive, our findings about the way that rising housing costs are determining the behaviour of younger renters in particular is a real cause for concern.
  • ..the evidence is clear that the real boosts to earnings are achieved by moving jobs. Critically, taking a new post in a different firm has a larger pay uplift than simply being promoted within the same organisation, and moving to denser, more productive areas comes with an even bigger pay premium. We know that job mobility is especially important at the start of one’s working life, when progression depends on testing out new roles and developing new skills. Moreover, an agile workforce is generally viewed as good not just for the individuals concerned, but also for the economy as workers ‘match’ more efficiently with business requirements.

You can read the detail of the full report here.

Spending Review

With Teresa May stepping down as PM and the Tory leadership race galloping along the Spending Review will be delayed and likely to be finalised between autumn and Christmas 2019. Liz Truss MP (Chief Secretary to the Treasury) was questioned by the Lords on the Spending Review this week.   this is very important to the Augar review, as the government response will be timed to come out with it.

Here are the most interesting snippets:

  • Truss confirmed the Spending Review preparatory work had ‘already began’ with the Treasury having ‘written to departments asking for initial capital bids, human capital submissions and reform proposals’.
  • Lord Turnbull (Crossbench) asked whether the spending review was likely to prioritise ongoing austerity measures and the reduction of the deficit, or whether spending might be increased or taxes increased. Truss replied that the priorities were likely to continue to be reducing the national debt and maintaining fiscal discipline. However, the main priority was economic growth, and therefore spending and tax reforms would be directed towards that goal.
  • Lord Layard asked for the Treasury’s response to the Augar Review. Truss responded that FE needed reform and that there had been ‘problems with funding’. The Augar Review would be considered within the Spending Review, she said, though given the amount of public subsidy to universities, which was higher than in other areas, better value for money was crucial. She went on to state that she supported the notion of students contributing towards their own education and was not in favour of capping student places.
  • In response the Chair (Lord Forsyth of Drumlean, Conservative) voiced concerns that universities and university placements were being judged too narrowly on their value pertaining to economic productivity and not enough on whether they produced good quality of life.

Consultations

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

Other news

Degree Apprenticeships: The Augar Review, the Higher Education Commission, and budget concerns have all cast doubt on the effectiveness of degree apprenticeships during 2019. Concerns that it is not attracting the sections of the population who could benefit most from social mobility,  that existing courses are being rebranded as degree apprenticeships to attract funding and are not truly in the spirit of the alternative route to higher qualification, that higher level provision is counter productively squeezing out lower level apprenticeship starts, that rurality and access remains an issue, and crucially that a high proportion of degree apprenticeship starts are not within areas that will help deliver the Government’s industrial strategy have all come to a head. This Wonkhe blog Post Augar, what will it take to reform degree apprenticeships? takes a gallop through the issues.

Gender employment gap: The BBC report on research which finds gender as the main factor in employment seniority, regardless of whether the female had children or not.

Soft power:  It was good to hear Chris Skidmore publically acknowledge the importance of soft power through educating international students in answering a question on tuition grants for students living in Africa:  Scholarships are a key part of the UK’s soft power, creating lasting positive relations with future leaders, influencers and decision-makers around the world. Many scholars funded by the UK go on to take up senior leadership positions in their home countries, and the strong bond they have formed with the UK enhances our direct and indirect influence abroad. This enhances our diplomatic work, our efforts in promoting increased trade and investment and supports our national security through increased goodwill and cooperation.

School absence policy debate: While it’s not strictly HE related the parents and carers among our readers might like to be aware of a Westminster Hall debate on school absences during term time. Here is the quick summary. Don’t go booking that term time holiday yet though!

HERA:  The House of Lords approved a motion making ‘Uncontroversial’ amendments to the Higher Education and Research Act (HERA) relating to the registration and exemption status of some HE providers. You can read a summary here. As you will see some parliamentarians seized on the opportunity to ask what effects the Augar Review would have on matters under discussion.

FE: Parliament have published The Further Education Loans and the Education (Student Support) (Amendment) Regulations 2019. There has been a new regulation inserted which allows the Secretary of State to cancel all or part of a (FE) fee loan in certain circumstances.

TEF: Chris Skidmore answered two parliamentary questions on the TEF. He said the independent TEF review lead by Dame Shirley Pearce is expected to report in summer 2019. Also that the second pilot year of subject level TEF is drawing to a close and the OfS will shortly publish the findings. Skidmore confirms Government will await Dame Shirley’s recommendations, and take account of the evidence from the subject-level TEF pilot, before making a decision on the next phase of the TEF.

