OFT gives English HE a 2i (just)

A decent result for HE in England?

A previous post noted the launch of an OFT investigation into competition in the HE sector in England. After gathering much information the OFT has now published a report which, broadly (and perhaps grudgingly), says things are working well:

Overall, our analysis of the higher education sector in England highlights that it is, in many respects, performing to very high standards and enjoys an excellent reputation at the national and international level.

It is also clear that there is no evidence of collusion on fee-setting.

There is a caveat though, and quite a big one

However, we have identified a number of challenges that need to be addressed if the sector is to fulfill its potential to deliver to the benefit of students and the wider society, especially in light of the increased role of competition between higher education institutions (including internationally) and choice by students. In doing so, there is a role for the CMA to play, working with and through stakeholders to address these challenges in a timely and effective manner.

Some of these challenges include:

  • students not being given some key information, such as their teaching staff’s experience or long-term employment prospects, to enable them to choose the most appropriate course and institution
  • some policies and practices by universities, such as changes to elements of the course and/or fees, or not providing all the relevant information about their course, that could put students at a disadvantage and might, in some cases, breach consumer protection legislation
  • while the complaints process has improved, it could be quicker and more accessible

index

Fair enough, we can look at all that. But perhaps the biggest issue in the report is this:

the sector’s regulatory regime is overly complex and does not reflect the increased role of student choice and the wider range of higher education institutions. In particular, there are concerns about the existence of a ‘level playing field’, the role of self-regulation, and the lack of arrangements should a university or course close.

On the basis of these findings, the OFT recommends that its successor body, the Competition and Markets Authority (CMA), undertakes further work to assess the extent to which the practices identified may affect students, clarifies the responsibilities of universities under consumer protection law and identifies the best way to address these issues.

It also advises that the CMA should work with, and through, stakeholders to inform the design of a regulatory regime which can better contribute to maximising the potential benefits of choice and competition.

In other words the new CMA, OFY’s successor, is being lined up to play a part in helping address regulation in HE. Just splendid. Our ‘level playing field’, which is far from level nor a playing field nor with pitch markings accepted by most participants in the regulatory game is already more of a mud bath and the arrival of the CMA is, I fear, unlikely to assist.

However, that moan aside, this is on the whole an outcome which could have been much worse and confirms that, as many of us would have said at the beginning of the process, there’s nothing to see here.

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