Explanatory note
England and Wales
(This note is not part of the Regulations)
These Regulations are the first ones made under section 70 of the Higher Education and Research Act 2017 (“the Act”). They set out the fees which the Office for Students (“OfS”) may charge institutions for their registration in the register of English higher education providers which is maintained by the OfS under section 3 of the Act.
Regulation 2 sets out the fee for initial registration. For institutions registered before 1st August 2019, when the new regulatory regime under the Act comes fully into force, there is no fee. For institutions registered on or after that date, an initial fee is payable. The initial fee is calculated as a proportion of the annual ongoing fee by reference to the number of months remaining until the next 1st August.
Regulation 3 sets out the fee for ongoing registration for each subsequent period of 12 months beginning on 1st August each year by reference to the table in the Schedule. The amount payable by an institution depends on the number of full time equivalent students on higher education courses at that institution. That number is to be determined and published annually by the OfS in accordance with principles set out in its ‘Calculating student numbers’ consultation response (OfS 2018.48). A copy is available at https://www.officeforstudents.org.uk/publications/calculating-student-numbers-consultation-response/ or from the Office for Students, Nicholson House, Lime Kiln Close, Stoke Gifford, Bristol, BS34 8SR).
Regulation 4 provides for an exemption from fees for institutions with no more than 300 full time equivalent students which qualify as micro-entities by reference to the definition in section 384A of the Companies Act 2006. Regulation 4(4) disapplies section 384B(1)(f) of the Companies Act (which excludes charities from being treated as a micro-entity under that Act) when determining whether an institution qualifies as a micro-entity for this purpose.
Regulations 5 to 7 provide for reduced initial or ongoing fees for ‘new providers’ with no more than 1000 full time equivalent students for up to three years after initial registration. ‘New provider’ is defined in regulation 5(2), broadly covering those institutions which have not previously been regulated by the Higher Education Funding Council for England, the Department for Education or the OfS. The amount of any such reduced fee is calculated as a proportion of the fee which would otherwise be payable under regulation 2 or 3. An increasing proportion of the relevant fee is payable each year. Reduced initial fees are calculated in accordance with regulation 6. Reduced ongoing fees are calculated in accordance with regulation 7. Regulation 7(1) applies where an institution is registered before 1st August 2019 and regulation 7(2) applies where an institution is registered on or after that date.
Regulation 8 gives the OfS a power to waive or refund part or all of any fee.
Regulation 9 requires the OfS to notify institutions when a fee is payable and sets out the matters which must be included in that notice. It also makes provision for an institution to make representations. Notice must also be given if an institution is exempt by virtue of regulation 4.
Regulation 10 provides for payment by instalments with the approval of the OfS.
Regulation 11 makes provision for interest and civil recovery if fees are not paid on time.
A full impact assessment of the effect that this instrument will have on the costs of business, the voluntary sector and the public sector is available from the Department of Education, Sanctuary Buildings, 20 Great Smith Street, London, SW1P 3BT and is published with an Explanatory Memorandum alongside the instrument on www.legislation.gov.uk.