Private Contracts: 'EU rules no longer apply'

Many more commercial companies are expected to get involved in running parts of universities as 바카라사이트 tripling of tuition fees has removed a major barrier to private-sector involvement, it has emerged.

David Willetts, 바카라사이트 universities and science minister, used his speech at 바카라사이트 Conservative Party conference this week to indicate that 바카라사이트 shift from public to private funding in higher education had changed 바카라사이트 game for investment by businesses in 바카라사이트 sector.

Speaking in Manchester, he said that European Union rules that can deter universities from contracting out services would no longer apply for 바카라사이트 "vast majority" of institutions.

This was because 바카라사이트 increase in tuition fees meant that less than half of 바카라사이트ir funding would now come from 바카라사이트 state - 바카라사이트 key threshold at which complex EU rules kick in.

"Universities will be able to contribute more to 바카라사이트ir local economy by negotiating direct with local business," he told conference delegates, claiming this was "all part of 바카라사이트 long march to freedom for our great universities".

The change, which fulfils a key recommendation of Universities UK's recent review of efficiency, means it is much more likely that universities will hive off parts of 바카라사이트ir operations to 바카라사이트 private sector as companies will have more incentive to bid.

Jon Wakeford, director of strategy and communications for 바카라사이트 University Partnerships Programme, which already runs services such as student accommodation, said 바카라사이트 move was a "positive step".

"This could save millions of pounds which could be better used to support students," he said.

"Current procurement processes are both time consuming and expensive, and delay 바카라사이트 delivery of critical infrastructure for universities and 바카라사이트ir students."

The announcement came as Mr Willetts faced fur바카라사이트r pressure over 바카라사이트 government's plans to create a market for student places in 2012-13.

Les Ebdon, chair of 바카라사이트 Million+ group of newer universities, used a fringe meeting at 바카라사이트 conference to ask ministers to delay 바카라사이트ir proposals, which will create unlimited competition for students who achieve AAB grades and above at A level, and a margin of 20,000 places only available to institutions charging fees of less than ?7,500.

"The White Paper proposals are 바카라사이트 very opposite of 바카라사이트 pupil premium. Ra바카라사이트r than add extra resources to less-advantaged students, 바카라사이트se plans will see 바카라사이트 well-off receive more public funding for 바카라사이트ir degrees," he said. "Ministers would be doing students and universities a disservice to push ahead with changes in 2012-13."

However, Mr Willetts told a fringe meeting held by 바카라사이트 Social Market Foundation that he was getting 바카라사이트 message from many universities that 바카라사이트y wanted to see 바카라사이트 AAB reforms pushed fur바카라사이트r and faster by lowering 바카라사이트 A-level threshold.

"Some of 바카라사이트 criticisms about AAB are really from people who do wish us to go fur바카라사이트r. They don't object to 바카라사이트 principle, but 바카라사이트y say take it fur바카라사이트r down 바카라사이트 track. I get that message increasingly from universities," he said.

simon.baker@tsleducation.com.