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England and Wales High Court (Administrative Court) Decisions |
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You are here: BAILII >> Databases >> England and Wales High Court (Administrative Court) Decisions >> Universities Funding Council ex p. The Institute of Dental Surgery [1993] EWHC Admin 5 (30 July 1993) URL: http://www.bailii.org/ew/cases/EWHC/Admin/1993/5.html Cite as: [1993] EWHC Admin 5 |
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QUEEN'S BENCH DIVISION
(DIVISIONAL COURT)
Strand London WC2 |
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B e f o r e :
and
MR JUSTICE SEDLEY
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CROWN OFFICE LIST | ||
R E G I N A | ||
v | ||
THE UNIVERSITIES FUNDING COUNCIL | ||
EX PARTE THE INSTITUTE OF DENTAL SURGERY |
____________________
Official Shorthand Writers to the Court)
MR M BELOFF QC and MISS C BOOTH (instructed by Beachcroft Stanleys, 20 Furnival Street, London EC4A 1BN) appeared on behalf of the Respondent.
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Crown Copyright ©
Friday, 30th July 1993
"In exercising their functions in relation to the provision of financial support for activities eligible for funding under this section, the Council shall have regard to the desirability of not discouraging any university in respect of which grants are made under sub section (6) above from maintaining or developing its funding from other sources."
"1. Circular Letter 22/91 set out preliminary proposals for the next Research Assessment Exercise and invited comments. This circular describes how the Exercise will be conducted and invites higher education institutions (HEIs) to make submissions.
2. Nearly 300 replies were received from HEIs, professional and learned bodies, subject associations, individuals and other interested parties. They have been taken into account in defining the arrangements for the 1992 Exercise.
Purpose of the Exercise
5. The purpose of the Exercise is to produce research ratings, which will be used by the new Higher Education Funding Councils (HEFCs) for England, Scotland and Wales, and in respect of institutions in Northern Ireland, by the Department of Education for Northern Ireland, in the determination of grant for research with effect from 1993/94. The White Paper in May 1991, and the subsequent letters from the Secretary of State for Education and Science to the Chairmen of the two Funding Councils, expressed the Government's wish to see increased selectivity in the allocation of research resources. The assessments made as a result of this Exercise will assist in this.
Conduct of and timetable for the Exercise
6. The 1992 Exercise will follow broadly the same approach as in 1989, with information provided by HEIs as the basis for peer review assessment of research quality by a number of specialist panels. Institutions are invited to list up to two publications and up to two other forms of public output for each member of staff whose research is to be taken into account, and these will contribute to the basis for the judgements of research quality. As in 1989, panels will also have available to them a range of data to take into account in making their judgements. However, compared to 1989, there are a number of significant changes to the Exercise, which are described below.
Coverage: research to be assessed
8. Account will be taken of the full range of research (applied, strategic and basic) as defined at Annex A. Although research covers a continuous spectrum between applied and basic, the two extremes are nevertheless distinct. In the case of engineering and science only (units of assessment 12 16, 20 23, and 27 34 in Annex B), panels will be asked to assign separate ratings for applied and for basic/strategic research. In these units of assessment institutions are therefore asked explicitly to categorise research output as either applied or basic/strategic although final judgements will be made by the relevant assessment panels. In this context we are concerned that full recognition should be given to work of direct relevance to the needs of commerce, industry, and the public and voluntary sectors.
Units of Assessment
12. The subject areas to be used as the units of assessment are listed at Annex B.............
Assessment panels
14. Each unit of assessment will be assessed by a panel with appropriate specialist membership including non academic members where appropriate. Panels, which may assess work within a group of related units of assessment, will operate on a 'core plus adjunct' model where the core panel (typically 5 8 members) is joined by a number (typically 2 3) of specialist advisers to cover specific areas as required. It will be the core panel which has responsibility for grading submissions. The names of the members of the panels and the specialist advisers will be published.
Assessment ratings
15. The assessments made must reflect as far as possible the specific characteristics of each subject area, but at the same time the ratings applied must mean the same across all subjects. As for the 1989 Exercise the ratings will therefore be made on a common five point scale (see paragraph 11) with common definitions of the points, as given in Annex C. However, as it is expected that no research funding will be allocated in respect of any department which receives the lowest rating of the assessment scale, for funding purposes the ratings are expected to run from 0 4 instead of 1 5. More specific guidance will be given to panels than in 1989, a draft of which is given at Annex D: in addition individual panels may produce their own more specific subject related guidance.
Appeals
20. There will be no provision for appeals against individual ratings."
"Annex C
The rating scale interpretation of scale points
Notes:1. The concept of a 'sub area' of research activity is applicable to the work of individual researchers as well as to that of groups.
2. 'Attainable' levels of excellence refers to an absolute standard of quality in each unit of assessment, and should be independent of the conditions for research within individual departments.
