HEFCE Report 00/54

Higher education in further education colleges

Indirectly funded partnerships: codes of practice for franchise and consortia arrangements

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Executive summary

Purpose

1. This document provides codes of practice for the two types of indirectly funded partnership entered into by higher education institutions (HEIs) and further education sector colleges (FECs): franchises and consortia.

Key points

2. The codes of practice set out guidance on the principles that should be reflected in the franchise and consortia agreements that underpin indirectly funded partnerships, together with introductory commentaries on their application. Institutions should reflect the relevant code in any new partnership arrangements that they are establishing.

3. Institutions wishing to establish a consortium for the purpose of distributing HEFCE funding require the agreement of HEFCE so that the funding arrangements can be implemented. Institutions remain free, of course, to establish whatever partnerships they wish for other purposes.

4. Institutions should also use the code of practice on franchising to review existing franchise arrangements.

5. We previously published the code of practice on franchise arrangements in November 1999 (HEFCE 99/63). The principles and guidance contained in that code are reprinted here to bring together in one document the codes of practice for both types of indirectly funded partnership.

6. Our web-site already includes examples of existing franchise agreements to illustrate the variety of good practice that partners have already established (www.hefce.ac.uk under 'Good Practice'). We will add examples of consortium agreements to the site.

Action required

7. Institutions should review existing indirectly funded franchise agreements to see how far they meet the principles of the franchise code. We will undertake a survey of consortia agreements and some franchise agreements in 2001-02.