Select Committee on Education and Skills Minutes of Evidence


Examination of Witness (Questions 60-79)

MONDAY 10 FEBRUARY 2003

MARGARET HODGE MBE, MP

  60. That is a very powerful signal to a lot of research institutes out there that your money could go before 2008?
  (Margaret Hodge) We want to concentrate funding on the world-class institutions and secondly on those that demonstrate that they are on the upwards escalator.

  61. If you are running an institution and you have heard that decision from you, Minister, and the research assessment exercise was awarded research up to 2008 obviously universities have taken account of that, do you think you might find yourself in court?
  (Margaret Hodge) Let me say a number of things, under the last RAE 55% of research active staff are in departments which got a 5 or a 5*, there is already a concentration of research at the upper end.

  62. To stay alive you have to be 5.
  (Margaret Hodge) I have not said that. We want to fund those at the Level 4 where they demonstrate they are developing and improving. That is the first thing to say. The second thing to say is that universities get their money from a variety of sources, they get their money from research, and we want to incentivise teaching. One of the ways in which HEFCE will be distributing the teaching monies over the coming period will lead to changes. If you increase the premium for teaching disadvantaged students from 5% to 20% that is a pretty big redistribution of monies towards those institutions that do teach disadvantaged students. Universities may well end up getting their money under different schemes. One of the purposes behind this White Paper and the principles that underpin it is that we do want universities to focus far more on their own individual missions.

  63. Is it not the case there is a connection between teaching and research?
  (Margaret Hodge) I think what we would accept is that there is certainly a very, very strong connection between undertaking proper scholarship round your subject, ensuring you are up-to-date on the research that is round and the quality of your teaching, there is a connection between scholarship and teaching which does not mean there is a disconnection between research and teaching, nobody is arguing the contrary. You need to ensure that you do proper scholarship to ensure that you are an effective teacher. The evidence from the QAA subject review has been very much those institutions that have not actually carried out a lot of research do incredibly well at teaching, even in the UK the evidence is such that—

  64. On that very point, Minister, is it not the case that the institutions that got the highest overall QAA assessment were the very same ones that had the most intensive research institutions? Is that not the case? Just a further point, therefore do you not see the connection between research carrying on in institutions and being able to attract high calibre people so it provides that sort of spark that all institutions need?
  (Margaret Hodge) I am not sure.

  65. On the first point.
  (Margaret Hodge) Do you want me to go back to the first point? Nobody is denying that those who undertake world-class research can also provide excellent teaching, I am not putting that forward as a proposition. What I am challenging is the proposition that you must undertake world class research to be effective teachers. I think that is an unproven hypothesis. That is where I would ask you to look at the QAA teaching assessments, where much of the very good teaching takes place in situations where there is not an enormous amount of research. That is where I would say to you that teaching depends on good scholarship, not necessarily world class research. The other thing I would put in the frame is, in the States out of the 1,600, or so, higher education institutions they have only 200 have post-graduate degrees awarding powers, so there is a much stronger distinction between teaching universities and research universities. I have not heard anybody who has studied these things saying therefore the teaching that takes place in those universities that do not have research degree awarding powers is of a lesser quality than the teaching that takes place in those that have research powers. Let me make one final point, let me take one example, Cambridge. Cambridge in the 2002-03 RAE because of the current concentration of research got nearly £68 million under the RAE for research money, it is a research intensive university. Anglia Polytechnic University, the other university got £370,000 in research. Again I have not heard anybody allege because Anglia only got £370,000 of research money, whereas Cambridge got £68 million, Cambridge teaching is in all instances that much better than takes place in Anglia.