Sustainability: Transport Minister, Michael Ellis, has announced the new EU-wide fuel labelling system rolling out from this week which identifies how much of the fuel the drivers are using comes from renewable sources. Here is the news story which simply explains the change, and here is the campaign link.

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What does Augar mean for the Arts and Humanities – Policy Update Supplement 7th June 2019

One thing that everyone can agree on is that the implications of Augar are ominous for the Arts and Humanities – the (historian) Minister for Universities gave a speech on Thursday which we discuss below, with some reflections on what Augar could mean for Arts and Humanities subjects in universities.

The Minister speaks

In an interesting choice of headlines, the headline on gov.uk is “Science Minister hails the importance of humanities to society”.  Of course his full title is Minister of State for Universities, Science and Innovation (and currently also Interim Minister of Stage for Energy and Clean Growth.  Like his predecessor , Chris Skidmore has also taken several titles upon himself – Sam Gyimah was famously “minister for students” and Chris Skidmore has called himself “minster for the 2.4% [investment in R&D]” and “minister for EdTEch”.  But most importantly, he adopted the title “Minister for the Arts and Humanities”.

So what did this former academic and historian say on this vital topic at the meeting of the Arts and Humanities Research Council?  The full speech is here.  It is long – and actually quite interesting.  It’s a shame really that given all the other turmoil we can’t read too much into it because he may not remain as Minister for any of this stuff for very long (as he admits in the speech).  [Did you know? The HE sector has had 5 Universities Ministers in the past 5 years. The last time a Minister lasted more than 6 years in the job was 1902 (source: HEPI – scroll to near end). ] Of course, we may be surprised, if suddenly unity breaks out amongst MPs in the face of the possibility of Nigel Farage as PM, and strong and stable government finally returns…in which case there is a lot of hope for the sector and for the Arts and Humanities in this speech.  He starts:

  • “As many of you know, I’ve attempted to try and achieve a work-life balance that involves juggling policy and public service, with a personal passion for exploring the past and continuing to write history. I continue to do so…because, like many of you here this evening, I am drawn by that overwhelming desire to understand, to comprehend, how different, how similar, previous generations are to our own, and to understand them on their own terms, for their own sake.
  • It is not something that can ever be fully measured, or its value codified by some anonymised data collection processor. Indeed, my own graduate outcome data was only salvaged at the last moment, in the final week before I turned twenty nine, when to my surprise I was elected as the Member of Parliament for Kingswood. That brought to a sudden end any hopes I might have had of my first career path of choice, and dream of entering academia.”

On Augar: “Indeed, even before the report was released, I made clear my concerns over some of the initial leaks, such as the speculation over a three-‘D’ threshold to enter university. And I’m pleased to see that proposal didn’t make the cut. If it had done so, it would have been completely regressive, and would have shut the door on opportunity for so many people whose lives are transformed by our world-leading universities and colleges.” [Yes, but it did make the cut – as a recommendation if the sector does not itself cut recruitment to “low tariff, low value” degrees.]

He makes a very important point which has been bothering your policy team: “But we must be careful not to confuse high-quality with high-value, for they are two different concepts, with two very different outcomes.  High Quality is something that we should all aspire to, whether in our work, our research, our teaching….I hope that our reforms to Higher Education, with the establishment of the Office for Students, which will be fully operational from 1 August this year, will help embed and achieve that focus on quality which must be continued.”  [In other words quality is something for the OfS regulatory regime to worry about, using TEF and other things as tools to support it.]

And then he turns to value:

  • “…data, in its current form, cannot measure everything. And until we have found a way to capture the vital contribution that degrees of social value make to our society – degrees like Nursing or Social Care – then we risk overlooking the true value of these subjects. The same goes for the Arts and Humanities.
  • Although some people around us may argue that the contribution of these disciplines to society may be less tangible, their influence is all around us. …Without people who can think outside the box or challenge ideas.  All this comes from the critical thinking that knowing about different cultures, philosophies and languages provides us….What might be ‘low value’ to one man, might to others represent money well spent on acquiring knowledge for its own sake, expanding one’s cultural horizons, learning to empathise and reflect upon the human condition, applying it to the challenges for the future.
  • There is a place for knowing which subjects have the potential to generate higher salaries in the future– not least for those students who want to make sure they make the right choice of subject and institution for them. For those who wish to know this information, it is also important to highlight the economic benefits of studying creative subjects too.
  • And, actually, the story isn’t all negative for those studying creative subjects. The latest Longitudinal Educational Outcomes (LEO) data show us that women studying creative arts, in particular, can expect to earn around 9% more on average than women who don’t go into higher education at all. And the highest returning creative arts course can significantly increase female earnings by around 79%. So, a creative education can certainly be the right choice for a number of people….After all, our Industrial Strategy recognises the importance of the Creative Sector in the UK economy, as being an absolutely vital one.”

