11 Rejected

As a first step to improve governance, the Government should work with the higher education...

Recommendation
As a first step to improve governance, the Government should work with the higher education sector to implement Sir Philip Augar’s proposal to defer some of the financial pay of senior leadership until their term of office is over, as has occurred in the financial services sector. We may also return to this subject later in the Parliament to ensure that the quality of governance is improving. (Recommendation, Paragraph 87)
Government Response Summary
The government rejects the recommendation to implement deferred pay for senior leadership, stating that the Office for Students already requires robust governance and acknowledges appropriate remuneration should reflect responsibilities and accountability.
Government Response
Rejected
HM Government Rejected
REJECT The Office for Students, as the independent regulator in England, requires providers to demonstrate robust governance and management arrangements under Condition E2, including the ability to identify and manage financial risks. The Government recognises that senior leadership remuneration should reflect the scale and complexity of responsibilities, while ensuring appropriate accountability and a focus on long-term outcomes for students and wider stakeholders.
Addressee Bodies
Department for Education
Timeline
Recommendation age 0.2 yrs
Report published 12 May 2026