  66. Let me give you an example, Minister. Greenwich University that recently won the Queen's Anniversary Prize and was the outright winner of the British Computer Society prize developed the software for models that evacuate people from buildings in emergencies. It was used, for example, in the Sydney Olympics and it is to be used in forthcoming Airbus project. That is not just good for Greenwich but that is good for Britain, that is good for the world. What concerns me is that you are going to reduce opportunities like that for all those working-class kids you are talking about because the new universities provide the bulk of places, they are not going to have access to that, what then is going to happen to the young, working-class, ambitious researcher if it is concentrated in yet more universities?
  (Margaret Hodge) You are presuming in the first instance that the young, working-class student will only go to the non-research universities and I hope all of the policies we have put in place round access, round student funding will break that.

  67. Take a guess, it is fairly broad brush but I think I am correct.
  (Margaret Hodge) I hope we will break that link. That is the first thing. The second is that we specifically said in our chapter on research that we will want to fund those developing and emerging departments where there is excellence in research, and some of them exist in the some of the less research intensive universities. Indeed even on the 5 and 5* ratings there are something like 90 universities across the country that have a department rated 5 or a 5*. It is spread across institutions. The third thing to say is that we have specifically said in our chapter on knowledge transfer that we would want that money—and the extra money that is going into it, and that is increasing over this Spending Review period—to be concentrated on supporting the non-research intensive universities so that they can engage in the technological transfer of research that Greenwich has so well engaged in. I think the mix of those policies will ensure that that sort of effort that you talked about in Greenwich, which I applaud, will continue into the future.

  68. Do you not think there is any danger that the signals that you are sending out now are going to have a blight on recruitment for particular institutions?
  (Margaret Hodge) No.

  69. Do you think that an academic person is going to think, they are 4*, the minister is pulling the plug on those or she has put pressure on HEFCE to pull the plug on those I am not going to that institution? That will affect the institution in terms of all sorts of things.
  (Margaret Hodge) I would simply say to you there is a hierarchy of institutions at present and I think one of the dishonesties in the debate round higher education over the past 10 or 15 years has been to fail to acknowledge that hierarchy. One of the things we are honestly doing—

Chairman

  70. There is a lot of hypocrisy about that, there may be a hierarchy but what this Committee is worried about, what Jonathan is worried about, is if you set that in concrete the Warwicks will not happen any more, the Baths will not happen any more and you will get no movement of universities that see an opportunity for excellence in research and get into it and change. What we are worried about, and maybe you can reassure us, is that you are setting that hierarchy in concrete for time ever more.
  (Margaret Hodge) We were absolutely clear when we established the policy that the last thing we wanted to do was to ensure that there could be no change. I talked when I came here last time about being like the football league and you wanted people to be able to go up and down the divisions. I think that the range of policies that we have put in place, let me mention two more, one is that we are going to encourage collaboration between institutions, which means that individuals who may find themselves teaching in one institution could collaborate on research with a department in another institution and we are going to launch some new research fellowships which allow a particular academic at a non-research intensive institution to go and spend some time at research intensive institutions if they have a particular capability, interest or project they want to follow. All of those policies put together will make sure that it is not set in stone and that we provide the framework which allows new, good, excellent research to grow.

  Chairman: Minister, we will come back to that on another occasion. I am very conscious I have been neglecting Jeff Ennis' opportunity to question you.

Jeff Ennis

  71. Minister, going back to the issue—and I want clarification on this, please—of how many students will benefit from the maintenance grant, you say that up to one third of students, particularly those from lower income families, will benefit from the new maintenance grant, how many students will qualify for the full £1,000 maintenance grant benefit, because my understanding is that that figure could be as low as 7%?
  (Margaret Hodge) No. You are thinking of students under 21?

  72. Yes.
  (Margaret Hodge) Because of the large proportion of mature students who have low incomes and therefore access to grant, I cannot let you have that figure today, I do not have it on the top of my head, I will write to the Committee and let you know. It is one third of the student cohort who will have access to the student grants. Let us go further and say in those institutions that choose to levy their own fees there will be access to bursaries for them. We will carry on. More students will have fee remission on the first £1,100.

