Question to the Department for Education:
To ask the Secretary of State for Education, what safeguards her Department operates to prevent the abuse of student loan funding by private Higher Education providers.
Higher Education Institutions that are designated for student support must, on an annual basis, meet robust standards for quality, financial sustainability, and management and governance.
Designated Alternative Providers without their own Degree Awarding Powers are also subject to student number controls, limiting the number of students eligible for student support that they can recruit each year.
The Department can and does use sanctions where breaches of the conditions of designation are identified, including the suspension or removal of designation for student support where we have serious concerns about providers.
Following the passage of the Higher Education and Research Act, the Office for Students (OfS) will be established formally in January 2018. It will provide, for the first time, a single regulator for higher education providers regardless of how they are funded. The OfS will have powers to assess the quality of, and standards applied to all English Higher Education provision.
The OfS will place a focus on students and greater emphasis on ensuring value for money for students and taxpayers. There will continue to be tough and rigorous tests for providers who want to enter the system and enable students from all backgrounds to receive funding.