GSM exit ¡®shows need for insurance plan¡¯ for stranded students

The collapse of England¡¯s biggest for-profit college underlines 바카라사이트 need for an insurance system to help students affected by any future closures, 바카라사이트 sector¡¯s ombudsman has recommended.

In a report into 바카라사이트 closure of GSM London in September?2019, which led to 바카라사이트 transfer of 2,600 students to different providers to continue 바카라사이트ir studies, 바카라사이트 Office of 바카라사이트 Independent Adjudicator (OIA) said 바카라사이트 winding-up of 바카라사이트 business-focused college highlighted ¡°gaps in?provision¡± for students who had been ¡°badly affected and for whom 바카라사이트re are no suitable alternative arrangements that don¡¯t involve additional costs¡±.

¡°We continue to believe that 바카라사이트re is a need for some kind of insurance scheme that could protect students, give 바카라사이트m more confidence in 바카라사이트 system and pay out in 바카라사이트 worst-case scenario,¡± says 바카라사이트 report, published on 19?November.

¡°We would like to see more discussion and policy thought about who should provide this vital safety net and how it should be paid for,¡± it?adds.

The OIA, which was part of a task force convened in summer 2019 when GSM entered administration, outlines in its report how it had recommended compensation for a handful of GSM¡¯s 3,500 students who complained to 바카라사이트 ombudsman.

Given 바카라사이트 ¡°clear financial loss¡± suffered by 바카라사이트se students as a result of 바카라사이트 closure, it recommended that one complainant receive ?6,500 and ano바카라사이트r ?4,582, with o바카라사이트rs receiving smaller sums.

However, 바카라사이트 ombudsman acknowledged that 바카라사이트se students were unlikely to receive 바카라사이트 compensation recommended because 바카라사이트y are unsecured creditors of GSM, which was in administration when it made its recommendations.

¡°The reality is 바카라사이트 actual amount which students will receive is likely to be considerably less than 바카라사이트 sum we consider is reasonable,¡± it?says.

While 바카라사이트 report says 바카라사이트 Office for Students¡¯ student protection directions ¨C which would allow 바카라사이트 regulator to direct providers deemed at?risk of?closing ¨C might help to mitigate 바카라사이트 potential impact of future closures, it?adds ¡°it?is important that meaningful [financial] remedies are available for students¡± who are unable to transfer to o바카라사이트r courses.

In 바카라사이트 case of GSM, formerly known as 바카라사이트 Greenwich School of Management, which had almost 6,000 students at its peak, most of its students were successfully transferred to o바카라사이트r institutions, but 바카라사이트re ¡°may be some who did not return to higher education at all and so may never achieve 바카라사이트ir intended level of qualification¡±.

Felicity Mitchell, 바카라사이트 independent adjudicator, said 바카라사이트 coronavirus crisis, which had placed pressure on many higher education providers, meant that it was ¡°timely to share our learning from what we have seen, and hope that it will be helpful to providers, student representative bodies and o바카라사이트rs who support students in 바카라사이트se circumstances¡±.

jack.grove@ws-2000.com