Consumer Protection Law and
Admissions and Student Recruitment
March 2016
Janet Graham, Director of SPA
What is SPA?
Set up in 2006 following the Schwartz Report Fair Admissions to
Higher Education: Recommendations for Good Practice 2004
“ The Group recommends the creation of a central source of
expertise and advice on admissions issues. Its purpose would
be to act as a resource for institutions who wish to maintain and
enhance excellence in admissions. Such a centre could lead the
continuing development of fair admissions, evaluating and
commissioning research, and spreading best practice.”


UK’s independent, fully-funded and objective voice on fair HE
admissions
What does SPA do?
SPA promotes fair admissions and access to higher education in the UK
by developing and leading on good practice in the recruitment and
selection of students.
 We undertake, evaluate and commission research to enable us to develop
of evidence-based good practice and advice in HE admissions and student
recruitment for HE providers
 Our core funding is from UCAS with additional support from HEFCW. SPA
is independent and objective in the work and support it provides
 We are not auditors, regulators, lawyers, a professional body, charity or
membership organisation
 We are a small team from HE that provide admissions expertise, advice,
resources, events etc. for you, generally free at the point of use.
What is Fair Admissions?
1. be transparent
2. enable institutions to select students who are able to
complete the course as judged by their achievements and
“Equal
opportunity for all
their potential
individuals,
regardless
of that are reliable and
3. strive to use assessment
methods
valid
background,
to gain
4. seek to minimise
admission
to a barriers
courseto applicants
5. be professional in every respect and underpinned by
suited
to
their
ability
and
appropriate institutional structures and processes
aspirations.”
What is Fair Admissions?
QAA Quality Code Chapter B2 Expectation:
“Recruitment, selection and admission policies and
procedures adhere to the principles of fair admission. They are
“Equal opportunity for all
transparent, reliable, valid, inclusive and underpinned by
individuals,
regardless
of
appropriate organisational structures and processes. They
background,
to gain
support
higher education
providers in the selection of students
admission
to a course
who
are able to complete
their programme.”
suited to their ability and
QAA Quality Code Part C Expectation:
aspirations.”
“Higher
education providers produce information for their
intended audiences about the learning opportunities they offer
that is fit for purpose, accessible and trustworthy.”
Applicant Experience Strategy Map
Aspirationraising and
outreach
Admissions
Student
experience
and success
The CMA view
The CMA advice for HEPs (March 2015)
focused on compliance with the following
consumer protection legislation:
 Consumer Protection from Unfair Trading
Regulations 2008 (CPR)
 Consumer Contracts (Information,
Cancellation and Additional Charges)
Regulations 2013 (CCR)
 Unfair Terms in Consumer Contracts
Regulations 1999 (UTCCR)
Plus from October 2015 Consumer Rights Act
© CMA
This is existing law
Consumer protection law : Why now?
 Consumer Protection Law is more important now because
 A greater proportion of HE providers’ funding is coming directly
from students, particularly in England