And the role of arts and humanities in innovation:

  • “Today, we live in a world where around 50% of the UK population have a degree by the time they are 30. Still not enough in my opinion, and certainly not enough if we are to compete as a knowledge economy for the future internationally. As Universities Minister, I’m keen that nobody is deterred from pursuing a particular discipline just because it appears that studying it isn’t for people like them. This is a principle, which applies equally to the Arts and Humanities as it does to Science and Engineering. Thankfully, one mitigating factor to this is the fact that our disciplinary landscape is continually evolving. … multi-disciplinary approaches have become more desired – not just within academia itself, but by businesses, industry and government.
  • Part of this is down to our recognition of the fact that we have to tackle the world’s grand challenges now, before it’s too late. And these challenges, themselves, are not constrained within individual disciplinary boundaries. Indeed, the grand challenges we face today are formed at the intersection of the traditional disciplines – where the Arts, Humanities, Natural Sciences and Social Sciences meet…
  • The Arts and Humanities are also what makes science ‘useable’. It’s no good developing a cure for a pandemic like Ebola, for example, if you don’t have the anthropologists, the linguists or the lawyers to make the science work on the ground. To bring the product to market. To win the trust of the people. And at a time when trust in knowledge and expertise is constantly threatened by the lapping tides of populism, we need the humanities more than ever to be able to reach out and communicate the value of science and research more than ever….
  • …it is the inclusion of the humanities, running like a golden thread through all scientific collaborations and projects that will protect the future of Western science, maintaining its focus on excellence, but excellence for a human purpose.”

What does Augar mean for the Arts and Humanities?

One narrative around the Augar Review is that it has embraced, and even validated the popular narrative about “mickey mouse degrees” and universities filling low cost, high volume courses, putting “bums on seats” to subsidise other activities, doing a disservice to “overqualified graduates” who are “saddled with debt” that they can never repay.  This shocking state of affairs means that the government subsidy to higher education, in the form of direct funding and underwriting for the student loan system, in which 83% of students will not repay their loans in full, is misdirected and therefore the taxpayer is receiving poor value for money.  And, the argument goes, it is not only the taxpayer who is being ripped off, but students are too.  They are being tricked into taking courses that will not lead to better paid jobs but will instead leave them with student loans that will hold them back even further.  These are the students who should be doing technical training, apprenticeships.  They should be plumbers and bricklayers.  They have been told that they will achieve social mobility through education, and it isn’t true.

These narratives were not born with the Review of Post-18 Education and Funding in February 2018.  They became sharper once the tuition fee cap was increased to £9000 and were heightened when Labour adopted a policy of abolishing fees.  Jo Johnson raised them when launching the Green Paper in November 2015 that led to the Teaching Excellence Framework and the Higher Education and Research Act 2017.  In just one example, many of the arguments were rehearsed by Jo Johnson as Universities Minister in a speech in February 2017.  It all boils down to value for money.

But there is a terrific confusion here, as highlighted by the Minister earlier on.  The talk in Augar is all about value for money subject level.  But when people (including previous Universities Ministers (both Sam Gyimah and Jo Johnson) and the current Education Minister) talk about this, they talk not about the value of whole subjects, but of individual courses at individual universities.  And so they talk about quality.  But they don’t really mean quality either, because they talk about entry tariffs and outcomes and start talking about bums on seats.  Which is the big give away.  What they really mean is that they believe that there are too many students going to universities to do courses which are not aligned with the government’s priorities.  This is about the government wanting to choose not to invest in subjects that they believe do not add value to the economy.  Which is why Augar, which is all about money, has kept in the threat of a 3D threshold and/or a cap on student numbers (for some courses at some universities).

