The Education (Student Support for Postgraduate and Lifelong Learning Provision) (Amendment) Regulations 2026

5 Insertion of Part 2A (designation of courses taught or delivered by franchised providers)

After regulation 15, insert— Part 2A Designation of courses taught or delivered by franchised providers Interpretation of Part 2A 15A In this Part— “calculation reference period” means, in respect of a course, the service year which begins 36 months before the first day of the implementation year; “designation period” means, in respect of a course, the period of 11 months beginning with 1st September and ending with 31st July, which begins 11 months before the first day of the implementation year; “exempt franchised provider” means an unregistered franchised provider which is— a school, as defined by section 4 of the Education Act 1996, an academy under section 1(10) of the Academies Act 2010, an academy proprietor, as defined by section 122J(1) of the Education and Inspections Act 2006, a federation or federated school, as defined by section 24(2) of the Education Act 2002, an institution within the further education sector, as defined by section 91(3) of the Further and Higher Education Act 1992, a local authority, a mayoral combined authority, as defined by section 107A(8) of the Local Democracy, Economic Development and Construction Act 2009, an integrated care board established under section 14Z25 of the National Health Service Act 2006, an NHS trust established under section 25 of the National Health Service Act 2006, an NHS foundation trust within the meaning of section 30 of the National Health Service Act 2006, a police and crime commissioner established under section 1 of the Police Reform and Social Responsibility Act 2011, a government department, or the armed forces; “implementation year” means, in respect of a course, the service year during which the course start date occurs; “lead provider” means the registered provider on whose behalf a franchised provider provides a course or part of a course. Meaning of “franchised provider”, “franchised student”, “student population”, “unregistered franchised provider”, “below-threshold franchised provider”, “ threshold”, “qualifying franchised provider” and related provision 15B (1) This regulation defines “franchised provider”, “franchised student”, “student population”, “below-threshold franchised provider” and “threshold” for the purposes of this Part, defines “qualifying franchised provider” for the purposes of these Regulations, and makes related provision for the purposes of this Part. (2) A provider is a “franchised provider” in respect of a course if— (a) it delivers or teaches the course, or part of the course, to students who are registered with a registered provider in England, and (b) it does so on behalf of that registered provider. (3) A student is a “franchised student” if— (a) they are registered to study a course with a registered provider in England, and (b) more than 50% of the modules, credits or other unit of their course or total credit value is, or may be, taught or delivered by— (i) a franchised provider, or (ii) multiple franchised providers, where the total percentage of the course which is taught or delivered by, or on behalf of, the franchised providers is more than 50%. (4) For the purposes of paragraph (3)(b), the percentage of a course that is taught or delivered by a provider is calculated as follows— A / B × 100 where— A is the total number of modules, credits or other unit of that course or total credit value which may be taught or delivered by franchised providers to that student, and B is the number of modules, credits or other unit of that course or total credit value which that student would be likely to obtain within the period ordinarily required to complete that course. (5) For the purposes of this regulation, a provider is deemed to teach or deliver a course, or percentage of a course, if that provider carries out teaching or delivery itself or sub-contracts that teaching or delivery to another provider. (6) In respect of a franchised provider, its “student population” means the total number of franchised students that the franchised provider teaches or delivers a course or part of a course to, as published by the OfS from time to time. (7) For the purposes of paragraph (6) and subject to paragraph (8), a franchised provider’s student population includes franchised students— (a) who are studying for a— (i) full-time course; (ii) part-time course; (iii) course which is not eligible for financial support by way of a grant or loan made by the Secretary of State; (iv) publicly funded course; (v) course which is delivered online; (vi) qualification at level 4 or higher; (b) regardless of whether they fall within Schedule 1 to the 2007 Fees and Awards Regulations. (8) For the purposes of paragraph (6), a franchised provider’s student population does not include students who are studying— (a) a course as part of an apprenticeship; (b) for modules or credits only. (9) If a franchised provider is a group undertaking in respect of another franchised provider, those franchised providers are to be treated as one provider for the purposes of calculating the student population. (10) For the purposes of paragraph (9), “group undertaking” has the meaning given by section 1161(5) of the Companies Act 2006. (11) Subject to paragraph (12), a provider is an “unregistered franchised provider” in respect of a course, if it is— (a) a franchised provider in respect of that course, and (b) an unregistered provider. (12) A provider is not an unregistered franchised provider in respect of a course if it is— (a) a college which is a constituent of a university or institution that is itself a registered provider, or (b) jointly owned by two or more institutions, where— (i) those institutions are themselves registered providers, and (ii) in connection with that course a student may be eligible for a healthcare bursary. (13) An unregistered franchised provider is a “below-threshold franchised provider” if— (a) it is not an exempt