Teaching and Higher Education Bill [H.L.]

House of Commons

Session 1997-98
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Other Bills before Parliament
Arrangement of Clauses (Contents)

Teaching and Higher Education Bill [H.L.]

EXPLANATORY AND FINANCIAL MEMORANDUM

The Bill introduces a range of provisions relating to the teaching profession, and further and higher education and young people in work. It provides for the establishment of a General Teaching Council for England and a General Teaching Council for Wales; for newly-qualified teachers to serve an induction period; for the inspection of teacher training; and for the Secretary of State to require head teachers, who have not held a headship before, to have a professional headship qualification. It provides for the establishment of a new system for student support in further and higher education. It also provides for certain young employees to be entitled to time off to study or train for approved qualifications.

The provisions on the teaching profession extend to England and Wales, with separate provision extending to Scotland on certain matters. Separate provision is made for further and higher education in England and Wales and in Scotland. The provisions relating to young people in work extend to both England and Wales and Scotland. Provision corresponding to provisions of the Bill on the last two topics may be made by order for Northern Ireland.

PART I

CHAPTER I

Clause 1 with Schedule 1 establishes the General Teaching Council for England (the Council) and provides for its constitution to be set out in regulations. The majority of Council members will be teachers. The Council will, until such time as the General Teaching Council for Wales is established under clause 7, be known as the General Teaching Council for England and Wales and will exercise functions in relation to both England and Wales.

Clause 2 confers functions on the Council, including the determination of certain matters relating to teaching and teachers.

Clause 3 confers on the Council the function of advising the Secretary of State and other persons or bodies on a range of matters related to teaching.

Clause 4 confers on the Council the function of establishing and maintaining a register of teachers, and defines eligibility for registration.

Clause 5 provides for regulations to be made on a range of matters relating to registration. Subsection (4) would allow the Council to charge teachers a fee to be entered on the register or to maintain their entry on the register. The level of fee would require the Secretary of State's approval.

Clause 6 provides for the Secretary of State to confer or impose additional functions on the Council by order; and for the Council to carry out such functions which are ancillary to their other functions as the Secretary of State may direct. Subsection (3) refers to a possible additional function: maintaining records relating to teachers generally.

Clause 7 enables a separate body to be established for Wales, to be known as the General Teaching Council for Wales.

Clause 8 makes provision for the functions of the General Teaching Council for Wales. It would allow the Secretary of State to require that Council to assume additional functions as regards recruitment to the teaching profession and continuing professional development for teachers.

Clause 9 allows regulations to be made under the Education Reform Act 1988 giving the General Teaching Council for Wales powers in relation to the awarding of qualified teacher status and the prohibition of, and imposing of restrictions on, the employment of teachers.

Clause 10 allows the Secretary of State to make regulations requiring a teacher in a maintained school or a non-maintained special school to be registered with the Council or the General Teaching Council for Wales.

Clause 11 allows regulations to be made requiring employers to deduct the registration fee from teachers' salaries and pass it to the Council or the General Teaching Council for Wales.

Clause 12 provides for the Secretary of State to consult either or both of the Council and the General Teaching Council for Wales before making provision about the standards to be achieved by a person who wishes to be a qualified teacher.

Clause 13 provides for information to be supplied to the Council or the General Teaching Council for Wales so that they may establish and maintain a register of teachers under clause 4 and records under clause 6. It also provides for the Secretary of State to have access to that information and for information to be passed between the Council and the General Teaching Council for Wales.

Clause 14 requires the General Teaching Council for Scotland to have regard to the interests of disabled persons in exercising its functions.

CHAPTER II

Clause 15 enables the Secretary of State to make regulations requiring a person employed as a head teacher at a maintained school or a non-maintained special school who has not previously held such a post to possess a professional headship qualification.

CHAPTER III

The Secretary of State may under clause 16 make regulations requiring newly-qualified teachers to have served a satisfactory induction period as a condition of being employed in a maintained school or a non-maintained special school.

Clause 17 gives Her Majesty's Chief Inspector of Schools in England and his counterpart in Wales power to inspect institutions which provide initial and in-service training to teachers and specialist teaching assistants and to advise the Secretary of State, funding agencies and the General Teaching Councils.