3. The international criterion adopted should equate to a level of excellence that it is reasonable to expect for the unit of assessment, even though there may be no current examples of such a level whether in the UK or elsewhere. In the absence of current examples, standards in cognate research areas where international comparisons do exist, will need to be adopted. The same approach should be adopted when assessing studies with a regional basis against 'national' and 'international' standards.
4. For the Research Assessment Exercise 'national' refers to the United Kingdom of Great Britain and Northern Ireland."
"2. The ratings will be used by the Higher Education Funding Councils for England, Scotland and Wales, and in respect of institutions in Northern Ireland, by the Department of Education for Northern Ireland, in the determination of grant for research with effect from 1993/94. These bodies will issue separate documents on their methods for funding of research, and on financial allocations.
3. The Council wishes to emphasise that the assessments relate only to research quality. Teaching quality and other features of higher education institutions (HEIs) activity have not been assessed.
Conduct of the Exercise
6. Account was taken of the full range of research, as defined at Annex A. Submissions were made in 72 units of assessment; these are listed with a brief description in Annex B. All submissions were assessed against a common scale as reproduced at Annex C.
Timetable and Scale of the Exercise
8. Circular 5/92 was issued in early March 1992 and by the closing date of 30th June some 2,700 submissions had been received from 170 HEIs across the 72 units of assessment. The work of over 43,000 full time equivalent academics was included in the submissions. The submissions were assessed by 63 panels and subpanels with some 450 members and 50 assessors.
Comparability of the 1989 and 1992 Ratings
17. Although the same rating scale has been used in both the 1989 and 1992 Exercises with the same definitions, the 1992 Exercise has been carried out on a different basis and the results should not be directly compared with the earlier ratings.
In the 1989 Exercise information was requested on all academic staff within an institution, whether or not they were active in research. For the 1992 Exercise HEIs were asked to put forward for assessment only those academic staff that they judged to be active in research. Furthermore the units of assessment used in the two Exercises are not always the same."
"As undertaken in our initial telephone conversation, I have arranged to have your documentation scrutinised to establish whether or not there was any factual information which had not been available to the Assessment Panel for Clinical Dentistry.
I have confirmed that your original submission including factual information, conformed with that provided by other institutions and that all the submitted material plus the standard analyses were considered by the Assessment Panel for Clinical Dentistry.
Your letter of 21st January 1993 refers to the possibility that a higher standard was applied to the Institution, as a postgraduate institution, than to undergraduate institutions. I can confirm that this was not the case and that the guidance for assessment panels drew no distinction
between postgraduate and undergraduate institutions. On the contrary, Circular 5/92 specifically stated that the "attainable" levels of excellence referred to an absolute standard of quality in each unit of assessment, and should be independent of the conditions for research within individual departments.
If a decision was based on erroneous information then we would reconsider the submission. This does not appear to be so in the case of the Institute of Dental Surgery and, in the circumstances, I regret that there is no basis on which to take further action."
(i) The reduction from a rating of 2.6 to a rating of 2.0 on the 16th October was the greatest reduction amongst the 16 institutions concerned and was the only case of a downgrading of in excess of 0.5.
(ii) The only other institution awarded an average score with a .6 on the ballot had it rounded up.
(iii) The way in which the 2.6 rating became 2.0 was that two members of the Panel reduced their ratings by one point, giving an average of 2.4 which, after further discussion, was rounded down to 2.0.
(iv) Of the six institutions intensively discussed, Bristol, the London Hospital, the United Medical and Dental Schools and Glasgow University had their ratings raised in consequence, and two, Kings College London and the applicant Institute did not. The four successful institutions had representatives on the Panel. No allegation of bad faith is made but it is submitted that this lends force to the suggestion that something may have gone wrong through unconscious bias.
"In all these circumstances, I simply cannot understand why, if there was some substantive factor which justified conferring a score of 2.0, and in particular in reducing the applicant's assessment from the score of 2.6 on the secret ballot, the respondent is unwilling to explain what it was. In academic life, we are used to giving reasons for our assessment of the quality of publications and of research work. If there were characteristics of the work done by the applicant's researchers which justified a score of 2.0, then I do not understand why those characteristics could not briefly be explained to the applicant. I should explain that the consequence to the applicant of the award of a 2.0 rather than a 3.0 is a reduction of about £270,000 in our grant from the respondent for l993/94, plus a consequent decline in private funding because of our reduction in status."
"There was no provision for an appeal against the assessment. This is because of the very nature of a peer review procedure which was formulated to ensure that the best panels were assembled to carry out the review and form a judgement. In these circumstances it was decided that the decision should be final rather than attempting to set up a further layer of appeal. This was made clear to all participating institutions at the outset........ It was also for this reason that I felt unable to respond to Professor Winter's request for reasons why the Panel graded the IDS in the way it did; to do so would undermine the whole nature of the process which had been carefully designed to ensure a fair and uniform procedure for all participating institutions. The Panel is essentially making an expert value judgement on the relative merits of the various institutions. A challenge to one result is a challenge to all."