See this bit in Augar (page 88): “A small minority of institutions produce graduates who on average earn significantly less at age 29 than their comparators who did not attend higher education. The IFS estimate that 33 per cent of male students, and 1 per cent of female students – together making 15 per cent of all students – attended universities that had either significantly negative or statistically negligible earnings returns when these are averaged across all students at age 29.”

It goes on: “Altogether 34 per cent of courses – accounting for 29 per cent of male students – were shown to have negative returns for men at age 29 (without taking foregone earnings and interest loan repayments into account), suggesting that one in three male students who took these courses could have earned more if they had chosen a different course of study or not gone to university at all.”

Augar looked at the overall cost for the government of the sector – taking into account direct investment and the subsidy given through student loans.  For this section, Augar relied on the Institute for Fiscal Studies (IFS) analysis published in March 2019 Where is the money going? Estimating the government cost of different university degrees.  They break it down by borrower (i.e. by student, for those that take student loans) and by subject (which takes into account the number of students).  On a student by student basis, the most expensive programmes for the government – in terms of loan write-off plus direct grant are Agriculture and Veterinary Science, and Medicine, driven by teaching grants followed by Creative Arts, which is driven by loan write-offs.  The best “value” course on an individual basis is Economics, with no teaching grant and loans paid off at a higher rate.  Comms and media and other arts and humanities courses sit more in the middle.  But when they overlay the student numbers (figure 5), the picture changes, because of the comparatively large number of students studying some of the subjects with fairly large write-offs or subsidy.  This chart highlights the overall cost of the Creative Arts, but also brings biosciences, subjects allied to medicine, business and social studies to the top. For this table, Social Studies includes Politics, Anthropology, Human and social Geography, Sociology, Social Policy, Social work, Development studies (see footnote 100, page 110 of the Augar Report).  Again the best value is economics, but Veterinary Science and Foreign languages come off relatively well too, because so few students study them.

The Augar report refers to the Graduate outcomes (LEO) data for 2016-17 released in March 2019. It says (pages 87-88):

  • “Among men, the earnings premium for an Economics graduate at age 29 is 33 per cent on average, whereas a graduate in the Creative Arts will, on average, earn 14 per cent less than his peers who did not attend university. Among women, the earnings premium for a medical graduate is 75 per cent, but only 9 per cent for those graduated in the Creative Arts. 
  • The graduate premium for men is low or negative at age 29 for a sizeable minority of subjects. In addition to the Creative Arts, these include English and Philosophy, for which the premium is negative, and Agriculture, Communications, Psychology, Languages, History, Biosciences and Physical Sciences for which it is zero or very small. Women, by contrast, enjoy a graduate premium at age 29 irrespective of the subject they studied, but the premium is small for the Creative Arts, Agriculture, Social Care and Psychology.”

This is interesting but it is not comparing apples with apples.  Looking at the original DfE LEO data report you can see the problem – in that report they compare graduates in a particular subject with median earnings for all subjects.

This ignores the choices made by those students.  Students who choose creative arts degrees, on average, probably do not go on to high earning careers, based on this data.  But there is nothing to say that if they had chosen a different subject, or not gone to university at all, they would have been any higher earning.  To establish whether a creative arts degree is better than no degree at all, it could be argued that you would need to compare the employment outcomes of a creative arts graduate against a cohort of people who did not go to university but have the same background profile and prior academic attainment and are doing the same mix of jobs.  Then you would know what difference a creative arts degree made to the outcomes for that student.

But those who do not go to university undertake a wide range of careers, and on average they may earn more than those undertaking some degrees at some universities.  But that does not mean that those individual students would have earned more if they had not gone to university at all.  That’s possible, but it isn’t proved by this data, even though the data is controlled for background characteristics and prior attainment.  They might not have become plumbers, or bricklayers, they might still have pursued badly paid careers in the creative arts and individually in fact earned less than the creative arts graduates.

If all students were robotic clones, with the same potential and no personal talent, interest or individual motivation, then they would all do economics at university and become bankers or CEOs.  But that would lead to a different problem, because the world does not need that many bankers.