Clause 18 enables the Secretary of State to cause teacher training institutions to be inspected in Scotland.

PART II

CHAPTER I

Clauses 19 to 23 make provision in relation to England and Wales.

Clause 19 enables the Secretary of State to provide financial support by way of grant or loan to students on higher or further education courses. Regulations must ensure that students continue to be eligible for maintenance grants equivalent to half of the total amount of support available for maintenance. The interest rate payable on loans will be no more than is necessary to maintain their value in real terms.

This clause also makes provision for loans to be recovered with the assistance of the Inland Revenue.

Clause 20 makes transitional provision in relation to financial support for students.

Clause 21 gives the Secretary of State power to require, as a condition of giving grant to the Further Education and Higher Education Funding Councils for England and for Wales, that they should in turn require, as a condition of giving funding to further and higher education institutions, that the institutions should limit, or not charge, student fees.

Clause 22 enables funding to be paid by the Higher Education Funding Councils to higher education institutions in respect of expenditure of connected institutions.

Clause 23 defines certain terms used in this Chapter.

CHAPTER II

Clause 24 amends the existing Scottish provisions relating to student support so as to make provision similar to that in clause 19.

Clause 25 makes provision in relation to the Scottish Further and Higher Education Funding Councils corresponding to that in clause 21.

PART III

Clauses 26 and 27 give certain young employees the right to paid time off to study or train for approved qualifications.

PART IV

Clauses 28 to 32 contain general provisions relating to the Bill.

Clause 31 enables provision corresponding to provisions of Parts II and III to be made for Northern Ireland.

Financial effects of the Bill

The Bill affects central and local government expenditure.

Clauses 1 to 13 provide for the setting up of the General Teaching Council for England and the General Teaching Council for Wales. The initial costs will be met from central government expenditure. They will include the initial capital costs and possibly some provision for running costs in the first years of operation.

Thereafter, the Councils' core activities will be financed by subscriptions from teachers. There may, however, be continuing Government funding for specific activities which will be payable as grant or possibly by contract. The Councils may also, in due course, attract other private income besides subscription income to finance activities for the benefit of teachers.

Clause 14, which makes provision for the General Teaching Council for Scotland similar to that in clause 1(4), will not require additional funding.

Clause 15, which creates the requirement for new head teachers to have a professional headship qualification, would result in additional costs of approximately £7 million per annum for training prospective head teachers.

The new induction period arrangements under clause 16 would result in additional costs for those schools which employ newly-qualified teachers. There will also be costs for schools and local education authorities in administering the induction programme. It is intended that grant should be provided from the Standards Fund to support training and development activities for these newly-qualified teachers and to arrange supply cover so that these teachers may take part in them. Additional burdens on local authorities would be taken into account in the annual review of local authority spending needs.

The further functions of the Chief Inspectors under clause 17 will not create additional costs. The corresponding provision for Scotland in clause 18 will not require additional funding.

Clauses 19 to 21 and clauses 24 and 25, which provide for new financial support arrangements for higher education students, will generate savings as a result of the introduction of a contribution by students towards the tuition fees charged by institutions. The precise level of net savings each year will depend on a number of factors, including student numbers and the level of take up of loans. Clause 22 is not expected to lead to any additional government expenditure.

Clause 26, which makes provision relating to the entitlement of young persons to time off for study or training, will be implemented as resources permit. The implementation of the policy is likely to require financial support from Government for the education and training which young people take up as a result. The actual costs to Government will depend on the scale of take-up by eligible young people. A working assumption is that these costs might be of the order of £40 million per annum. The costs for advice and support from the Careers Service for eligible young people taking up their education and training will depend again on the scale of take-up. A working assumption is that overall costs might be approximately £12-13 million per annum. An initial publicity and awareness campaign might cost about £1-2 million.

Where disputes arise, there may be costs for the Advisory, Conciliation and Arbitration Service (and for the Labour Relations Agency in Northern Ireland) arising from conciliation and mediation, and also for the Employment Tribunals Service. These costs are likely to be small and a working assumption is that they might be of the order of £70,000 per annum.