In his further affidavit of 6th July 1993, paragraph 2, Professor Davies said:
"Professor Winter complained that the evidence filed by the respondent does not explain why the applicant was assessed at level 2.0. This is because it is not possible to explain why without undermining the whole purpose of a peer review assessment. This is not a mechanistic process but one of collective professional judgement. The grade awarded to a particular institution was not determined by a score against specific features but was a synthesis of the independent assessments of the acknowledged experts in the relevant fields. It is not possible to disaggregate the collective view without undermining the nature of the whole research assessment exercise for which professional peer review judgements are a central and essential part. This is also the case for a range of other peer review based evaluations.....
It is only possible therefore to describe the process and the safeguards built into the process according to which that judgement was made."
For his principal submission of law Mr Pannick relies on two recent decisions: that of the Court of Appeal in R v. Civil Service Appeal Board ex parte Cunningham [1992] I.C.R. 816 and that of the House of Lords in R v. Secretary of State for the Home Department ex parte Doody [1993] 3 WLR 154.
The applicant in Cunningham was unfairly dismissed from a post in the Prison Department of the Home Office and so had to seek compensation from the Civil Service Appeal Board, a body set up under prerogative powers, rather than from an industrial tribunal. The board awarded him compensation of £6,500, giving no reasons in spite of requests from the applicant. Had he been able to go to an industrial tribunal, his compensation would have been somewhere near £15,000. Otton J rejected the submission that the award was irrational in itself but declared the decision of the board and its refusal thereafter to supply reasons to be unlawful on the ground that it frustrated a legitimate expectation that civil servants would be treated no less favourably than other employees. Both parties appealed. In the leading judgment, Lord Donaldson MR quoted the already classic passage of the speech of Lord Bridge in Lloyd v McMahon [1987] AC 625, 702 3:
"My Lords, the so called rules of natural justice are not engraved on tablets of stone. To use the phrase which better expresses the underlying concept, what the requirements of fairness demand when any body, domestic, administrative or judicial, has to make a decision which will affect the rights of individuals depends on the character of the decision making body, the kind of decision it has to make and the statutory or other framework in which it operates. In particular, it is well established that when a statute has conferred on any body the power to make decisions affecting individuals, the courts will not only require the procedure prescribed by the statute to be followed, but will readily imply so much and no more to be introduced by way of additional procedural safeguards as will ensure the attainment of fairness."
"upon the broader ground that fairness requires a tribunal such as the Board to give sufficient reasons for its decision to enable the parties to know the issues to which it addressed its mind and that it acted lawfully."
"To this day neither he, nor for that matter this court, has any idea why the Board recommended that he receive so little.
As Mr Pannick says, it cries out for some explanation from the board. As I would put it, not only is justice not seen to have been done but there is no way, in the absence of reasons from the board, in which it can be judged whether in fact it has been done. I find that a thoroughly unsatisfactory situation, in which this court should hold, if it can properly do so, that the board ought to give reasons for its recommendation.
In reaching a conclusion as to the propriety of Otton J's order, I am influenced by the following factors. 1. There is no appeal from the board's determination of the amount of compensation.
2. In making that determination the board is carrying out a judicial function. 3. The board is susceptible to judicial review. 4. The procedure provided for by the code, that is to say the provision of a recommendation without reasons, is insufficient to achieve justice. 4. There is no statute which requires the courts to tolerate that unfairness. 5. The giving of short reasons would not frustrate the apparent purpose of the code. 7. It is not a case where the giving of reasons would be harmful to the public interest. These considerations drive me to the view that this is a case where the board should have given reasons and I would, therefore, dismiss the appeal."
"But it seems obvious that for the same reason of fairness that an applicant is entitled to know the case he has to meet, so should he be entitled to know the reasons for an award of compensation, so that in the event of error he may be equipped to apply to the court for judicial review. For it is only by judicial review that the board's award can be challenged."
"Without an obligation to give reasons the board's procedures cannot be checked let alone challenged;
and without reasons neither the person dismissed nor the court can tell whether to apply for or to grant judicial review.
In relation to many, if not most, administrative decisions it may well be undesirable, for one reason or another, to give reasons. But there are not here, as in certain contexts there are, any valid grounds for adhering to the general rule that there is no duty to give reasons. On the contrary, there are here particular grounds for departing from the general rule. The applicant has a legitimate grievance, because it looks as though his compensation is less than it should be, and yet he has not been told the basis of the assessment."
