I beg to move amendment 60, in clause 20, page 24, line 13, at end insert—

“(5A) When measuring student outcomes under subsection (5), the OfS must take account of mitigating circumstances, such as the impact of the Covid-19 pandemic.”.

With this it will be convenient to discuss the following:

Amendment 56, in clause 20, page 24, line 16, at end insert—

“(6A) The OfS must consult the higher education sector before determining a minimum level in relation to a measure of student outcomes.”.

This amendment requires the OfS to consult the higher education sector before determining minimum levels.

Amendment 57, in clause 20, page 24, line 17, leave out “not”.

This amendment requires the OfS to determine and publish different levels to reflect differences in student characteristics, different institutions or types of institution, different subjects or courses, or any other such factor.

Amendment 58, in clause 20, page 24, line 23, leave out “or subject being studied”.

This amendment is intended to probe the OfS’s powers of intervention at subject level.

Amendment 55, in clause 20, page 24, line 24, at end insert—

“(7A) When making decisions of a strategic nature in relation to a measure of student outcomes, the OfS must have due regard to the potential impact on the participation in higher education of students from disadvantaged and underrepresented groups.”.

This amendment seeks to ensure that the OfS’s measure of student outcomes does not jeopardise widening participation for students from disadvantaged and underrepresented groups.

Amendment 59, in clause 20, page 24, line 28, at end insert—

“(8A) The OfS must work together with the devolved authorities to minimise the potential for different assessments of the quality of higher education with a view to protecting the United Kingdom’s higher education sectors’ international reputation.”.

This amendment probes the impact that moving the English higher education sector out of line with the UK Quality Code will have upon the coherence and consistency of UK quality assessment and the UK’s HE sectors’ international standing.

It is a pleasure to be able to give my hon. Friend the Member for Chesterfield a bit of a break this morning, given that he has been doing so much hard work in the past hour or so. The amendments essentially relate to the role of the Office for Students. I have been in my role a short time—slightly longer than the Minister—but I have to say that I have some reservations about what the Office for Students is doing presently. I understand its remit and purpose, but I am not sure what direction it seems to be taking us in. That direction comes from its leadership. It is a shame that the chief executive is standing down. We need more continuity there, and I await the appointment of her replacement with great interest.

We have tabled several amendments. Amendment 60 would require the Office for Students to bear in mind mitigating measures—for example, the past 22 months of the covid-19 pandemic and the impact it has had on students and therefore on outcomes. When assessing quality, it is important that quality is understood in the context of such factors. In the case of the past two years, there has clearly been a huge impact on students and their ability to learn, despite the best efforts of lecturers and the teaching profession to deliver as much as possible as well as possible in really challenging circumstances, whether face to face or mostly online. So much of the normal teaching framework has been greatly challenged.

The most recent pilot of the student covid insight survey showed that students’ experience has changed dramatically because of coronavirus. On the academic experience, 29% of students reported being dissatisfied or very dissatisfied with their experience in the first term. Statistics from the Library highlight employment levels for those aged 16 to 24; I am not talking about outcomes. It is easy to look at what has happened to employment as an obvious measure of outcome, but employment levels have fallen 9%, which has clearly had a huge impact on the student outcome as a result of the national crisis.

The Institute for Fiscal Studies has also found that the impact of the pandemic has been very likely to disrupt the career progression of those in the early stages, with many graduates potentially delaying their entry to the labour market by staying in education. Research by jobs website Milkround provides us with further evidence. It shows that, compared with the typical 60%, just 18% of graduates are securing jobs this year—a third of the figure we would normally expect.

The purpose of the amendment is to identify and recognise the need to establish a link between what we might call force majeure events such as the pandemic and ensuring that the OfS is more flexible when considering student outcomes. It cannot be a static metric. That point is echoed by a significant representative body for the higher education sector, Universities UK, which states:

“Employment outcomes will also be impacted by national and local economic conditions.”

It is important that the OfS bears that in mind in any framework that it establishes for outcomes.

