Higher Education and Research Act 2017

Higher Education and Research Act 2017
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Short title	Higher Education and Research Act 2017
Long title	An Act to make provision about higher education and research; to make provision about alternative payments to students in higher or further education; and for connected purposes.
Statute book chapter	2017 c. 29
Introduced by	Jo Johnson
Territorial extent	United Kingdom
Royal assent	27 April 2017
Commencement	Various dates
Related legislation	Further and Higher Education Act 1992, Education Reform Act 1988
Status	Current

Higher Education and Research Act 2017 is a major piece of legislation that fundamentally restructured the oversight of higher education and the funding of research and development in the United Kingdom. Enacted under the Second May ministry, the law introduced a new regulatory framework for universities and created a unified body for public investment in science and innovation. Its passage marked the most significant reform to the sector since the Further and Higher Education Act 1992.

Background and context

The legislation was developed against a backdrop of increasing student numbers, marketization of the sector, and a desire to strengthen the UK's global research position. Key drivers included the 2015 Green Paper "Fulfilling Our Potential" and policy debates following the 2010 Browne Review. The government, led by Theresa May, argued that the existing system, involving bodies like the Higher Education Funding Council for England (HEFCE) and seven separate Research Councils, was fragmented. Ministers, including Universities Minister Jo Johnson, sought to increase competition, promote value for money, and better link research funding with national industrial strategy, as outlined in the 2017 Industrial Strategy White Paper.

Key provisions

The Act's core provisions centered on establishing two new non-departmental public bodies and overhauling the entry system for new higher education providers. It dissolved the Higher Education Funding Council for England and transferred its functions, while also merging the seven Research Councils, along with Innovate UK and the research funding function of HEFCE. The law introduced a new "register of English higher education providers" and created powers for the Office for Students to grant degree-awarding powers and university title. It also placed a duty on the new research body to deliver a national research strategy.

Establishment of the Office for Students

The Act established the Office for Students (OfS) as the primary regulator for all higher education providers in England. The OfS, operational from April 2018, replaced HEFCE and the Office for Fair Access (OFFA). Its statutory duties include promoting quality, choice, and opportunity for students, ensuring value for money, and upholding the institutional autonomy of providers like the University of Oxford. The OfS maintains the register of providers, has powers to impose sanctions for breaches of registration conditions, and administers the Teaching Excellence and Student Outcomes Framework (TEF).

Creation of UK Research and Innovation

A central pillar of the Act was the creation of UK Research and Innovation (UKRI), which began operating in April 2018. UKRI brought together the seven disciplinary Research Councils, such as the Engineering and Physical Sciences Research Council and the Medical Research Council, with Innovate UK and the research function of HEFCE. Modelled partly on similar agencies like the National Science Foundation in the United States, UKRI is tasked with distributing over £6 billion annually in research funding, supporting institutions from the University of Cambridge to the Francis Crick Institute, and advising the government on science policy.

Reforms to higher education regulation

The Act introduced a new, risk-based regulatory framework intended to lower barriers to market entry while strengthening student protection. It created a two-tier register for higher education providers, with different requirements for "approved" and "approved (fee cap)" status. The legislation granted the Office for Students new powers to assess the quality and standards of providers, intervene in cases of financial failure, and ensure access and participation for disadvantaged groups. These reforms applied to all providers in England, from established institutions like Imperial College London to new alternative providers.

Legislative process and reception

The bill was introduced in the House of Commons in May 2016 by Jo Johnson and received Royal Assent on 27 April 2017. Its passage through Parliament was contentious, with significant debate in the House of Lords led by figures like Lord Patten of Barnes. Key concerns raised by sector groups, including Universities UK and the Russell Group, focused on institutional autonomy, academic freedom, and the stability of research funding. Supporters, including some within the Conservative Party, argued it would drive innovation and student choice, while critics warned of market instability and bureaucratic burden.