Space Industry Bill [Lords]

Debate between Lord Johnson of Marylebone and John Howell

2nd reading: House of Commons
Monday 15th January 2018 Commons Chamber

[Joseph Johnson]

My hon. Friend raises an extremely important point that was the subject of considerable discussion when the Bill was in the other place, and we will return to it in detail in Committee. For the time being, I can say that we recognise that launch from the UK is an important new activity, and, given the risks involved, further work needs to be carried out on the appropriateness of capping either liability to Government or to third parties in prescribed circumstances. State aid issues must also be considered in relation to any such cap that we might want to introduce. However, we plan to announce a call for evidence on all issues relating to insurance and liabilities early this year following the Bill’s Royal Assent.

[John Howell (Henley) (Con)]

Does the Minister share my view that companies such as Reaction Engines, which is based in my constituency, hold the future for space vehicles that can be used over and over again?

[Joseph Johnson]

Indeed. Reaction Engines is a great example of the kind of British company that is well placed to take advantage of all the opportunities that the Bill will enable. We have been supporting Reaction Engines and its SABRE technology through Innovate UK and the Department for Business, Energy and Industrial Strategy, and, from memory, I believe that it has received around £55 million over recent years. We want it to be a great success, and have every confidence that it will be.

British-based scientists will benefit through increased access to microgravity and investment in institutional capability in launch, spaceflight and related sciences, attracting world-class scientists to the UK. Young people seeking careers in science, technology, engineering and maths will gain new opportunities and greater inspiration from an expanding UK space sector. The UK as a whole will benefit from access to a strategic small-satellite launch capability, contributing to our understanding of the world, the provision of public and commercial services, the delivery of national security and new opportunities for investment and export.

Student Loans Company

Debate between Lord Johnson of Marylebone and John Howell

Monday 20th November 2017 Commons Chamber

[Joseph Johnson]

I am not sure that we need lessons from Scotland on our higher education policies. Over successive Administrations in this country, those policies have resulted in levels of access for people from disadvantaged backgrounds that should frankly be the envy of Scottish National party Members rather than a source of criticism. The hon. Lady asked about the work that SLC staff do from its location in Glasgow, and of course that is valued. We support everything they are doing to ensure that the SLC continues to perform at the level that we all want it to, as an important agency of the Department for Education. As I have said, it is now in its sixth consecutive year of improvement in all its operational metrics, and we want that to continue. I am sure that Glasgow will play its part in that.

[John Howell (Henley) (Con)]

Would the Minister like to explain what role the Office for Students will play in this, and how it will help?

[Joseph Johnson]

The new Office for Students comes into existence progressively from 1 January 2018, with its full operational existence commencing in April 2018. The Student Loans Company has its own statutory existence, independent of the Office for Students, and it will continue to carry out its vital function of ensuring that the loans we make available to remove barriers to access to higher education continue to be made available seamlessly to the students who are in need of them.

Higher Education and Research Bill

Debate between Lord Johnson of Marylebone and John Howell

3rd reading: House of Commons & Legislative Grand Committee: House of Commons & Report stage: House of Commons
Monday 21st November 2016 Commons Chamber

[Joseph Johnson]

New clause 1 relates to the Office for Students, which is central to the Bill and has quality, student choice, equality of opportunity and value for money at its core. Through the creation of the independent OFS, the Bill will join up the currently fragmented regulation of the sector—essential to ensure that students are protected, and that students and the taxpayer receive good value for money from the system. The Bill will boost social mobility and promote opportunity for all. It will drive up innovation, diversity, quality and capacity in our world-class higher education sector, while protecting academic freedom and institutional autonomy. The Bill will also create UK Research and Innovation, a new body with strategic vision for research and innovation in the UK.

I am pleased that the Bill received such thorough scrutiny in Committee. I have reflected on the points made by Opposition Members and I am pleased to present some important amendments today. We made it clear in our White Paper that the OFS will have responsibility for oversight of the financial health of the sector, and will monitor the sustainability of individual institutions. It is absolutely essential that all providers who are eligible to receive some form of public funding have sustainable finances to ensure value for students and taxpayers.

We have listened to stakeholder evidence and to the Committee debates. Stakeholders including Universities UK consider the Higher Education Funding Council for England’s holistic oversight of the health of the sector to be an essential part of the regulator’s role. I understand the importance of this oversight in maintaining confidence in the sector and preserving its world-class reputation. The stakeholders share the desire to make our policy intention in the White Paper explicit in legislation. This role will include financial oversight of all the institutions’ activities, spanning teaching and research.

[John Howell (Henley) (Con)]

I understand the need for monitoring the financial sustainability of organisations, but the new clause does not say what actions will result if some of them are found to be financially unsustainable. Would my hon. Friend comment on that?

[Joseph Johnson]

The duty of the Office for Students will be to ensure that it is monitoring effectively the overall financial health of the sector in such a way that it is able to inform the Secretary of State, so that the Government can take appropriate actions. It will not be the role of the Office for Students to bail out struggling institutions—if there are any such institutions. These are private and autonomous bodies, and it is important that the discipline of the marketplace acts on them. It will be the role of the OFS to assist them in transitioning towards viable business plans so that they can continue to provide high-quality education to their students in the medium and long term.

New clause 1 introduces a statutory duty for the OFS to monitor and report on the financial sustainability of all registered HE providers in England which are in receipt of or eligible for OFS funding or tuition fee loans.