And see this from Tuesday’s Lords Augar discussion: Lord Storey (LD): My Lords, everybody seems to be very much in support of the Augar review. I have real reservations about the funding proposals for higher education. When the noble Lord, Lord Bassam, and my noble friend Lady Garden raised the issue of how the funding model, interest charges, the extension and all the rest will favour the rich and not the poor, the Minister kept saying that we will see it in the round. What does “in the round” actually mean? I agree with the noble Lord, Lord O’Shaughnessy, but we have to be very careful, because there are degree courses that are undersubscribed. We are seeing those courses cut, but they are courses that we need to develop, such as modern foreign languages. Fewer students are doing modern foreign languages because there are fewer studying them in secondary schools. It is the same with music. Music is hugely important to the creative industries, which is one of the major growth industries in this country, and yet we are seeing music in secondary schools, because of the EBacc, being scaled back and back. That has a knock-on implication for our universities, where music degree courses are declining as well. If we took the idea of the noble Lord, Lord O’Shaughnessy, all these courses would be cut, much to the detriment of our country.

I have argued before that using LEO to assess subjects is misleading for lots of reasons including because it only really works if all courses are vocational and all students follow their vocation.  If all law students became lawyers, all PPE students became politicians, all history students pursued an academic career (in schools or universities) and all language students became translators, interpreters or teachers then it  would be valid to compare.   Of course for some subjects there is more of a linear connection.  But for many subjects, students will go on and pursue a wide range of careers, using the generic skills that they have learned at university.   Generic skills which they may have learned more effectively because they were following a subject they were passionate about.

[In June 2018 I wrote: “[1] Whether your degree pays for itself is a function of a lot of things – such as what your degree is, and where you do it, but also what you did before you went there, where you live, where you work, the state of the national and local economy, what career path you choose now and in the future, your gender, your age, your ethnic group, your family background, your disabilities, how hard you work at university and at work, the culture, policies and success of the organisation you work for, your other life choices…and many more”]

Just as an experiment, I looked at the 13 candidates for the Tory leadership (as at 3rd June 2019).

University Politics/Economics/PPE Law Other
Oxford – 8 5 (Gyimah, Hunt, Hancock, Harper, Stewart) 1 (Raab) 2

Classics (Johnson)

English (Gove)

Post 92 – 1 1 – Hospitality management University of West London (Cleverly)
Other 3

Exeter (Javid)

Warwick (Leadsom)

Newcastle (Malthouse)

1

Queen Mary (McVey)

So is a politics degree vocational training for a career in politics?  Surely it really just shows an interest in the subject.  Certainly not all politics graduates go into politics.  And these people did not go into politics for the money.  Some of them didn’t need to, but they went into it for other reasons.  Using Wikipedia I looked at their early careers, and only 6 of them “used” their degrees (and that is stretching the point a bit): Michael Gove taking his English degree and becoming a journalist, and 5 of those with an economics aspect to their degree going on to be bankers, accountants or, in the case of Matt Hancock, an economist.

I also looked at the careers of FTSE 100 CEOs in 2017 and being fairly generous in terms of definitions (apart from other things, the choice of degree subject was more limited, looking at their ages), out of the 53 I could easily find information for, only 31 had a link between their degrees and their early career choices.  And these are clearly talented and successful people, 2/5 of whom chose to immediately pursue a career for which they had not been “trained”.

It might be easier to deal with the “problem” if it was defined more honestly.  The problem really is that the government thinks that the cost of HE is becoming unaffordable.  The effort to encourage students to make “better” choices, by giving them more and better data about outcomes and other things hasn’t really been given a chance to work but also very few people were convinced by it – because students make choices based on a whole range of factors.  Even Sam Gyimah (a  huge proponent of transparency) said when asked that students should follow their passion when choosing what to study.  So instead what we are going to get is rationing.  Rationing by subject feels like a blunt instrument, because it leaves it up to the sector to make the “sensible” decision about cutting student numbers when faced with lower fees but it may have odd effects – like making it harder for disadvantaged students to access courses in those subjects which they might have excelled in (and which might have increased their chances of exceeding median earnings in, too).  Or just reducing the quality of those programmes as they are delivered at a lower cost.

So if Augar is implemented, could we get a much more sophisticated methodology.?  Augar already talks about an institutional Student Premium for disadvantaged students.  You could see a world where there is institutional student uplift for those courses that achieve good student outcomes and loan repayment outcomes.  Maybe they could be relative outcomes, subject adjusted not just based on the median and adjusted for geographical factors.  And maybe they will find a way, as Augar suggests that they do, to measure the social value and adjust for that in the teaching grant as well.

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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JANE FORSTER                                            |                       SARAH CARTER

Policy Advisor                                                                     Policy & Public Affairs Officer

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