Schedules Schedule 2: The fee limit
Section 10 (Mandatory fee limit condition for certain providers) provides that the OfS must ensure that the ongoing registration conditions of each registered provider of a prescribed description include a fee limit condition. Schedule 2 contains provision for determining the fee limit.
	Paragraph 2 makes provision for determining the fee limit where the provider has an access and participation plan approved under section 29:
if the provider has a "high level quality rating" at the time when the plan is approved, the fee limit is such limit, not exceeding the higher amount, as is provided by the plan for the relevant course and the relevant academic year;
in any other case, the fee limit is such limit, not exceeding the sub-level amount, as is provided by the plan for the relevant course and for the relevant academic year.
	A "high level quality rating" is a rating or ratings given in accordance with arrangements made under section 25, as the Secretary of State determines to be a high level quality rating for the purposes of paragraph 2.
	The "higher amount" is an amount prescribed by regulations.
	The "sub-level amount" is determined administratively by the Secretary of State. The sub-level amount must not exceed the higher amount and must be equal to or greater than a "floor amount" prescribed by regulations.
	Different sub-level amounts may be determined for different descriptions of provider by reference to whether or not a provider has a rating in accordance with arrangements under section 25 and the level, type or description of that rating. However, where the sub-level amount is being set in respect of an academic year beginning before 1 August 2020, it must be equal to the higher amount for providers who have such a rating.
	Different higher amounts may be prescribed for different cases or purposes, for example, for different types of teaching provision (such as accelerated courses, ʺsandwichʺ courses or part‐time courses) by virtue of section 119(5). Where different higher amounts are so prescribed, there can be different sub-level and floor amounts in respect of each higher amount, and the references to the higher amount and the floor amount in paragraph 2(9) should be construed accordingly.
	Paragraph 3 makes provision for determining the fee limit where the provider does not have an access and participation plan approved under section 29:
if the provider has a "high level quality rating" on 1 January in the calendar year before the calendar year in which the relevant academic year begins, the fee limit is the basic amount;
in any other case, the fee limit is the sub-level amount.
	The "basic amount" is an amount prescribed by regulations.
	The "sub-level amount" is determined administratively by the Secretary of State. The sub-level amount must not exceed the basic amount and must be equal to or greater than a "floor amount" prescribed by regulations.
	Different sub-level amounts may be determined for different descriptions of provider by reference to whether or not a provider has a rating in accordance with arrangements under section 25 and the level, type or description of that rating. However, where the sub-level amount is being set in respect of an academic year beginning before 1 August 2020, it must be equal to the basic amount for providers who have such a rating.
	Different basic amounts may be prescribed for different cases or purposes, for example, for different types of teaching provision (such as accelerated courses, ʺsandwichʺ courses or part‐time courses) by virtue of section 119(5). Where different basic amounts are so prescribed, there can be different sub-level and floor amounts in respect of each basic amount, and the references to the basic amount and floor amount in paragraph 3(8) should be construed accordingly.
	Paragraph 4 relates to accelerated courses. For these purposes, an "accelerated course" is defined as a higher education course where the number of academic years applicable to the course is at least one fewer than would normally be the case for that course or a course of equivalent content leading to the grant of the same or an equivalent academic award. Paragraph 4(1) confirms that regulations under paragraph 2 or 3 may prescribe different higher, basic and floor amounts for accelerated courses.
	Paragraph 5 sets out the procedures which apply in respect of fee limits. Paragraph 5(1) deals with the requirement for the Secretary of State to notify the OfS of initial and subsequent determinations of the high level quality rating and sub-level amounts, and to publish them. Paragraph 5(2) provides that regulations which increase the higher amount by an amount greater than that required to maintain its value in real terms require a resolution of each House of Parliament. The resolution must provide that, with effect from a date specified in the resolution, the higher amount should be increased to an amount specified in the resolution, and the increase is an increase to the specified amount with effect from the specified date. This is consistent with the parliamentary procedure required in relation to above inflation increases to the higher amount under the Higher Education Act 2004.
	Paragraph 5(3) provides that, for the purposes of paragraph 5(2)(a), the Secretary of State is to have regard to such index of prices as may be specified in regulations.
	Any other regulations which prescribe the higher amount, the basic amount or the floor amount will be subject to the affirmative procedure (see section 119(2)).