Amendment 56 has been tabled because we want to see true and substantive consultation with the higher education sector before the outcomes are defined. The Government should talk to the Universities UK representative body, which has been exploring the development of a framework in England for an institutional programme and course review process centred on best practice. Given that Universities UK represents 140 institutions, collaborating with them and exploring the work that already exists would be a sensible start for the Government to focus on. Universities UK also says that it is “unclear whether the baselines” of minimum assessment of standards

“will be subject to thorough consultation.”

I hope the Government will start a consultation programme with all the representative bodies to understand how they may structure student outcomes.

We cannot afford this to become some simplistic metric that is based purely on initial earnings in the first year of employment, which is one such measure that has been proposed. Amendment 57 allows the OfS to publish data that takes into account the geographical and socioeconomic differences, which I am sure you, Mrs Miller, would appreciate, and how important such differences are in determining student outcomes. These differences must be considered because where someone starts and where they end up shows the improvement that is achieved through the education process. There is much variation, as we know, in all those factors, and they are significant in determining outcomes.

Unfortunately, it seems that, as it stands, the provision will adopt a “one-size-fits-all approach”—not my words, but those of the Open University. I am concerned that if we do not consider the regions and the types of students in this process, we will dissuade universities from accepting students from low-income backgrounds, who are more likely to drop out of their course because of outside factors.

The metric of retention may seem like an obvious and simple measure to use in terms of the quality or outcome of the course, but there are many factors that come into play. I stress that the Government need to consult with the sector to understand the complexities involved in arriving at the metrics to measure outcomes. As it stands, the clause will have a big impact on the smaller, more local universities that often take students from lower economic and more challenging social backgrounds.

Amendment 58 is an exploratory amendment to see if the OfS will probe into individual courses or modules. Various questions are being raised about how a one-size-fits-all approach to assessing student outcomes will be applied outside of a three-year degree. A three-year degree is a simple thing to measure, but are the Government and the OfS seeking to measure the component parts, that is, the individual modules taken in a course? Is that the granularity the Government are considering for measuring outcomes? That is something that we clearly need to know. In particular, with certain courses being delivered on a modular basis—say with the Open University or other providers—that will be extremely relevant.

The clause is currently a permissive clause and does not formally extend the OfS’s powers, but it does clarify the levers available. My question to the Minister is, will he provide more clarity on how far that power will stretch, particularly in the light of the comments made just a few days ago by the chair of the Office for Students, Lord Wharton, on the second OfS strategy that the body will be more assertive in intervening on universities and colleges to uphold their obligations? The chair’s language is perhaps slightly more aggressive than I would have expected, but we need to understand what is being considered because it seems that he is the person who is very much directing the course of higher and further education.

What considerations will be given to the UK quality code and the reputation of UK higher education? New analysis of the economic impact of international students in the UK has shown that the net impact of just one cohort of international students in 2018-19 was worth nearly £26 billion to the UK economy. The majority of overseas undergraduate students on STEM courses—51% of respondents—said that they chose a UK institution because of its reputation for high-quality education, with another 29% saying that a qualification from this country offers excellent career prospects in their discipline. Just over a fifth attributed their choice to the presence of friends and relatives, according to research from the British Council published the other day.

The amendments are designed to ensure that the Government open themselves to true consultation with the sector to get its views and understand the work it is already doing and the great number of factors that we all appreciate come into play and impact on a student’s outcomes. That is important if we are to get a proper form of measuring university outcomes rather than using a simplistic measure for different universities and colleges when they are already doing a terrific job in their regions, perhaps against the odds.

I rise to speak to this monster group of amendments: 60, 57, 56, 58, 55 and 59.

Amendment 60 would add to the power in clause 20 an obligation on the Office for Students to assess and consider mitigating circumstances such as the pandemic. The OfS is already required to take into account wider factors when assessing the performance of providers. It has a general duty to have regard to the need to promote equality and opportunity and is subject to the public sector equality duty. It also has a public law obligation to take all material factors into account when reaching a decision.

The OfS will therefore consider a range of different contextual factors that may explain the reasons for a provider’s performance before reaching any final judgment. For example, this may include factors such as the relative proportions of students from disadvantaged or under-represented backgrounds. This could also include information from the provider about the actions it has taken, or plans to take, to improve quality, and external factors that may be outside a provider’s control such as the pandemic.

