Select Committee on Innovation, Universities and Skills Written Evidence


Memorandum 2

Submission from the National Union of Students

INTRODUCTION AND SUMMARY

  1.  The National Union of Students (NUS) is a voluntary membership organisation comprising a confederation of local student representative organisations in colleges and universities throughout the United Kingdom and Northern Ireland which have chosen to affiliate and which pay a membership fee. NUS has 600 constituent members from virtually every college and university in the country and, as such, represents the interests of more than 7 million students.

  2.  NUS welcomes the opportunity to provide written evidence to the Innovation, Universities and Skills Select Committee's inquiry into funding for equivalent or lower qualifications (ELQs).

  3.  NUS strongly supports the widening participation agenda in higher education, and as such has consistently supported the principle that additional funding be directed at those who have yet to experience higher education. NUS does not, however, accept that the Government's decision to phase out ELQ funding is the appropriate way to achieve this, and is concerned that the unintended consequences of this policy could prove detrimental to the widening participation agenda. NUS does not believe that this was the Government's intention, and we therefore call for this policy to be reconsidered in light of the concerns expressed from across the higher education sector and beyond.

  4.  NUS has significant concerns that the withdrawal of ELQ funding will have the greatest impact on those institutions that are at the forefront of increasing and widening participation, as well as their students and staff. This is in direct opposition to the Government's stated intentions, including the Prime Minister's goal to "expand opportunity, not just one chance but second, third and fourth chances for people throughout their lives."[1]

  5.  Targeting funding changes at those higher education institutions (HEIs) that have proven best able to deliver the Government's important agenda appears to be contradictory and counterproductive. Institutions have warned that they will be force to cut "economically unviable" courses, which have depended until now on a mixture of ELQ and non-ELQ students. NUS is concerned that there will also be risks to the jobs of teaching staff, reductions in the range of available courses, and the social mix of the student body.

TIMING OF THE DECISION AND IMPLEMENTATION

  6.  There was no prior consultation with stakeholders or the public and no parliamentary debate in advance of the decision to withdraw funding for ELQs. NUS believes that such consultation is crucial for effective and joined-up policy making, and that the Government should have sought the views of the HE sector, including student representatives. It is vital that such significant changes are discussed with the sector before decisions on long-term funding are taken.

  7.  The Higher Education Funding Council for England (HEFCE) has only consulted over how this decision is to be implemented, rather than the principles behind the policy. NUS believes that the Government should have sought views on alternative ways to produce savings from the HE budget, rather than presenting this policy as a fait accompli.

  8.  In July 2007, the incoming Secretary of State for Innovation, Universities and Skills called for a debate about the size, shape and role of higher education in advance of the Government's 2009 review of higher education fees and funding.[2] NUS welcomed this call and therefore believes that ELQ funding should form part of that wider debate and holistic review, rather than being considered in isolation from other HE funding issues or before an adequate assessment of its potential impact has been made.

  9.  NUS is also concerned at the lack of detail as to how, when and to which institutions the proposed £100 million worth of savings in the HE budget will be allocated, and believe that this should have been made clear from the Government's initial announcement in September 2007. HEFCE have merely announced that this funding will be reprioritised "to agreed priorities yet to be decided."[3] NUS believes that these priorities and a detailed explanation should have been provided before the Government's decision was announced.

IMPACT ON STUDENTS AND INSTITUTIONS

  10.  The withdrawal of funding for ELQs will have a hugely disproportionate effect on part-time students. According to HEFCE, as many as a fifth of part-time students in England will become unfunded after 2008-09, compared with only 2% of full-time students.[4]

  11.  According to Universities UK research, part-time students "are far more diverse than full-time students in their socio-economic mix."[5] Part-time students are more likely to be women, students with disabilities and from black and ethnic minority (BME), as well as frequently having work, family and caring commitments. NUS is concerned that the Government's ELQs policy is therefore likely to have a deeper impact on non-traditional students, who are already under-represented in higher education.

  12.  NUS fear that significant numbers of adults will discontinue their lifelong learning because they will be unable to pay increased fees. According to UUK research, part-time students are more "price sensitive" and this "reinforces scepticism in the sector as to whether part-time fees can be raised without a significant drop in numbers."[6] These students are more likely to be deterred by cost, and less able to travel greater distances. This would be further exacerbated by the fact that part-time fees, unlike full-time fees, are currently paid upfront.

