Written question asked by David Evennett (Conservative) on Monday, 12 October 2009, in the House of Commons. It was due for an answer on Wednesday, 14 October 2009. It was answered by David Lammy (Labour) on Thursday, 15 October 2009 on behalf of the Department for Business, Innovation and Skills.

Higher and Further Education: Buildings

Question: To ask the Minister of State, Department for Business, Innovation and Skills from whom a (a) university and (b) further education college is required to seek permission to sell any of its buildings to a private company for (i) educational use and (ii) non-educational use; and if he will make a statement.

Answer: Higher education institutions in receipt of funding from the Higher Education Funding Council for England (HEFCE) are not required to seek the permission of the council before the disposal of assets, including land or buildings regardless of their current or future use. In its financial memorandum with HEFCE each institution is required to operate an estates strategy which keeps under review their current and future assets requirement, and identifies opportunities for rationalisation where appropriate.The Further and Higher Education Act 1992 provides that further education colleges may acquire and dispose of land and other property but the Act does not require a corporation to seek permission before doing so. However, in its financial agreement with colleges, the Learning and Skills Council does require a college to obtain its consent for capital transactions, where the total cost or proceeds exceed £1.5 million or 5 per cent. of the college's annual revenue (whichever is the lesser). The use of a building after sale does not affect this requirement.

Secondary information