students are in a weak consumer position because for most
students deciding what and where to study will be a ‘one-off’
decision.
 HE providers are ‘traders’ and applicants/students are ‘consumers’
for the purposes of the legislation.
 Consumer legal framework applies to universities, independent
providers, specialist institutions and further education colleges.
 It’s about good practice, hence SPA’s interest in raising awareness
The CMA view
 Consumer law sets out minimum standards that apply to
various aspects of an HE provider’s dealings with applicants/
students to help ensure students:
o get the information they need to make informed choices about
what and where to study
o are treated fairly during their studies
o are equipped to resolve problems if things go wrong
 HE providers who do not meet their obligations may be in breach
of consumer law and risk enforcement action
 Students/applicants can take independent legal action
CMA’s enforcement powers
Civil or
criminal action
Penalties
Undertakings
Warnings
Dialogue
Est means/ Compliance partners
Information, advice and education
Consumer Protection Regulations (CPRs)
The CPRs cover ‘invitations to purchase’, most of which
relates to what is referred to as ‘THE MATERIAL
INFORMATION’ about the goods or services.
Unfair trading that is prohibited
 advertising goods that don't exist
 omitting material information needed for an informed decision
 providing material information in an obscure or untimely
manner
 aggressive sales tactics
 not following up a commitment to a code of practice
Consumer Contracts Regulations (CCRs)
The CCRs cover the contract itself, most of which relates to
what is referred to as ‘THE PRE-CONTRACT INFORMATION’.
Information requirements
 a description of the goods or service, including how long any
commitment will last
 the total price of the goods or service
 details of any right to cancel - including a cancellation form
 information about the seller
Cancelling
 Right to cancel up to 14 days from day you receive your goods.
Unfair Terms Regulations (UTCCRs)
The UTCCRs cover the requirements of fairness in contract
terms.
Requirements
 No significant imbalance in the parties’ rights and obligations to
the detriment of the consumer
 Made in ‘good faith’
 Expressed in plain, intelligible language.
Information - student research and application
HE providers must give prospective students the pre-contract
material information they need to make an informed decision
before they apply, including:
 course content, structure and how it will be delivered
 total course costs (including any extra costs students are likely to
incur)
 non-course-related information, e.g. accommodation options
 any important and surprising rules and regulations (e.g. course at
college x is validated by university y; plagiarism rules)
 any information that is likely to affect a prospective student’s
decision (e.g. minimum cohort numbers; courses subject to validation/
accreditation; changes to the material information; use of disclaimers…)
Information - student research and application
Information must be
o accurate, complete, clear, unambiguous, up front, timely and
accessible, e.g. website, prospectus, open days
o This applies whoever provides the information on behalf of the
HEP and whether it is written, visual or spoken.
 The person providing it could be paid or unpaid e.g. student
volunteer/ ambassador
 It must be easily accessible before the applicant applies, i.e. not
behind an applicant portal
 HE providers must provide information about how to complain
Information – examples of breaching obligations
Not providing information and/or not providing it at the right time
 information is difficult to find and access e.g. it is on a website
that is hard to navigate or held in a number of different places
 failing to provide information about extra course costs up front
 failing to make clear that certain modules must be completed for
the award to be accredited
 only making important information available to prospective
students after they have applied
 failing to make prospective students aware at the earliest
opportunity of changes to information contained in a prospectus
Website Information Provision
‘Which? Report’
Higher education: Audit of providers’ website information
provision. Which? Investigation report 23 October 2015
 ‘Which?’ looked at a sample of 50 HEPs in September 2015
 76% failed to provide at least one piece of material information.
 Report did not received good press (in HEPs!) for its lack of
thoroughness and timing - but the Consumers Association has
the right to do this.
 However some emerging best practice and encouraging signs
that HEPs are complying or working towards complying
Application and Offer
Provide the pre-contract information in a ‘durable medium’
 list core modules of the programme
 the duration of the programme/course
 state fees & other costs and/or how these will be calculated and
how increases will be calculated
 specify number and type of contact hours
 draw attention to your full terms and conditions, make these
accessible and flag particularly important terms,
 make clear what could change in the future - if you know some
things might change, make it clear in the pre-contract information
by setting out what could change, when and how
Offer
When an applicant accepts an offer of a place they enter a contract
with the HE provider
HEPs must:
o obtain applicants’ agreement to change anything stated at the
information/ student research and application stage;
o give applicants notice of their 14-day right to cancel.
o all this to be provided in a ‘durable medium’*
 You should manage with care communications with applicants,
by agents and others.
 What if a course is discontinued/ withdrawn before registration?
* See SPA website: Durable medium
Full and fair terms and conditions
These include your general regulations and other regulatory
documents. They must strike a balance between your rights and
obligations and those of students. For example:
• no wide discretion to vary course content or increase fees;
• no limitation on liability for non-performance;
• no blanket assignment of intellectual property rights to the
University/College;
• no academic sanctions for accommodation debts;
• easily located and accessed by students and applicants;
• important or surprising terms highlighted;
• written in plain and intelligible language.
Terms and Conditions




