Presentation on theme: "Title: LLLLN: HE IN FE (October 2011)"— Presentation transcript:
1 Title: LLLLN: HE IN FE (October 2011) Presentation by: Nick Davy, AoC HE Policy Manager
2 LLLLN: HE IN FE (October 2011) Trends in HE 1:17% of Bachelor degree students study part-time28% of higher education students below postgraduate level study short cycle courses such as foundation degrees, HNC/D and Diploma in HE45% of all higher education students below postgraduate level are aged 21 and over and 32% are aged 25 and overNearly 40% of HE students study within 25 miles of their home location25% of new OU students enrolments aged between 17 – 2540,000 HE students studying at non-public institutions22, UK students study abroad on degree level programmes
3 LLLLN: HE IN FE (October 2011) Trends in HE 2:Number of students studying outside country of citizenship – (a) 1990 – 1.3 million (b) 2000 – 2.1 (c) 2009 – 3.7Destinations: USA – 18% (- 5%); UK (- 1%); Australia (+ 2% ); Germany 7% (- 2%)17 countries doubled enrolments since 2000Denmark, Sweden, the Netherlands, Finland – many programmes in English; 14 countries some programmes14 countries higher tuition fees for overseas studentsType B tertiary education (short cycle/vocational): Australia/New Zealand – approximately 20%; UK – 6% (OECD average: 4%)
5 LLLLN: HE IN FE (October 2011) Characteristics of HE in FE:Generally older than university students; often vocational, rather than academic, qualifications; usually study around their work and/or family commitments;Low-participation neighbourhoods, particularly FD studentsHigher education ‘cold spots’ - Havering, Blackburn, Blackpool and Peterborough; university focussed on national recruitment - DurhamAreas with historically low HE participation rates – NE England, Essex/HaveringStudy on Higher National Diplomas and Foundation Degrees; technician skills.Niche national coursesCourses related to their particular localityHEFCE analysisSource: Foundation degrees: key statistics to , HEFCE April 2010
6 LLLLN: HE IN FE (October 2011) BIS Review of Non-prescribed HESkills Commission Inquiry into the provision of technician and higher level skillsReview of FDAP – 2012BIS comm. research: HE in FE (March 2012); growing P/T HEWilson Review – Industry LinksEnterpriseJISC/Information capacityBrowne ReviewHE White PaperEarly RepaymentHEFCE Teaching Funding Consultation (TFC) 2012/13HEFCE TFC – January 2012BIS – Regulatory FrameworkBIS – New challenges New chances – Section 8
7 LLLLN: HE IN FE (October 2011) Reforms 1:Predicated: Research – world class; Teaching?Quickly/Gradually open up HE to increased market forcesBut managed/quasi market – Price, VolumeNew Entrants – 6 tests – Quality/QAA; Complaints/disputes – OIA; Information/Data – KIS – HESA/SFA; Tuition Fee Cap/Access – OFFA; Student Controls; Financial sustainability. Introduced 2013New entrantsTough entry/lighter monitoring or light entry/tough monitoringNew rules for DAP and University TitleNew Awarding bodies – rules for entrance, monitoring
8 LLLLN: HE IN FE (October 2011) Key Issue – opening the marketCore/Margin Bidding – 20,000 places in year 1 – now 9% (2012); 8/16% in Year 2; 8% in year 3; by year 3 – 24%?9% now to be taken from all providers not just + £6KEligible – charging below £7,500Criteria – Price, Quality, DemandMinimum bid – 25; maximum threshold – 20% new entrantsDemand – track record, NSS, QAA, LocalWin – direct fundingSeveral HEI changing fees to come underCore/Margin – AoC: Need for broad based criteria including price, regional spread, low participation areas, and include indirectly funded provisionC/M – lead Institute + partner bids accepted[Provisional time scale: Publish – 17th October; Window – end/November; Decision – January]
9 LLLLN: HE IN FE (October 2011) Reforms2:AAB students + – 60,000 placesYear 2 – ABB, year 3 – BBB etc?Opportunities for growth (?) – high ND results + Internal prog.[AAB + and C/M withdrawn: (a) Attract more AAB (b) bid for 20K places]Income contingent loans – AoC: supportive but too fast, too steep particularly with introduction of loans for L3 study. Impact on Access and WP/Social MobilityIssue – part time students loans system – now changed: 4+ years after completionNon-mainstream grants for all providers – JISC, WP – supportIssue – land-based Colleges ‘price group’Continuing problems – indirect funding, validation
10 LLLLN: HE IN FE (October 2011) Reforms 3:Need to clarify roles of BIS, HEFCE, QAA, OFFA and OIA - separately and jointly promote student interests HEFCE – need new committee structure ensuring its different roles are separated; conflicts of interest are clearHEFCE grants - open to any regulated higher education institutionHEFCE Board – needs broadly based membership - include a current or former College Principal.The self-regulating organisations – representative of whole sectorNew test – fit/proper person/organisationOFT/HEFCE memorandum clearFinancial sustainability – Bond?Risk Based QA – good practice as well?
11 LLLLN: HE IN FE (October 2011) The New HE Market?:Price - loosened, but controlledEntry- yes; Exit – unlikely; Mergers; partnershipsProfit-maximisers?Competition – mainly, within a differentiated/stratified market (USA); continuing ‘cold spots’?Information – PI/KIS – capacity issuesIntroduction of technology – productivity gains?________________________Structures to establish market/transactional Costs?- MSC/VET WBL; HEFCE/HE: Takes Time
12 LLLLN: HE IN FE (October 2011) Interim Report: National Survey – Colleges Intentions to bid for the 20,000 Core/Margin Places starting in 2012.36% of Colleges offering HE respondedResponses were received from a good spread of Colleges in terms of HE size and geographical location88% indicated they intended to definitely bidThe larger the College the stronger intention, albeit in a range of 75 – 100%68% intended to bid for between 21 to 100 places; 21% for over 100As with other College-based surveys, HESA categories were problematic, with 20 responses outside these categoriesIn the HESA categories the four highest subject areas were in order of highest: Business and administrative services, creative arts and design, engineering and computer sciences[More work needed to ascertain a reliable estimate}
13 LLLLN: HE IN FE (October 2011) Continuing Issues 1:Off Quota continue until new regulatory system introduced in 2013Part time loans system to be resolved – employer up front?Non – prescribed: BIS: Review - Align or separate?Indirect Funding/validationNew awarding bodies; Degree awarding powers?CATS?Articulation – FE/HE loans
14 LLLLN: HE IN FE (October 2011) Continuing Issues 2:Private/Not-profit enter 2013Opportunities C/M inPrice/Attractive PackageOne College – Professional membership; International visit; Free kitPart time; Controls from 2013?Pressures on Private Colleges – new rules overseas studentsPartnership – hire/lease facilities?Niche markets?
15 LLLLN: HE IN FE (October 2011) Continuing Issues 3:Problems with C/M guidelines:HEI withdrawing student numbers – 9%, more, allHEI withdrawing validation servicesShort time-scale - validationFEC – 9% withdrawn20% threshold – difficult to make large bid if medium provision25 minimum – difficult for some small HE in FE providersLikely outcome – decrease in HE in FE numbers?Potential for large providers with direct numbers to grow?