Monitoring and compliance
We need to be confident that the providers we fund are being run as efficiently and effectively as possible to safeguard public funds, and to be assured they are in the best position to secure their long-term sustainability.
Governance in higher education institutions
The responsibilities of the Governing Body are set out in the Financial Management Code (HEFCW circular W17/16HE) and the annual Terms and Conditions of Funding.
Further education institutions with an approved Fee and Access Plan for their higher education provision are also covered by the Financial Management Code.
Governance in further education institutions
The responsibilities of the Governing Body are set out in the Financial Memorandum and in the Terms and Conditions of Funding.
Colegau Cymru Code of Good Governance for Colleges in WalesReview of the governance arrangements of higher education institutions
In 2019, the Higher Education Funding Council for Wales funded Universities Wales to commission a report on the governance arrangements of higher education institutions.
The report helped governors to operate at the leading edge of good corporate governance, in terms of both compliance and boardroom culture.
The report was accompanied by a Charter, which sets out the actions for change to further enhance existing governance arrangements.
Information Toolkit for Governors
The Higher Education Funding Council for Wales developed an information toolkit for governors at higher education providers.
Medr’s institutional assurance team is keen to receive suggestions from governing bodies about what to include in the toolkit as we progress with its development.
If you would like more specific information about your institution, please get in touch with your own planning team.
Information Toolkit for GovernorsWe ensure a number of guidance documents and frameworks are in place to provide assurance that higher education institutions continue to work towards being in the best strategic and sustainable position possible.
These documents, inherited from the Higher Education Funding Council for Wales (HEFCW), remain applicable until Medr can develop its own processes and guidance.
Institutional risk reviews at regulated institutions
Medr’s risk assessment system covers all higher education institutions and further education institutions with an approved fee and access plan. This is a bi-annual process that draws on the information routinely collected, and allows us to closely monitor areas in the higher education providers, including:
- strategic direction
- finances
- governance and management
- students and quality
- research and knowledge transfer, and
- estates
Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024. Accordingly, HEFCW’s most recent guidance currently applies.
The finances of higher education institutions
Each university must have robust systems for managing and controlling its finances, and must send its audited accounts to us annually. The accounts should be prepared in accordance with the Statement of Recommended Practice: Accounting for Further and Higher Education (SORP).
In addition, in line with the Financial Management Code, we issue an Annual Accounts Direction (HEFCW circular W24/08HE)detailing any additional information we want universities to disclose in their accounts.
We monitor the financial health of universities in order to ensure that public funds and publicly funded assets are not being put at risk. We do this in part through our review of the annual accounts, but we also require universities to submit five-year financial forecasts to us. The detailed requirements are set out in our annual request for forecasts (HEFCW circular W24/09HE).
The Transparent Approach to Costing (TRAC) is the standard way to cost the main activities of higher education institutions. It fulfils a number of purposes, including supporting the accountability of institutions for the public funding they receive.
Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024. Accordingly, HEFCW’s most recent guidance currently applies.
Terms and Conditions for higher education funding
The Terms and Conditions of Funding document sets out the terms and conditions which higher education institutions, and further education institutions in receipt of higher education funding, must abide by for receiving payment of Medr grant.
The Terms and Conditions of Funding operates in parallel with the Financial Management Code, and higher education institutions, and further education institutions in receipt of higher education funding, must also comply with the requirements set out in the Financial Management Code.
Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024. Accordingly, HEFCW’s most recent guidance currently applies.
Financial Code for regulated institutions
The Financial Management Code relates to the organisation and management of the financial affairs of regulated higher education institutions, and further education colleges with an approved Fee and Access Plan.
We monitor compliance with the Code and intervene should a regulated institution fail to comply with the Code.
This ensures that regulated institutions are well run, have effective financial management arrangements and are sustainable for the future.
This protects the interests of students, safeguards public funds and protects the reputation of higher education.
Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024. Accordingly, HEFCW’s most recent guidance currently applies.
Statement of intervention
The Statement of Intervention describes the range of ways in which we might respond to help higher education institutions, and further education institutions with an approved fee and access plan, resolve difficulties and manage risks.
We might intervene if the interests of students, the reputations of the higher education sector or the wider education sector need to be protected; or to safeguard public spending.
We will be required to intervene when an institution has failed, despite reasonable time and support, to satisfactorily address serious issues, or where an issue is sufficiently serious that more immediate action must be taken.
As this was administered by the Higher Education Funding Council for Wales (HEFCW) until 31 August 2024, HEFCW’s most recent guidance still applies.
Further education intervention policy
Medr may intervene in the conduct of a further education institution if we are satisfied that any of the following conditions are met.
- that the institution’s affairs have been or are being mismanaged by its governing body
- that the institution’s governing body has failed to discharge certain duties
- that the institution’s governing body has acted or is proposing to act unreasonably with respect to the exercise of certain powers
- that the institution is performing significantly less well than reasonably expected, or is failing or likely to fail to give an acceptable standard of education or training.
Prevent duty guidance for tertiary education providers
Relevant higher education bodies (RHEBs) and Medr-funded further education institutions must have due regard to the need to prevent people from being drawn into terrorism. This is known as the Prevent Duty.
Medr has responsibility for monitoring compliance of the Prevent duty for relevant higher education providers in Wales, while Estyn monitors compliance for further education institutions, schools and apprenticeship providers.