franchised provider, and (b) it has a student population of less than the threshold. (14) The “threshold” is such figure as may be published by the Secretary of State at gov.uk, or, if no figure has been published for the purposes of this regulation, 300. (15) A franchised provider is a “qualifying franchised provider” if it is— (a) an exempt franchised provider, (b) a below-threshold franchised provider, or (c) a registered provider. Determination of student population 15C (1) During each designation period, the Secretary of State must determine the student population of any unregistered franchised provider which is not an exempt franchised provider. (2) The unregistered franchised provider’s student population will be calculated by reference to the student population data published by the OfS for the calculation reference period, subject to paragraph (3). (3) Subject to paragraph (6), where the Secretary of State is unable to calculate an unregistered franchised provider’s student population for the calculation reference period, the Secretary of State must determine the unregistered franchised provider’s student population to be below the threshold. (4) Paragraph (5) applies where an unregistered franchised provider— (a) has a student population below the threshold for the duration of the calculation reference period, or does not have student population data for the calculation reference period, and (b) intends to have a student population which is equal to or more than the threshold for the duration of the implementation year. (5) Where this paragraph applies, that unregistered franchised provider must, as soon as reasonably practicable, notify the Secretary of State of— (a) its intended student population for the implementation year, and (b) whether it intends to become a registered provider for the implementation year. (6) Following a notification under paragraph (5), the unregistered franchised provider’s student population will be determined to be equal to or more than the threshold. Notice of status 15D (1) Following a determination under regulation 15C, the Secretary of State must issue a notice (a “notice of status”) to the unregistered franchised provider. (2) A notice of status must contain— (a) confirmation that the franchised provider is not a registered provider or exempt franchised provider, (b) the Secretary of State’s determination of the unregistered franchised provider’s student population, (c) confirmation of whether the unregistered franchised provider is a below-threshold franchised provider, and (d) the Secretary of State’s determination regarding whether any courses which are delivered or taught by the unregistered franchised provider during the implementation year will be designated for the purposes of section 22 of the 1998 Act. Appeals against notices of status 15E (1) This regulation applies where the Secretary of State has issued a notice of status under regulation 15D. (2) The franchised provider may appeal that notice on the ground that— (a) it reasonably believes that it is, or will be, an exempt franchised provider during the implementation year, or (b) it reasonably believes that it will have a student population below the threshold for the duration of the implementation year. (3) An appeal under this regulation must be made to the Secretary of State in writing before the end of the period of one month beginning with the day on which the notice of status is issued. (4) Where, on receipt of an appeal, the Secretary of State determines that the franchised provider is likely to— (a) be an exempt franchised provider during the implementation year, or (b) have a student population below the threshold for the duration of the implementation year, the Secretary of State may determine that the franchised provider is to be deemed a qualifying franchised provider for the purposes of courses starting during the implementation year and must issue an updated notice of status confirming this determination. Correction year 15F (1) Paragraphs (2) and (3) apply where— (a) the Secretary of State issued a notice of status which— (i) confirms that the unregistered franchised provider was a below-threshold franchised provider, and (ii) gives notice of the Secretary of State’s determination that a course which is taught or delivered by that unregistered franchised provider would be designated for student finance during the implementation year, and (b) that unregistered franchised provider’s student population was equal to or more than the threshold at any time between the beginning of the calculation reference period and the end of the implementation year. (2) The Secretary of State may revoke the designation of any course which— (a) is taught or delivered by that unregistered franchised provider on behalf of any lead provider, and (b) commences at any time during the service year immediately following the Secretary of State issuing a notice under paragraph (3) (“the correction year”). (3) Before revoking the designation of any course under paragraph (2), the Secretary of State must issue a notice to the franchised provider (a “notice of a correction year”) which includes— (a) notification that the Secretary of State intends to revoke the designation of the course, and (b) the correction year that would apply by virtue of paragraph (2). (4) The Secretary of State may disapply a revocation made under paragraph (2) where, having regard to all the circumstances, the Secretary of State considers it appropriate to do so. Appeals against correction years 15G (1) A franchised provider may appeal the Secretary of State’s decision to apply a correction year, where, on the course start date of any designated course during that implementation year, the franchised provider reasonably believed that it would have a student population below the threshold for the duration of the implementation year. (2) An appeal under this regulation must be made to the Secretary of State in writing before the end of the period of one month beginning with the day on which the notice of a correction year is issued. .