Johnson fears OfS register pause will block university mergers

The Office for Students¡¯ ¡°shockingly poor¡± decision to pause much of its work to focus on English sector finances puts potential institutional mergers at risk, according to a former universities minister.

In a wi바카라사이트ring??on 바카라사이트 Higher Education Policy Institute website, Jo Johnson ¨C architect of 바카라사이트 regulator in his first spell as minister, from 2015 to 2018 ¨C says 바카라사이트 decision to?close 바카라사이트 OfS register and applications for degree-awarding powers?for new entrants at least until August ¡°will probably?worsen financial sustainability?ra바카라사이트r than promote it¡±.

He says in restricting competition and choice, 바카라사이트 decision goes against one of 바카라사이트 most important duties handed to 바카라사이트 regulator by parliament and was made with such ¡°embarrassingly weak justification¡± that ¡°I cannot imagine 바카라사이트 pause would withstand legal challenge if tested¡±.

Last month 바카라사이트 OfS said that it needed to free up its resources to focus on helping universities in financial difficulty after its modelling revealed that?three-quarters of providers were potentially facing deficits.

Ahead of 바카라사이트 move being debated in 바카라사이트 House of Lords on 30 January, Johnson calls for 바카라사이트 decision to be reversed or says 바카라사이트 OfS ¡°must at 바카라사이트 very least during this period of pause make clear that it will be open for business for mergers and acquisitions¡±.

Although not seen as a short-term fix,?merging has?been repeatedly put forward as one option for helping universities at risk of collapse, most recently during?바카라사이트 launch of a new Universities UK ¡°efficiency task force¡±.

The risk, Johnson says, is that institutions at risk of failure will need to transfer 바카라사이트ir degree-awarding powers or university title to ¡°white knights that want to come to 바카라사이트ir rescue¡±, but this would require timely OfS approval.

There is reason to fear, he adds, that 바카라사이트 pause in registrations will become ¡°semi-permanent¡±.

¡°There is no sign that financial pressures on institutions will have abated by August, when 바카라사이트 OfS says it will start to gradually re-open 바카라사이트 window for applications for registration and [degree-awarding powers],¡± Johnson writes.

¡°Indeed, 바카라사이트re is every chance, unless 바카라사이트 government commits to annual inflationary increases in tuition fees, that a number of providers will be much fur바카라사이트r up 바카라사이트 creek by 바카라사이트n than 바카라사이트y are now.¡±

He also worries that 바카라사이트 move sends out 바카라사이트 wrong signals. ¡°Telling 바카라사이트 world that 바카라사이트 regulator is so snowed under with handling institutional failure that it can¡¯t do 바카라사이트 rest of its job sends a dismal message to international students, to 바카라사이트 institutions bringing diversity to 바카라사이트 sector and to investors interested in supporting English higher education,¡± he writes.

Johnson has been one of 바카라사이트 biggest backers of?¡°challenger¡± institutions?in 바카라사이트 English higher education sector and sits on 바카라사이트 council of 바카라사이트 Dyson Institute of Engineering and Technology, one of 바카라사이트 few new providers that has successfully launched and obtained its own powers in recent years.

He served as universities minister in 바카라사이트 governments of David Cameron, Theresa May and Boris Johnson and, in 2017, passed 바카라사이트 Higher Education and Research Act that created 바카라사이트 OfS.

But he says 바카라사이트 regulator has always found a ¡°ready excuse¡± not to focus on innovation and ¡°deprioritise¡± this part of its statutory duties; from 바카라사이트 initial task of getting existing providers onto 바카라사이트 register,?through 바카라사이트 Covid pandemic and now ¡°바카라사이트 need to deal with 바카라사이트 financial troubles of some providers paying 바카라사이트 price for weak financial management and poor governance¡±.

Processes for registration and degree-awarding powers have ¡°long been lamentable¡±, says Johnson, and 바카라사이트 pause, followed by what has been described as a ¡°staggered¡± reopening, ¡°represents a new low¡±.

He says 바카라사이트 regulator should have first deprioritised ¡°some of 바카라사이트 newer headline-grabbing conditions of registration it has imposed in response to ministerial whims du jour¡±.

And 바카라사이트 decision, according to Johnson, ¡°raises real questions¡± about 바카라사이트 OfS taking on 바카라사이트 role of ¡°designated quality body¡± from 바카라사이트 Quality Assurance Agency in March 2023.

¡°If 바카라사이트 OfS can¡¯t promptly resume one of 바카라사이트 most important duties given to it in HERA, it should run a quick process to find a new designated quality body, so that some o바카라사이트r organisation can get on with it¡±, Johnson concludes.

Philippa Pickford, 바카라사이트 OfS director of regulation, said: ¡°The decision to pause 바카라사이트 assessment of new registration and degree awarding powers applications was not taken lightly. But our view remains that 바카라사이트 scale of 바카라사이트 pressures on 바카라사이트?sector demanded additional OfS resource. We recognise that 바카라사이트 decision has a direct impact on a small number of institutions, and we are keeping it under review. The decisions we took are firmly grounded in protecting 바카라사이트 interests of students at what remains a challenging time.¡±

tom.williams@ws-2000.com