Prevent duty guidance for further education institutions
Estyn’s supplementary guidance on inspecting safeguarding arrangements
Complaints about regulated institutions
Medr may become involved in issues with regulated institutions in the following areas:
- Charging excess full-time undergraduate fees
- Failure, or likelihood of failure, to comply with Fee and Access Plan general requirements
- Education of inadequate quality, or where the quality is likely to become inadequate, and
- Failure to comply with the Financial Management Code
We may also become involved where:
- There are issues in respect of a failure by a funded institution to comply with the Memorandum of Assurance and Accountability (HEFCW circular W15/32HE) or
- A relevant higher education body (a university or other specified HE provider in Wales) has failed to comply with its Prevent duty.
We cannot review any areas that are outside of our remit such as disputes between students or staff and their higher education institutions.
All institutions have their own complaints and appeals procedures, including on matters of academic performance and staff grievances.
As this was administered by the Higher Education Funding Council for Wales (HEFCW) until 31 August 2024, HEFCW’s most recent guidance still applies.
Complaints about other tertiary providers
Medr has a duty to ensure that tertiary education providers have complaints procedures in place and make them known to learners.
Institutional risk reviews at regulated institutions
Medr’s risk assessment system covers all higher education institutions and further education institutions with an approved fee and access plan. This is a bi-annual process that draws on the information routinely collected, and allows us to closely monitor areas in the higher education providers, including:
- strategic direction
- finances
- governance and management
- students and quality
- research and knowledge transfer, and
- estates
Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024. Accordingly, HEFCW’s most recent guidance currently applies.
The finances of higher education institutions
Each university must have robust systems for managing and controlling its finances, and must send its audited accounts to us annually. The accounts should be prepared in accordance with the Statement of Recommended Practice: Accounting for Further and Higher Education (SORP).
In addition, in line with the Financial Management Code, we issue an Annual Accounts Direction (HEFCW circular W24/08HE)detailing any additional information we want universities to disclose in their accounts.
We monitor the financial health of universities in order to ensure that public funds and publicly funded assets are not being put at risk. We do this in part through our review of the annual accounts, but we also require universities to submit five-year financial forecasts to us. The detailed requirements are set out in our annual request for forecasts (HEFCW circular W24/09HE).
The Transparent Approach to Costing (TRAC) is the standard way to cost the main activities of higher education institutions. It fulfils a number of purposes, including supporting the accountability of institutions for the public funding they receive.
Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024. Accordingly, HEFCW’s most recent guidance currently applies.
Terms and Conditions for higher education funding
The Terms and Conditions of Funding document sets out the terms and conditions which higher education institutions, and further education institutions in receipt of higher education funding, must abide by for receiving payment of Medr grant.
The Terms and Conditions of Funding operates in parallel with the Financial Management Code, and higher education institutions, and further education institutions in receipt of higher education funding, must also comply with the requirements set out in the Financial Management Code.
Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024. Accordingly, HEFCW’s most recent guidance currently applies.
Financial Code for regulated institutions
The Financial Management Code relates to the organisation and management of the financial affairs of regulated higher education institutions, and further education colleges with an approved Fee and Access Plan.
We monitor compliance with the Code and intervene should a regulated institution fail to comply with the Code.
This ensures that regulated institutions are well run, have effective financial management arrangements and are sustainable for the future.
This protects the interests of students, safeguards public funds and protects the reputation of higher education.
Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024. Accordingly, HEFCW’s most recent guidance currently applies.
Statement of intervention
The Statement of Intervention describes the range of ways in which we might respond to help higher education institutions, and further education institutions with an approved fee and access plan, resolve difficulties and manage risks.
We might intervene if the interests of students, the reputations of the higher education sector or the wider education sector need to be protected; or to safeguard public spending.
We will be required to intervene when an institution has failed, despite reasonable time and support, to satisfactorily address serious issues, or where an issue is sufficiently serious that more immediate action must be taken.
As this was administered by the Higher Education Funding Council for Wales (HEFCW) until 31 August 2024, HEFCW’s most recent guidance still applies.
Further education intervention policy
Medr may intervene in the conduct of a further education institution if we are satisfied that any of the following conditions are met.
- that the institution’s affairs have been or are being mismanaged by its governing body
- that the institution’s governing body has failed to discharge certain duties
- that the institution’s governing body has acted or is proposing to act unreasonably with respect to the exercise of certain powers
- that the institution is performing significantly less well than reasonably expected, or is failing or likely to fail to give an acceptable standard of education or training.
Prevent duty guidance for tertiary education providers
Relevant higher education bodies (RHEBs) and Medr-funded further education institutions must have due regard to the need to prevent people from being drawn into terrorism. This is known as the Prevent Duty.
Medr has responsibility for monitoring compliance of the Prevent duty for relevant higher education providers in Wales, while Estyn monitors compliance for further education institutions, schools and apprenticeship providers.
Prevent duty guidance for further education institutions
Estyn’s supplementary guidance on inspecting safeguarding arrangements
Complaints about regulated institutions
Medr may become involved in issues with regulated institutions in the following areas:
- Charging excess full-time undergraduate fees
- Failure, or likelihood of failure, to comply with Fee and Access Plan general requirements
- Education of inadequate quality, or where the quality is likely to become inadequate, and
- Failure to comply with the Financial Management Code
We may also become involved where:
- There are issues in respect of a failure by a funded institution to comply with the Memorandum of Assurance and Accountability (HEFCW circular W15/32HE) or
- A relevant higher education body (a university or other specified HE provider in Wales) has failed to comply with its Prevent duty.
We cannot review any areas that are outside of our remit such as disputes between students or staff and their higher education institutions.
All institutions have their own complaints and appeals procedures, including on matters of academic performance and staff grievances.
As this was administered by the Higher Education Funding Council for Wales (HEFCW) until 31 August 2024, HEFCW’s most recent guidance still applies.
Complaints about other tertiary providers
Medr has a duty to ensure that tertiary education providers have complaints procedures in place and make them known to learners.
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