he funding and regulatory issues in wales - bethan owen
TRANSCRIPT
HE Funding and Regulatory Issues in Wales – Perspective from HEFCW
Bethan Owen
Director of Institutional Engagement - HEFCW
Cyfarwyddwr Ymgysylltu Sefydliadol
AUA South Wales and South West Conference May 2015
About HEFCWWe support the HE sector in Wales in a number of priority areas set by the Welsh Government, including:
Promoting learning and teaching development, particularly the quality of the learning experience
Investing in a strong research base and developing research excellence
Encouraging activities in higher education that support business and the community
Widening access to higher education
About HEFCWStrengthening HE sector: reconfiguration and collaboration, financial sustainability, effective leadership and governance, European and international developments, estates
Accrediting and funding initial teacher training course providers
Funding and Regulating
Promoting
About HEFCWInforming, developing and implementing government policy
HEFCW Funding for Higher Education
Since 2012/13 full-time undergraduate students from Wales pay no more than previous fee level – anywhere in UK
Balance of fee cost offset by tuition fee grant
Tuition fee grant non-repayable, follows student
Tuition fee grant paid by Welsh Government and comes from higher education budget
HEFCW Funding in 2014/15
Impact of Fee Grant on HEFCW Funding
2011/12 2012/13 2013/14 2014/150
50,000,000
100,000,000
150,000,000
200,000,000
250,000,000
300,000,000
350,000,000
400,000,000
450,000,000
Fee grant payments to other UK HEIs
Fee grant payments to Welsh HEIs
Research
Teaching - FT UG & PGCE (including premia and per capita)
Teaching - PGT (including premia and per capita)
Teaching - PT (including premia and per capita)
Strategy and Initiative Allocations
£
2015/16 Funding Change in tuition fee grant payment arrangements announced February 2015
Tuition fee grant cost transferred from HEFCW to Welsh Government student support budget
HEFCW Gross budget reduced by up to £237m as a result (66%)
Final 2015-16 remit letter from Welsh Government received 19 March 2015
Funding allocations announced by end of May 2015
Funding Priorities and Principles
Strategic priorities
Remit letter
Review of HE Funding and Student Finance arrangements in Wales
Commissioned by Minister November 2013
Sir Ian Diamond - Chair of Review Panel
Evidence submissions by end of February 2015
Factual Summary expected Autumn 2015
Final report Autumn 2016
Review of HE Funding and Student Finance arrangements in Wales
Welsh Government priorities for the review
Widening access
Supporting skills needs of Wales
Strengthening part time and postgraduate provision
Long term financial sustainability
RegulationGovernment proposal to introduce Bill 2013
Replace powers attached to funding
Technical Consultation summer 2013
Higher Education (Wales) Act gained Royal Assent 12 March 2015
Transition to New Act arrangements: Sept 2015 to Aug 2017
1992 Act still in place with some changes
Full implementation of new Act from 2017/18
Current Regulatory Arrangements Financial and governance assurance arrangements similar to HEFCE
Financial Memorandum in process of update
Quality assurance via QAA
Fee Plans: HEFCW has responsibility held by OFFA in England
Apply to institutions funded by HEFCW
No alternative providers
New Regulatory System
Automatic designation Case-by-case designation (subject to consultation)
All relevant courses automatically designated
Relevant courses subject to case-by-case designation
Compliance with:
• fee limits• approved plan • quality assessment• financial assurance
Applications- for each individual course required
If approved:
Applications to HEFCW for approval of fee and access plans
required
If approved:
Compliance with:
• Specific designation criteria concerning quality of provision and financial assurance
Fee support packageTuition fee support up to £9,000
(loan and grant)
Fee support packageTuition fee support up to £6,000
(loan only)
Institution or other provider in Wales with charitable status delivering HE courses
HE Wales Act Regulatory Framework
Framework based on Fee and Access Plan
Institution providing HE and is a charity can apply to HEFCW for Fee and Access Plan approval
HEFCW required to monitor compliance with and effectiveness of plan
HEFCW required to assess quality, and take steps where quality is or likely to become inadequate
HE Wales Act Regulatory Framework cont’d
HEFCW required to prepare Financial Management Code to apply to regulated institutions
Circumstances when HEFCW may refuse to approve plan or withdraw prior approval
Can provide warning notices to regulated institutions
Reports to Welsh Ministers, and provision of information and advice by HEFCW
Regulated InstitutionsRegulated framework applies to providers of HE in Wales which seek automatic designation
Likely to include all current funded universities, but maybe further education colleges and some alternative providers
Other routes are ‘case by case’ designation (ie by course)
Arrangements operated by Welsh Government but currently consulting on new arrangement
Implementation ArrangementsWelsh Government consulting on first five sets of regulations
Four areas for HEFCW implementation:
Fee planning
Quality
Financial Management Code
Intervention Statement
Looking aheadRegulatory framework not intended to be draconian
Replacing powers currently attached to funding
HEFCW to work in partnership with the sector
Potentially new HE providers
Two year period of transition and consultation
Impact of UK and Welsh Government elections
Continuing period of change
Shared responsibility to provide confidence in HE
Well governed provision, providing value for money and return on investment of public and student Funding
Thank you for listening / Diolch am wrando
Bethan OwenDirector of Institutional Engagement
Cyfarwyddwr Ymgysylltu Sefydliadol
029 2068 2215