12
Acknowledged
We welcome the Government’s moves to introduce mandatory regulation of franchise providers with 300 or...
Conclusion
We welcome the Government’s moves to introduce mandatory regulation of franchise providers with 300 or more students and the availability of better data. There remains a major risk for some HE institutions that have become heavily dependent on franchisees that their withdrawal from providing courses could have a shock effect on the institution’s finances. (Conclusion, Paragraph 92)
Government Response Summary
The government recognizes the Committee’s concerns regarding financial risks from franchising arrangements and welcomes the acknowledgment of steps already taken, but does not commit to new specific actions to address the *remaining* risk.
Government Response
Acknowledged
Government Response
Acknowledged
HM Government
Acknowledged
PARTIALLY ACCEPT The Government recognises the Committee’s concerns regarding the potential financial risks associated with reliance on franchising arrangements, particularly where changes to these relationships could have a material impact on an institution’s financial position. We welcome the Committee’s acknowledgement of the steps already taken to strengthen oversight in this area, including the introduction of mandatory regulation for larger franchise delivery arrangements and improved data collection.
Source
Committee
Education Committee
Report
9th Report - Higher Education and Funding: Threat of Insolvency and International Students
12 May 2026
HC 807
Addressee Bodies
Department for Education
Timeline
Recommendation age
0.2 yrs
Report published
12 May 2026