Variation or revocation of other authorisations to grant degrees etc

Higher Education and Research Bill – in a Public Bill Committee at 5:15 pm on 11 October 2016.

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Photo of Gordon Marsden Gordon Marsden Shadow Minister (Business, Innovation and Skills), Shadow Minister (Education) 5:15, 11 October 2016

I beg to move amendment 221, in clause 43, page 24, line 32, leave out subsection (3) and insert?

“(5) No order shall be made under subsection (1) unless a draft of the order has been laid before and approved by a resolution of both Houses of Parliament.”

This amendment would ensure the OfS’ power to vary or revoke authorisation given to an English Higher Education provider, or an English further education provider, must be scrutinised and approved by both Houses of Parliament.

With this it will be convenient to discuss amendment 222, in clause 44, page 25, line 14, after “provider” insert “and other relevant organisation”.

This amendment would ensure full representations and be made to, and considered by, the OfS before steps are taken to revoke authorisation.

Photo of Gordon Marsden Gordon Marsden Shadow Minister (Business, Innovation and Skills), Shadow Minister (Education)

The amendment reflects the concerns we have discussed about the revoking of powers. It also reflects the concerns of a number of bodies, not least Cambridge University, which has expressed real concern about that being done simply by statutory instrument. Cambridge University said in its evidence:

“The Bill must include measures to guarantee appropriate parliamentary scrutiny over the OfS’s discharge of its enforcement powers and imposition of penalties, including the revocation of Degree Awarding Powers and University Title. This is to ensure that any decision that may impinge on institutional autonomy is properly considered and good reason for doing so needs to be established.”

In this case, that means provisions must be scrutinised and approved by both Houses of Parliament. We accept that these occasions are likely to be rare, which is precisely why we think the matter should be reserved for both Houses of Parliament.

Photo of Jo Johnson Jo Johnson Minister of State (Department for Education) (Universities and Science) (Joint with the Department for Business, Energy and Industrial Strategy), Minister of State (Department for Business, Energy and Industrial Strategy) (Universities and Science) (Joint with the Department for Education)

The amendments relate to the power to revoke or vary degree-awarding powers, which is one part of the suite of tools available to the OFS under the new regulatory framework. We have long recognised that in order for the sector to be regulated effectively, refined and express powers to vary or remove degree-awarding powers in serious cases are vital. That makes it clear to providers what is at stake if quality drops to unacceptable levels. It does not mean we are interfering with the autonomy of providers.

We intend that the OFS and the new quality body will work with providers to address any emerging problems early on. The OFS would use the power to revoke degree-awarding powers only when other interventions had failed to produce the necessary results. However, I recognise the significance of these refined, express powers and the need to put the right safeguards in place. That is what clauses 44 and 45 are designed to do.

On amendment 222, I hope I can provide some reassurance. I fully agree that when making a decision on whether to vary or revoke a provider’s degree-awarding powers, the OFS should be able to draw on all relevant information. That may include information provided by other organisations such as students unions, other providers or the local community. Of course, we also plan for the OFS to make decisions having received information from the designated quality body and UKRI. The provisions in clause 58 already enable the OFS to co-operate and share information with other bodies in order to perform its functions. We expect the detail of how that should work to be set out in departmental guidance, and we plan to consult on the detail of the guidance prior to publication.

I turn to amendment 221 and the actual process of variation and revocation. Clauses 44 and 45 set out in detail what that process will look like, and we intend them to be supported by more detailed guidance. A significant safeguard in the right to appeal to the first-tier tribunal is contained in clause 45. Having a structured appeals process is vital to ensuring that providers have a clear voice and that the system can hold the trust of students and taxpayers and maintain the world-class reputation of the sector. That is a very strong protection in the Bill and means that the powers of the OFS can be checked by the judiciary.

A decision by the OFS cannot take effect before the routes of appeal are exhausted, and any order by the OFS to vary or revoke degree-awarding powers would be a statutory instrument. That would mean it could be published, thus ensuring appropriate transparency. Together, those are strong safeguards, and the amendments are therefore unnecessary. On that basis, I ask the hon. Gentleman to withdraw his amendment.

Photo of Gordon Marsden Gordon Marsden Shadow Minister (Business, Innovation and Skills), Shadow Minister (Education)

I thank the Minister for his response and particularly for his assurance in respect of amendment 222 that there will be consultation with other organisations. I must ask the vice-chancellor of Cambridge University and various others whether they will be content with this simply being a matter for statutory instrument. We will see how the process works out, but I am content with the Minister’s assurances. I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Clause 43 ordered to stand part of the Bill.

Clauses 44 and 45 ordered to stand part of the Bill.

Clause 46