The OfS has previously produced guidance on how it expects providers to comply with the quality and standards-related registration conditions in the light of the pandemic. It is well aware that particular circumstances may be in play at a particular time, including the disruption caused by the covid-19 pandemic.

Amendment 57 would leave out the word “not” and in doing so completely reverse the purpose of this clause. Students would be expected to accept that they might achieve different outcomes—and, in some cases, lower outcomes—depending on their background, which risks entrenching disadvantage in the system. That cannot be right. Every student, regardless of their background, has a right to expect the same minimum level of quality that is likely to improve their prospects in life. That is why we included the provision in this clause to make clear that there is no mandate on the OfS to benchmark the minimum levels of standards it sets based on factors such as particular student characteristics. The OfS will none the less continue to consider appropriate contexts, including student characteristics, and make well-rounded judgments when assessing individual providers.

Amendment 56 would require the OfS to consult before determining minimum levels of student outcomes. I reassure the Committee that, under the Higher Education and Research Act 2017, the OfS already has a statutory duty to consult before publishing any revised version of its regulatory framework, including on quality measures. In relation to student outcomes specifically, it has already undergone one round of consultation, while a further consultation on specific outcome levels and how the OfS will take wider context into account will be published early next year. The amendment is therefore unnecessary.

Amendment 58 suggests that the OfS may be required to determine different expected outcome levels by reference to each subject, which would be inappropriate. Requiring the OfS to determine different minimum outcome levels for different subjects would mean that students studying certain subjects would be expected to accept different and, in some cases, lower outcomes than if they had chosen a different subject. All students should expect that minimum levels of continuation and completion rates, as well as the proportion of students that achieve employment commensurate with their qualifications, will be the same for all subjects.

Amendment 55 would require that the OfS has regard to widening participation for disadvantaged and under-represented groups.However, I assure the Committee that the OfS already has to take due regard of the impact of its decisions on disadvantaged and under-represented groups. The minimum expected levels of student outcomes will form only part of the overall context the OfS takes into account as it makes rounded judgments. When itexercises any function, it must, under section 2 of the Higher Education and Research Act 2017, have regard to the need to promote equality of opportunity in connection with access to and participation in higher education, and that duty applies when the OfS looks at how disadvantaged students and traditionally under-represented groups are supported and what they go on to achieve. It includes access, successful participation, outcomes and progression to employment or further study. The OfS has a public law obligation to consider relevant wider factors, which could include, amongst other things, the characteristics of a provider’s students, where appropriate.

Amendment 59 would require the OfS to work with devolved Administrations to minimise different assessments of higher education quality. HE is a devolved matter, and it is right that each Administration should be free to drive up quality in the way they think best. I understand that there is a concern about the removal of direct reference to the UK quality code from the guidance in the OfS’s regulatory framework and its impact on the reputation of the UK’s higher education sector, but the OfS has already made clear that its regulatory requirements would continue to cover the issues in the expectations and core practices of the quality code, which will remain an important feature of the regulatory framework. The OfS is not proposing to abolish the UK quality code—indeed, it has no power to do so. The code will continue to be important in the sector and providers will still be able to use it.

I would like to take this opportunity to announce the Government’s intention to table an amendment on Report that will give the OfS an explicit power to publish information about its compliance and enforcement functions, in particular when investigating higher education providers for potential breaches of registration conditions, which will give the OfS protection from defamation claims when it does so. That increased transparency will be in line with other regulators’ powers and protections, including appropriate safeguards.

I rise to support my hon. Friend the Member for Warwick and Leamington and the proposed amendments, in particular those including the requirement to consult the higher education sector before determining the standards. My constituency, Luton South, is home to the fantastic University of Bedfordshire, which takes many non-traditional students—for want of a better term. The majority of its students are older and may be working and studying additional qualifications to support their work. Many come from disadvantaged and under-represented groups. It is vital that we understand the difference that universities like the University of Bedfordshire make to those people’s lives when considering the clauses and the amendments proposed.

