Higher Education and the Economy

My Lords, like other Members, I begin by declaring an interest. I am chancellor of Staffordshire University and a recently retired member of the board of London South Bank University. Although it is not relevant to this debate,I am also the chancellor of the University of Technology in Jamaica. This debate provides the opportunity for your Lordships’ House to consider the new and changing role of higher education institutions. In addition toits traditional role of knowledge transfer, today the sector is very much engaged in regeneration, as the noble Baroness, Lady Blackstone, reminded us. It is also building social capital while rolling back the frontiers of knowledge in new fields, including climate change. In the changing world of work and society, the values of higher education institutions are firmly grounded in their communities, training students to be work-ready, while building economic and social partnerships. I offer two brief examples. At Staffordshire University, we are housed on three campuses, one of which is Stoke-on-Trent. Once an important industrial and creative centre, the town now struggles to create jobs. Although it is not inthe premier league of innovative investment, the university, in collaboration with Stoke-on-Trent College and the sixth-form college, is building a university quarter that will see the regeneration of a large part of Stoke around the once-thriving potteries industry. That project is not being undertaken in a vacuum, but in full partnership with the community, which is consulted at every step. The project is a good example of public and private sectors working in partnership to build social capital. London South Bank University has establishedthe London Knowledge Innovation Centre, a joint venture with the business enterprise agency for Southwark. The centre provides incubation space, business advice and support to assist aspiring entrepreneurs to turn their innovative ideas into thriving businesses. As we have heard today, many more exciting projects are being undertaken by the higher education institutions sector, contributing billions to the UK economy. Those are only a few of many common examples of economic impact. I support the call for investment and the call from the noble Lord, Lord Norton of Louth, for a lighter touch. I hope that the Minister can assure us that bureaucracy will not strangle the creativity and innovation spoken of in today’s debate. Our higher education institutions recognise that their community is now worldwide. They are reaching out to build relationships throughout the world through positive recruitment. Many higher education institutions have adopted Ghandi’s philosophy of thinking globally but acting locally. They are also building social capital.