MSPs want Scottish Government to publish university legislation analysis

A Holyrood committee has called on the Scottish Government to publish its ``full analysis'' on the potential impact of new legislation on universities'charity status.

Published 17th Dec 2015

A Holyrood committee has called on the Scottish Government to publish its full analysis'' on the potential impact of new legislation on universities' charity status.

Universities Scotland says the Higher Education Bill increases the risk of reclassification of universities by the Office for National Statistics (ONS), putting their charitable status in doubt and potentially damaging philanthropic and entrepreneurial income streams.

Education Secretary Angela Constance has said while she is confident the legislation complies with ONS guidelines, removal or amendment of the relevant sections is now under ''active consideration''.

The Education Committee, which has published its report on the Bill, said reclassification would cause very significant harm''.

It has called for all reasonable measures'' to be taken to minimise any risk of reclassification and agreed the Government should publish the full analysis it has undertaken on the issue.

The legislation is aimed at creating greater transparency and openness in higher education governance.

It includes a requirement for university chairs to be appointed in line with an agreed, consistent process, with ministers planning on using this to introduce elections for these positions.

The Bill, if passed, would also make sure staff, students and trade unions are all represented on university governing bodies and would strengthen the current definition of academic freedom.

But there have been concerns about the impact of the changes on universities' autonomy and the consequences of increased ministerial powers.

The committee called for more detail on how the measures outlined in the Bill would work in practice, including the process for the election of a governing body chair.

It also said the Government must ensure there is no ambiguity about the roles of elected chairs and elected rectors, and ensure both figures are able to work together for the good of the institution''.

The Government should set out the intended benefits it expects to derive from assuming a power on the remuneration of governing body chairs,'' the report said.

It should also explain how it would intend to use the power.''

Convener Stewart Maxwell said: The majority of the committee supported the Scottish Government's view that the Bill will strengthen higher education governance.

We have called on the Scottish Government to provide more detailed information on a range of issues, so that all members can be as well informed as possible in advance of the parliamentary debate on the Bill.

For example, it is essential that clarity be provided on the role of rector, a long-standing position within Scotland's ancient universities.

The Bill also proposes to introduce elections for governing body chairs and to include trade union members on governing bodies.

We support measures that could potentially increase the number of candidates for the post of chair and also agree that a diverse group of people should be included on the governing body.

Our committee also welcomes the Scottish Government's commitment to amend or remove certain provisions in the Bill, which we consider will reassure those universities concerned about the possible reclassification of the sector.''

Two committee members, Conservative Mary Scanlon and Liberal Democrat Liam McArthur, did not agree with the recommendation that the Bill's general principles should be agreed to.

A Scottish Government spokesman said: We welcome the committee's support for the Bill's key principles.

We are clear that Scotland's universities are autonomous bodies. We want to enable universities and other higher education institutions to embrace more modern, transparent and inclusive approaches to governance, something that has strong support, including among students and staff.

As the Parliament continues to consider the Bill, we continue to listen to the views of all stakeholders, review the evidence gathered by the (education and culture) committee, and consider any amendments required that can assist in making the Bill as effective as possible in delivering positive change.''