  13.  In the future, new ELQ students are likely to also be repaying debts accumulated from their earlier HE studies. NUS believes it cannot be assumed that these students will be in a position to finance their studies in the future.

  14.  The Government's suggestion that these students will receive funding from their employers to undertake their studies is not borne out by evidence. For instance, only 13 per cent of ELQ students at the Open University receive any contribution towards their fees from their employers.[7] This was reinforced by a recent speech by Richard Lambert, Director-General of the Confederation of British Industry (CBI) during which he asked, "Why should businesses in the future be expected to fund a much bigger share of higher education teaching?"[8]

  15.  When public funding is withdrawn, HEIs will face three options:

    (i)  To charge fees based on the full cost of running a course—putting it beyond the financial ability of many

    (ii)  To cross-subsidise the course—diverting much needed resources from other activities.

    (iii)  To cancel the course because it is no longer affordable to run

  16.  All three options will have a negative impact on students, reducing choice and weakening the higher education experience, as well as damaging the Government's widening participation and skills agendas.

  17.  A number of higher education institutions (HEIs) excel at offering opportunities to first generation students, many of whom are from non-traditional backgrounds. It should be noted that their courses are frequently studied both by first time HE students and ELQ students, and the Government's policy could, on this basis, have a negative impact on their attempts to encourage first time and first generation applicants.

  18.  NUS is also concerned that this will affect students at a wide range of HEIs and their students. While Birkbeck stands to lose 38.3% of relevant teaching funding by 2014-15 and the Open University stands to lose 22.7%, these are by no means the only institutions affected. City University London, Thames Valley University, the University of Bedfordshire, the University of East London and London Metropolitan University all stand to lose more than 10% of relevant teaching funding in the same period, despite being among the HEIs who have led the way in delivering the Government's widening participation agenda. Meanwhile, the University of Oxford, the University of Sunderland and Coventry University all lose more than £2 million of relevant teaching funding by 2014-15. This will inevitably impact on the students at these institutions and particularly on excellent adult and lifelong learning faculties and expertise that has often been developed over many years.

  19.  The withdrawal of ELQ funding has the potential to adversely affect women returning to work after career breaks and older men. In addition, a number of the hardest hit institutions, including London Metropolitan and University of East London, are particularly successful in recruiting black and minority ethnic (BME) students.

  20.  There may also be a disability equality issue where a person with a pre-existing HE qualification who becomes disabled in later life may require retraining in order to pursue a new career. The withdrawal of most student support for ELQ students has already limited opportunities for such students to undertake new HE qualifications. To remove HEFCE funding altogether would make such study all but impossible, which is neither in the spirit of disability equality nor in the aims of the Leitch review or general Government policy to help disabled people find fulfilling employment.

  21.  No equality impact assessment has been published in relation to the Government's ELQs policy. NUS believes that the considerations outlined above demonstrate that this is vitally important.

SKILLS AND EMPLOYMENT

  22.  NUS supports the Government's attempts to meet the targets set by Lord Leitch, and whilst the report calls to increase the proportion of adults with HE qualifications, it is entirely consistent and commensurate with the aims of Leitch to ensure that funding for higher education qualifications remains available to those who already have equivalent or lower qualifications (ELQs). It should also be noted that Lord Leitch did not suggest or consider withdrawing funding for ELQ students as an appropriate response to the skills challenge faced by the UK.

  23.  ELQ students are frequently precisely those who are re-skilling, updating professional skills and accessing the lifelong learning that Lord Leitch recommended in his review of skills. This review concluded that, "without increased skills, we would condemn ourselves to a lingering decline in competitiveness, diminishing economic growth and a bleaker future for all".[9] ELQs clearly have a vital role to play in responding to this challenge.

  24.  Lord Leitch concluded that individuals would increasingly be required to up-skill and to re-skill. According to his report, 70% of the 2020 workforce have already completed their compulsory education. In a global economy that is constantly shifting, a qualification relevant 10 years ago may no longer be of the same relevance. This is particularly the case with subjects that are closely related to technological and scientific innovation.

  25.  The shifting demands for skills and the increased mobility of the labour market places a strong emphasis on the need for re-skilling capacity, but also on the need to attain additional skills in other disciplines. A true knowledge economy with an increasing emphasis on innovation surely relies on the workforce being able to form linkages of evidence and ideas across subject boundaries.

