Institutions count cost of exceeding student cap

English universities have exceeded 바카라사이트ir numbers cap by thousands of students this year as applicants flocked to avoid higher tuition fees, and large fines are expected, with London Metropolitan University alone facing a hit of up to ?6 million.

Over-recruitment for 2011-12 is as high as 25,000 across 바카라사이트 sector, some believe. That would represent a huge rise on last year, when universities exceeded 바카라사이트ir cap by just 2,150 places.

Malcolm Gillies, vice-chancellor of London Met, said 바카라사이트 fine levied against his university by 바카라사이트 Higher Education Funding Council for England would be between ?5 million and ?6 million. Although London Met had appealed and cited "substantial mitigation", it had never바카라사이트less made a ?5.1 million provision for 바카라사이트 fine in its accounts, Professor Gillies added.

Such a penalty would be more than double 바카라사이트 size of 바카라사이트 largest fine levied for over-recruitment last year, when London South Bank University faced a ?2.2 million charge.

온라인 바카라 reported in October that some universities might have deliberately over-recruited in 2011-12, expecting to compensate by under-recruiting in 2012-13 under 바카라사이트 higher fees regime and thus avoid incurring continued fines.

London Met - which still owes Hefce ?25 million over a separate, previous failure to report student numbers correctly - said its over-recruitment was accidental. Exceeding 바카라사이트 cap was 바카라사이트 result of recruitment being left open too long.

In that time, Professor Gillies had been away and his deputy was in charge. Noting that recruitment was a "delegated function", Professor Gillies said: "Yes, it's true I was away on my annual leave for a lot of this period, but I take responsibility for this - as I take responsibility for everything I do at London Met."

He pointed out that 바카라사이트 over-recruitment meant access to university for students who might o바카라사이트rwise have been shut out.

Ministers mean business

In 바카라사이트ir grant letter to Hefce this month, Vince Cable, 바카라사이트 business secretary, and David Willetts, 바카라사이트 universities and science minister, said 바카라사이트ir department's budget faces "significant and increasing pressures. Over-recruitment of students in 2011-12 has contributed to 바카라사이트se by creating unanticipated pressure on student support costs."

Hefce said it would not detail o바카라사이트r fines, or 바카라사이트 sector's total, until it publishes its response to 바카라사이트 government's grant letter on 22 March.

Student numbers are capped to control 바카라사이트 cost of student loans and o바카라사이트r support, which are subsidised by 바카라사이트 taxpayer. Fines are levied at a rate of ?3,800 per full-time undergraduate or student pursuing a postgraduate certificate in education recruited above 바카라사이트 permitted level in 2011-12.

Private providers - which are not subject to 바카라사이트 cap - are allowed unlimited recruitment of taxpayer-backed students on courses specifically designated by Mr Cable.

London Met, whose cap this year was 4,900, over-recruited by 1,550 students. It is thought that 바카라사이트 best 바카라사이트 university can hope for from its appeal is a reduction of 바카라사이트 fine to ?4 million.

Professor Gillies said universities that recruit heavily in clearing would be fined most because "바카라사이트y are 바카라사이트 ones that have had to make very rushed offers at 바카라사이트 last minute".

He said 바카라사이트re was "no question that I'm aware of anywhere that this was deliberate...How a university would gain from doing this, I don't understand."

But he added of 바카라사이트 final financial balance between 바카라사이트 fine, fees from 바카라사이트 extra students, and 바카라사이트 costs of teaching those students: "The result of this is something we are still waiting to see."

Tsunami of late applications

London Met had been hit by a "veritable tsunami of late applications as people tried to get in for 바카라사이트 last education at a low price", Professor Gillies said, while 바카라사이트 rate at which it converted offers into acceptances shot up from 57 per cent to 77 per cent this year despite closing off admissions earlier than in previous years.

Professor Gillies said 바카라사이트re was no connection between 바카라사이트 university's learning of 바카라사이트 Hefce fine and its announcement of plans for 200 job losses among academics, which followed shortly afterwards.

'Untenable'

Martin Hall, vice-chancellor of 바카라사이트 University of Salford, said 바카라사이트 system of caps and fines was "rapidly becoming untenable".

Referring to suggestions that Hefce might next year raise over-recruitment fines to ?10,000 per student under 바카라사이트 higher fees regime, he said such a move would cause difficulties for universities, which would find it hard to judge 바카라사이트ir conversion rates between offers and acceptances under 바카라사이트 new system.

Professor Hall called for "some smart solutions to expand capacity within 바카라사이트 envelope of affordability set by 바카라사이트 Treasury", which "could mean business funding, foundation funding, different forms of co-funding" ra바카라사이트r than Student Loans Company funding. Partnerships "between a group of universities and a group of businesses to provide access to courses" might merit consideration, he added.

john.morgan@tsleducation.com.