Effect of Bill on public service manpower

The General Teaching Council for England and the General Teaching Council for Wales will be non-departmental public bodies. The two Councils together are likely to employ no more than 100 staff and considerably fewer in the initial years. It is possible that some of these costs may be offset by small reductions in the staffing of the Department for Education and Employment and the Welsh Office Education Department.

The introduction of an induction period for newly-qualified teachers would probably require local education authorities in England and Wales to take on a small number of additional staff.

The additional functions undertaken by Chief Inspectors of Schools (or in Scotland by Her Majesty's Inspectors or persons appointed by the Secretary of State) do not have manpower implications.

The provisions for financial support for further and higher education students should lead to little change to public service manpower. There may be some shift in the balance between staff in central and local government; but the extent of this will depend on the detailed arrangements for the administration of the new system.

Business Compliance Cost Assessment

The provisions for new financial support arrangements for higher education students in clauses 19 and 24 will affect business. Where student loans are recovered with the assistance of the Inland Revenue, collection from employed graduates through the PAYE system may generate additional costs for employers. These costs will vary from employer to employer, and the total cost will depend, for example, on future student numbers and the level of take-up of the new loans. It is estimated, however, that there may be non-recurrent costs to business of between £45 million and £90 million between the years 2000 and 2010. There will also be annual compliance costs; it is estimated that these will initially be small, but may grow quickly, reaching between £23 million and £42 million by the year 2010.

It is estimated that in the United Kingdom between 80,000 and 130,000 businesses could be affected by clauses 26 and 27 (the right of young persons to time off for study or training). The precise number would depend on future patterns of recruitment of young people, and the turnover between businesses of young people who are eligible. Depending on the scale and nature of the take-up by eligible young people, the estimated total compliance costs to businesses are between £60 million and £130 million per year.

A Regulatory Appraisal, incorporating a compliance cost assessment of the costs to business, is available to the public from Christopher Hay, Department for Education and Employment, W4d, Moorfoot, Sheffield, S1 4PQ.

© Parliamentary copyright 1998
Prepared 12 March 1998

Teaching and Higher Education Bill [H.L.]