I also want to ensure that the widening participation aspect is considered thoroughly. There are so many people who have had no formal education who then come on to access courses and foundation degrees as part of their working life in order to better their skill level. The Bill is all about skills and improvements. With regard to measuring student outcomes and reflecting on the public sector equality duty, many students at the University of Bedfordshire come from very low socioeconomic groups, which is not always covered by the equality duty. I want to ensure that that is explicitly understood in any guidance and requirements of the OfS. I add my support for the amendment and the intention of what it is trying to achieve, in recognition of the many students at the University of Bedfordshire in Luton South.

I thank the Minister and my hon. Friend the Member for Luton South for their comments. Let me pick up on the points my hon. Friend just made. Educators and educationalists are concerned that these measures could lead to a reduction in opportunity and access, and that many could feel marginalised in the education process. I am not a specialist and have no background in education, but I understand that many schools have started to direct and encourage students to take certain GCSEs, to stay on to take A-level, BTECs or whatever. They may be prevented from doing so because of concern about the results achieved by that school or college, which could dissuade them.

It can never be known at the start what will happen to a student with the right sort of teaching and course. That education could bring alive their interest in a subject. I would underline the sense of caution that motivates the amendments. The Government need to tread incredibly carefully, for fear of reducing access and participation in our education sector. I appreciate that you may wish to restrict the number of amendments put to a vote, Mrs Miller, so I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Amendment proposed: 56, in clause 20, page 24, line 16, at end insert—

‘(6A) The OfS must consult the higher education sector before determining a minimum level in relation to a measure of student outcomes.”—

This amendment requires the OfS to consult the higher education sector before determining minimum levels.

Question put, That the amendment be made.

The Committee divided: Ayes 4, Noes 9.

Question accordingly negatived.

Amendment proposed: 55, in clause 20, page 24, line 24, at end insert—

‘(7A) When making decisions of a strategic nature in relation to a measure of student outcomes, the OfS must have due regard to the potential impact on the participation in higher education of students from disadvantaged and underrepresented groups.” —

This amendment seeks to ensure that the OfS’s measure of student outcomes does not jeopardise widening participation for students from disadvantaged and underrepresented groups.

Question put, That the amendment be made.

The Committee divided: Ayes 4, Noes 9.

Question accordingly negatived.

Question proposed, That the clause stand part of the Bill.

Clause 20 clarifies the provisions set out in section 23 of the Higher Education and Research Act 2017, known as HERA, which relate to the assessment of the quality of higher education provided by a registered provider. Section 23 of HERA currently places no restrictions or stipulations on how the Office for Students might assess quality or standards. Clause 20 provides some much-needed clarity. It puts beyond doubt the OfS’s ability both to determine minimum expected levels of student outcomes and to take those into account alongside many other factors when it makes its overall and well-rounded assessment of quality. It also makes clear that if outcome measures are to be used, the outcomes can be any the OfS considers appropriate.

The OfS looks at important indicators of high-quality higher education that are hugely valuable to students. They may include student continuation and completion rates and progression of graduates to professional or skilled employment or further study. The OfS is already regulating on that basis. The Government believe strongly that every student, regardless of background, has a right to expect the same minimum level of quality and the same opportunities to go on to achieve successful outcomes. Students from underrepresented groups should not be expected to accept lower quality, including poorer outcomes, than other students. That is why the clause also makes clear that there is no mandate on the OfS to benchmark the minimum levels of standards it sets based on factors such as particular student characteristics. The use of minimum levels for student outcomes is not and will not be a blunt instrument that relies only on data.

Absolute outcomes are only one aspect of a provider’s performance. To make a well-rounded judgment on a provider’s absolute performance, the OfS will consider a higher education provider’s appropriate context before determining whether a registration condition has been met. Alongside that work on baselines, the new Director for Fair Access is tasked with rewriting national targets to focus on social mobility and ensuring that higher education providers rewrite their access and participation plans. New and ambitious targets will be set to raise standards in schools, reduce drop-out rates at university and improve progression into high-paid, high-skilled jobs.

Clause 20 is an important element of the Bill because it serves to ensure that higher education provision delivers quality for all students, the taxpayer and the economy.

I do not have any further points to make and will not press any other amendments.

Question put and agreed to.

Clause 20 accordingly ordered to stand part of the Bill.