  73. Looking at the Widening Access Agenda, if we look at two policies side by side, the up-front tuition fees was a disaster in terms of access, it is a good thing that is gone now and I think we can all agree with that. If you look at the impact that the Education Maintenance Allowance has had on sixth form students, particularly in areas like mine, it is having a really good impact. I am sure you are aware the Committee asked you to consider a seamless progression from what I call the junior maintenance allowance into a higher education maintenance allowance, as I am sure you are aware, we trumpeted the fact that EMAs would provide students with a grant of between £30 to £40 a week and the Maintenance Allowance has been pitched at £1,000 a year. I know you say that the EMA is only paid over term time so the global amount is the same but the point I am making here is, would it not have been better to try and capture the students we are trying to capture in terms of widening access if we pitched the maintenance at say £1,500 a year or £2,000 a year?
  (Margaret Hodge) We had a finite pot of money and the decision we had to take was, would we put the grant at a higher level and therefore reduce the number of students eligible to it or would be put it at the £1,000 level and therefore increase the number with eligibility to it. We went down the second road and I think that was sensible. The door that is not closed to us is to review that for the next Comprehensive Spending Review, and we shall look at that. The other door that is not closed to us is to look at the maintenance loan and see whether that properly covers legitimate expenses for students whilst they are at university. We are just undertaking a new student income and expenditure survey which will inform our next bid to the Comprehensive Spending Review just to make sure that we have those limits right.

  74. I am sure are you aware, Minister, that the Widening Access Agenda is certainly number one on my agenda, and I am sure it is in most of this Committee's agenda as well, if that is the case why did we not consider paying the whole of the variable tuition fee for the poorer student up to £3,000 if access is our number one agenda? Another option we have considered was actually raising the threshold from the £1,100 to £1,500 for all students, why did we reject that option as well? I know it could be to do with funding, but it is the messages that it sends out to future students?
  (Margaret Hodge) 2006 is a bit of time away. We had the money available to us in this Comprehensive Spending Review settlement so we were anxious to introduce grants as quickly as we can, they are coming in in 2004, we took the decision to set them at the £1,000 maximum level because that allowed us to reach about one third of the student cohort. We have said that as we get closer to the 2006 introduction of variable fees we will look at how we use the money we have set aside for grants to see whether or not we cannot concentrate it better to promote our Access Agenda. We are open to that. We will be reviewing that. We were anxious to get those grants up and running as soon as possible, I am sure you would support that. Why did we not raise the £1,100 to £1,500, because not everybody will be charging the variable fees.

  75. It is an alternative model.
  (Margaret Hodge) If you are a student that goes to a university that charges £1,100 you will immediately not be eligible for £1,500 because the university gets to charge £1,500.

Chairman

  76. Minister, you say that you had a finite amount money, one of the things you failed to convince the Committee about, and I think I speak for most of the Committee, in your reply to our Report on Student Finance was the argument that was put forward to this Committee very eloquently by Nick Barr and Ian Crawford from the London School of Economics, they have now updated their figures and say the Government is subsidising now mainly middle-class, professional families to a level of £1.2 billion per annum. Was it because the Department did lots of focus groups and ran scared because this a still an enormous subsidy? You could have spent that on widening access, £1.2 billion, but you have decided to keep the zero interest loans to a lot of people who do not need that low rate of interest.
  (Margaret Hodge) Firstly, I am rather astounded by that figure.

  77. That is from a very reputable 5* department.
  (Margaret Hodge) It just shows, do we have the RAE assessment right? I am surprised by that figure, I do not know where it emerged from.

  78. It emerged in our seminar last week.
  (Margaret Hodge) Right. Well Nick Barr might share it with us.

  79. It was £800 million on the previous system, as you replace it with the proposals in the White Paper the figures will to rise £1.2 billion.
  (Margaret Hodge) We questioned his previous figures. I am happy to go through that with you again. Can I stick to the point of principle?


 
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