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<p>All providers are being treated equitably.</p><p> </p><p>We consulted with all
providers, including further education (FE) colleges, twice, on the introduction of
registration fees (from December 2016 until March 2017, and from October 2017 until
December 2017). The Office for Students (OfS) separately consulted on the model for
deciding how student numbers should be determined to inform the fee levels. It published
the outcomes of this consultation in October 2018. Following the consultation processes,
a number of additional bands were added for smaller providers compared with the original
proposal. The costs for a very small provider have decreased from the second phase
of the consultation, where a provider with 0-50 full-time equivalent student numbers,
the lowest band, was proposed to pay £18,200. Providers with full-time equivalent
student numbers of no more than 25 will now pay £12,300, and providers with more than
25 but no more than 50 (full time equivalent) will pay £15,350.</p><p> </p><p>We also
considered the impact of fees more widely and published an impact assessment in March
2019. The impact assessment considered higher education providers – including FE colleges
– taxpayers, the government and students. The impact assessment report stated:</p><p>‘We
have … analysed Education and Skills Funding Agency (ESFA) college accounts data for
120 FE colleges with Higher Education Funding Council for England funded learners,
that have applied to register and found that FE colleges would be paying on average
0.2% of their total income in registration fees. This ranges from 0.05% to 1.3% of
total income but with just one provider paying more than 1%. … these proportions are
very small and highly unlikely to impede competition in the higher education market.’</p><p>
</p><p>We have committed to a full review of registration fees after 2 years, when
the impact of the fees on all providers will be clearer.</p><p> </p><p>I meet regularly
with the Chair and officials from the OfS to discuss a wide range of issues, including
the financial health of all parts of the higher education sector, which is kept under
constant review by the OfS.</p>
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