	EXPLANATORY AND FINANCIAL MEMORANDUM
	The Bill introduces a range of provisions relating to the teaching profession, and further and higher education and young people in work. It provides for the establishment of a General Teaching Council for England and a General Teaching Council for Wales; for newly-qualified teachers to serve an induction period; for the inspection of teacher training; and for the Secretary of State to require head teachers, who have not held a headship before, to have a professional headship qualification. It provides for the establishment of a new system for student support in further and higher education. It also provides for certain young employees to be entitled to time off to study or train for approved qualifications.
	The provisions on the teaching profession extend to England and Wales, with separate provision extending to Scotland on certain matters. Separate provision is made for further and higher education in England and Wales and in Scotland. The provisions relating to young people in work extend to both England and Wales and Scotland. Provision corresponding to provisions of the Bill on the last two topics may be made by order for Northern Ireland.
	PART I
	CHAPTER I
	Clause 1 with Schedule 1 establishes the General Teaching Council for England (the Council) and provides for its constitution to be set out in regulations. The majority of Council members will be teachers. The Council will, until such time as the General Teaching Council for Wales is established under clause 7, be known as the General Teaching Council for England and Wales and will exercise functions in relation to both England and Wales.
	Clause 2 confers functions on the Council, including the determination of certain matters relating to teaching and teachers.
	Clause 3 confers on the Council the function of advising the Secretary of State and other persons or bodies on a range of matters related to teaching.
	Clause 4 confers on the Council the function of establishing and maintaining a register of teachers, and defines eligibility for registration.
	Clause 5 provides for regulations to be made on a range of matters relating to registration. Subsection (4) would allow the Council to charge teachers a fee to be entered on the register or to maintain their entry on the register. The level of fee would require the Secretary of State's approval.
	Clause 6 provides for the Secretary of State to confer or impose additional functions on the Council by order; and for the Council to carry out such functions which are ancillary to their other functions as the Secretary of State may direct. Subsection (3) refers to a possible additional function: maintaining records relating to teachers generally.
	Clause 7 enables a separate body to be established for Wales, to be known as the General Teaching Council for Wales.
	Clause 8 makes provision for the functions of the General Teaching Council for Wales. It would allow the Secretary of State to require that Council to assume additional functions as regards recruitment to the teaching profession and continuing professional development for teachers.
	Clause 9 allows regulations to be made under the Education Reform Act 1988 giving the General Teaching Council for Wales powers in relation to the awarding of qualified teacher status and the prohibition of, and imposing of restrictions on, the employment of teachers.
	Clause 10 allows the Secretary of State to make regulations requiring a teacher in a maintained school or a non-maintained special school to be registered with the Council or the General Teaching Council for Wales.
	Clause 11 allows regulations to be made requiring employers to deduct the registration fee from teachers' salaries and pass it to the Council or the General Teaching Council for Wales.
	Clause 12 provides for the Secretary of State to consult either or both of the Council and the General Teaching Council for Wales before making provision about the standards to be achieved by a person who wishes to be a qualified teacher.
	Clause 13 provides for information to be supplied to the Council or the General Teaching Council for Wales so that they may establish and maintain a register of teachers under clause 4 and records under clause 6. It also provides for the Secretary of State to have access to that information and for information to be passed between the Council and the General Teaching Council for Wales.
	Clause 14 requires the General Teaching Council for Scotland to have regard to the interests of disabled persons in exercising its functions.
	CHAPTER II
	Clause 15 enables the Secretary of State to make regulations requiring a person employed as a head teacher at a maintained school or a non-maintained special school who has not previously held such a post to possess a professional headship qualification.
	CHAPTER III
	The Secretary of State may under clause 16 make regulations requiring newly-qualified teachers to have served a satisfactory induction period as a condition of being employed in a maintained school or a non-maintained special school.
	Clause 17 gives Her Majesty's Chief Inspector of Schools in England and his counterpart in Wales power to inspect institutions which provide initial and in-service training to teachers and specialist teaching assistants and to advise the Secretary of State, funding agencies and the General Teaching Councils.
	Clause 18 enables the Secretary of State to cause teacher training institutions to be inspected in Scotland.
	PART II
	CHAPTER I
	Clauses 19 to 23 make provision in relation to England and Wales.
	Clause 19 enables the Secretary of State to provide financial support by way of grant or loan to students on higher or further education courses. Regulations must ensure that students continue to be eligible for maintenance grants equivalent to half of the total amount of support available for maintenance. The interest rate payable on loans will be no more than is necessary to maintain their value in real terms.
	This clause also makes provision for loans to be recovered with the assistance of the Inland Revenue.
	Clause 20 makes transitional provision in relation to financial support for students.
	Clause 21 gives the Secretary of State power to require, as a condition of giving grant to the Further Education and Higher Education Funding Councils for England and for Wales, that they should in turn require, as a condition of giving funding to further and higher education institutions, that the institutions should limit, or not charge, student fees.
	Clause 22 enables funding to be paid by the Higher Education Funding Councils to higher education institutions in respect of expenditure of connected institutions.
	Clause 23 defines certain terms used in this Chapter.
	CHAPTER II
	Clause 24 amends the existing Scottish provisions relating to student support so as to make provision similar to that in clause 19.