Terms should be easily located and accessible to prospective
students
Important or surprising terms should be specifically brought to
prospective students attention before they accept an offer
Terms should be written in plain and intelligible language
Terms should strike a fair balance between the rights and
obligations of the provider and student
 they should not allow a wide discretion to change important
aspects of the course or fees
•Providers will not be able to enforce terms and conditions
which are found to be unfair – a disclaimer does not make it fair
Complaint handling
 Provide information about separate complaints procedures for
applicants and current students;
 Ensure complaints procedures are fair, easily located, have clear
timescales and are accessible to both applicants and students;
for applicants they must be available before they accept an offer
 Provide clear and accurate information in writing and (where
applicable) verbally. e.g. where a course is in partnership with or
awarded by another HEP be clear where responsibility for
complaints lies;
 Complaints procedures are more likely to comply with consumer
law where they follow any guidelines published by a third party
complaint scheme (OIA for students, but doesn’t cover applicants)
Complaint handling and background information
 ensure that your staff are trained in and follow your complaint
handling procedures and timescales in practice.
See:
 SPA good practice statement on applicant complaints and
appeals, October 2015
 QAA UK Quality Code for Higher Education:

Chapter B2: Recruitment, selection and admission to higher
education, October 2013

Part C: Information about Higher Education Provision
 QAA Cause for concern scheme
Consumer Protection – Risk Analysis
If an HE provider failed to fulfil the terms of a contract and a cohort
of 100 final year undergraduate students sought refunds of their
fees and costs this could be:
Fees for three years: 100 x 3 x £9,000 = £2,700,000
Living costs for 3 x 9 months: 100 x 3 x £10,000 = £3,000,000
Total = £5,700,000
(N.B. This doesn’t include damages for time lost and impact on
future career earnings.)
 Inherent strategic risk: likelihood = likely? impact = moderate?
 Control actions required to reduce likelihood.
Possible Strategic Controls – holistic approach
Managing Change
 Planning ahead e.g. 5 years for UG core curriculum
(from prospectus to final year delivery = 5 years)
 Planning ahead: courses validated before advertise
 Setting and respecting deadlines for change
 Being aware of what might change and why (is it reasonable)
and communicating it well internally and externally
Marketing information
 Raising awareness of corporate responsibility for what is said
about your educational services offering
 Web governance – locating and resourcing a central authority
to remove inaccurate information
Possible New Operational Controls
 Offers to include essential pre-contract information: e.g. modular
content, full statement of fees and charges, contact time etc.
 Reviewing ‘full terms and conditions’ and retaining cohort
versions: e.g. cohort versions of general regulations, date
stamped for start of course
 Providing terms and conditions in ‘durable media’
 Managing expectations of service levels
 Mechanisms to ensure a consistency in approach among your
different departments and faculties as well as the centre;
Possible New Operational Controls
 Being clear about the roles of different marketing channels:
prospectus, course database, departmental web pages
 Cleaning up/ removing old information on the web and ensuring
consistency of information across sources, ‘one version of the truth’
 Management of social media: clarifying the distinction between
individual accounts and institutional accounts.
 Staff awareness - how to engage at every level - understanding
and following the CMA advice and your internal procedures and
practices.
 HEPs are responsible for the actions of their staff, who are acting in
the university’s or college’s name or on its behalf.
Consumer Protection Obligations
A lot if this is not new but each HEP will need to act, you can’t ignore
it: non-compliance could result in enforcement action by the CMA.
How do you ensure :
 You give prospective students the clear, accurate and timely
information
 Your terms and conditions are fair, accurate and accessible
 Your complaint handling process is accessible, clear and fair?
If you aren’t confident,
If you are confident,
o
o
o
What did you do?
How did you plan/agree it?
How are you reviewing it?
o
o
o
What more could you do?
How can you plan/agree it?
How should you review it?
….
thank you,
can we help?