  26.  It is also important to note that the demographic downturn of more than 12% of the 18-20 age cohort between 2011 and 2020 will make mature students, part-time and non-traditional recruitment particularly key to the financial and long-term stability of many institutions and the wider economy.[10]

  27.  Given the scale of the Leitch agenda, it is disingenuous to suggest that the skills required by the UK can be achieved by proposing that one group of learners must sacrifice their learning opportunities to allow others to take their place. NUS believes that this underestimates the scale of the skills challenge faced by the UK.

COURSE EXEMPTIONS

  28.  NUS is concerned that the neither the Government or HEFCE have not presented a clear rationale for including or excluding subjects from the list of exemptions from the decision to withdraw funding for ELQs. Any such explanation should consider the benefit both to individuals and society of lifelong learning. Without such an explanation, the composition of the list of protected subjects risks appearing arbitrary.

  29.  It is crucial to ensure the list of exceptions in student support regulations fits DIUS and wider Government policy. NUS understands that the list includes some qualifications that are required for entry into certain key professions, and that a student could not attain entry to the profession through other routes such as postgraduate study.

  30.  There are however many questionable omissions from the list of courses protected by the decision to phase out funding for ELQs, including business, management, law, post-compulsory certificates of education for FE teachers, languages, economics, computer sciences, pharmacy, psychology and housing. It is not clear what the rationale is for including or excluding exemptions from this list. It is clear however that if excluded subjects were added to list of protected subjects, there would be additional pressure to find £100 million of funding cuts by removing other courses from the list.

  31.  NUS has asked that either HEFCE or DIUS confirms that this list of exceptions has therefore been fully reviewed and whether any other qualifications were considered for the list and then rejected, and if so for what reasons.

  32.  NUS welcomes the Government's commitment to review the list of Strategically Important and Vulnerable Subjects (SIVS) in 2010-11 but would ask that HEFCE ensure that the sector is consulted when any changes to the list are made, particularly if subjects are to be removed from it. Although the protection of Foundation Degrees is welcome, it should be noted that this mode of study is often not the most appropriate form of provision for all prospective students, particularly those who are in employment and who plan to study part-time.

CONCLUSION

  33.  NUS believes that the Government's decision to withdraw funding for ELQs, which was taken without consulting students, institutions, professional bodies or employer organisations, is unacceptable, and will have a raft of unintended consequences for students and their institutions. NUS is concerned that the Government's widening participation and skills agendas will be adversely affected by this policy.

  34.  NUS calls for questions about the future funding of ELQs to be referred to the review of higher education funding due to commence in 2009. This will allow the following:

    (i)  A variety of options for "reprioritisation" in the higher education budget can be presented

    (ii)  A full and meaningful consultation can be undertaken before any decision is made

    (iii)  An assessment can be made of the impact any policy would have on the widening participation and skills agendas, and on part-time students

    (iv)  A full equality impact assessment can be undertaken and published

  35.  NUS calls for the decision to withdraw funding for ELQs to be reconsidered in light of the concerns expressed from across the higher education sector and beyond.

January 2008







1   Gordon Brown, Speech at the University of Greenwich, 31 October 2007 http://www.number10.gov.uk/output/Page13675.asp Back

2   Fabian Review, Summer 2007: The Education Issue Back

3   HEFCE, Frequently asked questions (ELQs), 2007 http://www.hefce.ac.uk/faq/elq.htm£q16 Back

4   Modelling of the impact on institutions, subjects and mode of study, HEFCE, October 2007 http://www.hefce.ac.uk/Pubs/HEFCE/2007/07_27/07_27s.xls Back

5   Part-time students in higher education, Universities UK, Policy Briefing November 2006, p.10 http://bookshop.universitiesuk.ac.uk/downloads/policybriefing0.pdf Back

6   Part-time students in higher education, Universities UK, Policy Briefing November 2006, p. 10 http://bookshop.universitiesuk.ac.uk/downloads/policybriefing0.pdf Back

7   Open University, 8 January 2008 http://www3.open.ac.uk/media/fullstory.aspx?id=12780 Back

8   Richard Lambert, Universities UK inaugural annual lecture, 11 December 2007 http://www.universitiesuk.ac.uk/speeches/show.asp?sp=77 Back

9   Leitch Review of Skills, December 2006 http://www.hm-treasury.gov.uk/independent_reviews/leitch_review/review_leitch_index.cfm Back

10   Demand for Higher Education to 2020 and beyond, HEPI, 21 June 2007 http://www.hepi.ac.uk/pubdetail.asp?ID=234&DOC=reports Back


 
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