	Clause 25 makes provision in relation to the Scottish Further and Higher Education Funding Councils corresponding to that in clause 21.
	PART III
	Clauses 26 and 27 give certain young employees the right to paid time off to study or train for approved qualifications.
	PART IV
	Clauses 28 to 32 contain general provisions relating to the Bill.
	Clause 31 enables provision corresponding to provisions of Parts II and III to be made for Northern Ireland.
	Financial effects of the Bill
	The Bill affects central and local government expenditure.
	Clauses 1 to 13 provide for the setting up of the General Teaching Council for England and the General Teaching Council for Wales. The initial costs will be met from central government expenditure. They will include the initial capital costs and possibly some provision for running costs in the first years of operation.
	Thereafter, the Councils' core activities will be financed by subscriptions from teachers. There may, however, be continuing Government funding for specific activities which will be payable as grant or possibly by contract. The Councils may also, in due course, attract other private income besides subscription income to finance activities for the benefit of teachers.
	Clause 14, which makes provision for the General Teaching Council for Scotland similar to that in clause 1(4), will not require additional funding.
	Clause 15, which creates the requirement for new head teachers to have a professional headship qualification, would result in additional costs of approximately £7 million per annum for training prospective head teachers.
	The new induction period arrangements under clause 16 would result in additional costs for those schools which employ newly-qualified teachers. There will also be costs for schools and local education authorities in administering the induction programme. It is intended that grant should be provided from the Standards Fund to support training and development activities for these newly-qualified teachers and to arrange supply cover so that these teachers may take part in them. Additional burdens on local authorities would be taken into account in the annual review of local authority spending needs.
	The further functions of the Chief Inspectors under clause 17 will not create additional costs. The corresponding provision for Scotland in clause 18 will not require additional funding.
	Clauses 19 to 21 and clauses 24 and 25, which provide for new financial support arrangements for higher education students, will generate savings as a result of the introduction of a contribution by students towards the tuition fees charged by institutions. The precise level of net savings each year will depend on a number of factors, including student numbers and the level of take up of loans. Clause 22 is not expected to lead to any additional government expenditure.
	Clause 26, which makes provision relating to the entitlement of young persons to time off for study or training, will be implemented as resources permit. The implementation of the policy is likely to require financial support from Government for the education and training which young people take up as a result. The actual costs to Government will depend on the scale of take-up by eligible young people. A working assumption is that these costs might be of the order of £40 million per annum. The costs for advice and support from the Careers Service for eligible young people taking up their education and training will depend again on the scale of take-up. A working assumption is that overall costs might be approximately £12-13 million per annum. An initial publicity and awareness campaign might cost about £1-2 million.
	Where disputes arise, there may be costs for the Advisory, Conciliation and Arbitration Service (and for the Labour Relations Agency in Northern Ireland) arising from conciliation and mediation, and also for the Employment Tribunals Service. These costs are likely to be small and a working assumption is that they might be of the order of £70,000 per annum.
	Effect of Bill on public service manpower
	The General Teaching Council for England and the General Teaching Council for Wales will be non-departmental public bodies. The two Councils together are likely to employ no more than 100 staff and considerably fewer in the initial years. It is possible that some of these costs may be offset by small reductions in the staffing of the Department for Education and Employment and the Welsh Office Education Department.
	The introduction of an induction period for newly-qualified teachers would probably require local education authorities in England and Wales to take on a small number of additional staff.
	The additional functions undertaken by Chief Inspectors of Schools (or in Scotland by Her Majesty's Inspectors or persons appointed by the Secretary of State) do not have manpower implications.
	The provisions for financial support for further and higher education students should lead to little change to public service manpower. There may be some shift in the balance between staff in central and local government; but the extent of this will depend on the detailed arrangements for the administration of the new system.
	Business Compliance Cost Assessment
	The provisions for new financial support arrangements for higher education students in clauses 19 and 24 will affect business. Where student loans are recovered with the assistance of the Inland Revenue, collection from employed graduates through the PAYE system may generate additional costs for employers. These costs will vary from employer to employer, and the total cost will depend, for example, on future student numbers and the level of take-up of the new loans. It is estimated, however, that there may be non-recurrent costs to business of between £45 million and £90 million between the years 2000 and 2010. There will also be annual compliance costs; it is estimated that these will initially be small, but may grow quickly, reaching between £23 million and £42 million by the year 2010.
	It is estimated that in the United Kingdom between 80,000 and 130,000 businesses could be affected by clauses 26 and 27 (the right of young persons to time off for study or training). The precise number would depend on future patterns of recruitment of young people, and the turnover between businesses of young people who are eligible. Depending on the scale and nature of the take-up by eligible young people, the estimated total compliance costs to businesses are between £60 million and £130 million per year.
	A Regulatory Appraisal, incorporating a compliance cost assessment of the costs to business, is available to the public from Christopher Hay, Department for Education and Employment, W4d, Moorfoot, Sheffield, S1 4PQ.