"The cardinal principles of natural justice are that no one shall be judge in his own cause and that everyone is entitled to a hearing. But the subject matter of the decision or the circumstances of the adjudication may necessitate more than that. An award of compensation by the board concerns the applicant's means of livelihood for the period to which the award relates. The board's determination binds the Home Office, and also the applicant subject to his right to challenge it by applying for judicial review. But that right is nugatory unless the award is so aberrant as to compel the inference that it must have been wrong, or unless the board explains how the figure was arrived at, so as to enable the applicant to tell whether the award can be successfully impugned.
Those two grounds for requiring reasons elide here."
"In default of explanation the applicant's award was so far below what, by analogy with the award of an industrial tribunal, he was entitled to expect as in my judgment to compel the inference that the assessment was irrational, if not perverse. Because there was no general duty to give reasons, the absence of reasons does not by itself entitle the court to hold that the award was not supportable. But the unexplained meagreness of the award does compel that inference. As Lord Keith of Kinkel said in R v. Secretary of State for Trade and Industry, ex parte Lonrho Plc [1989] 1 W.L.R. 525, 540A:
'The only significance of the absence of reasons is that if all other known facts and circumstances appear to point overwhelmingly in favour of a different decision, the decision maker, who has given no reasons, cannot complain if the court draws the inference that he had no rational reason for his decision'.
In my judgment the duty to act fairly in this case extends to an obligation to give reasons. Nothing more onerous is demanded of the board than a concise statement of the means by which they arrived at the figure awarded. Albeit for reasons which go wider than those relied on by the judge, I too agree that the appeal should be dismissed and cross appeal allowed."
"The Secretary of State is obliged to give reasons for departing from the period recommended by the judiciary as the period which [the prisoner] should serve for the purposes of retribution and deterrence."
Giving the single reasoned speech, in which all their Lordships concurred, Lord Mustill said at 169:
".....the respondents acknowledge that it is not enough for them to persuade the court that some procedure other than the one adopted by the decision maker would be better or more fair. Rather, they must show that the procedure is actually unfair. The court must constantly bear in mind that it is to the decision maker not the court that Parliament has entrusted not only the making of the decision but also the choice as to how the decision is made......
Accordingly, I prefer to begin by looking at the question in the round, and enquiring what requirements of fairness, germane to the present appeal attach to the Home Secretary's fixing the penal element. As general background to this task, I find in the more recent cases on judicial review a perceptible trend towards an insistence on greater openness, or if one prefers the contemporary jargon 'transparency', in the making of administrative decisions."
After dealing with arguments based on the statutory framework, Lord Mustill went on at 170:
"One further argument for the Secretary of State must be mentioned, namely that since the prisoner already knows all the circumstances of his offence, in the light of which the trial judge made his recommendation on the penal element, he can deduce without the need for any more information both the factual basis of the Secretary of State's decision, and the intellectual reasons why the penal element was fixed at a particular term of years. Although some thing akin to this argument has found favour in other cases, I am quite unable to accept it here. The prisoner does indeed know what primary materials were before the court, but he does not know what the judge and the Home Secretary made of them, nor does he know what other materials, not brought out at the trial, may have formed an element in the decision. That the choice of the penal element is not self evident appears quite clearly from the number of occasions on which the Home Secretary's appraisal differs from that of the judges. Either there is something in the material before the Home Secretary which was not known to the judges, or the Home Secretary approaches his task in a way which is different from that adopted by the judiciary when passing sentence. In either event, the missing factor is hidden from view, and the prisoner can do no more than guess what it might be."
"I accept without hesitation, and mention it only to avoid misunderstanding, that the law does not at present recognise a general duty to give reasons for an administrative decision. Nevertheless, it is equally beyond question that such a duty may in appropriate circumstances be implied, and I agree with the analyses by the Court of Appeal in R v. Civil Service Appeal Board, ex parte Cunningham [1991] 4 All E.R. 310 of the factors which will often be material to such an implication.
Turning to the present dispute I doubt the wisdom of discussing the problem in the contemporary vocabulary of "prisoner's rights", given that as a result of his own act the position of the prisoner is so forcibly distanced from that of the ordinary citizen, nor is it very helpful to say that the Home Secretary should out of simple humanity provide reasons for the prisoner, since any society which operates a penal system is bound to treat some of its citizens in a way which would, in the general, be thought inhumane. I prefer simply to assert that within the inevitable constraints imposed by the statutory framework, the general shape of the administrative regime which ministers have lawfully built around it, and the imperatives of the public interest, the Secretary of State ought to implement the scheme as fairly as he can. The giving of reasons may be inconvenient, but I can see no ground at all why it should be against the public interest: indeed, rather the reverse. This being so, I would ask simply: Is refusal to give reasons fair? I would answer without hesitation that it is not. As soon as the jury returns its verdict the offender knows that he will be locked up for a very long time. For just how long immediately becomes the most important thing in the prisoner's life. When looking at statistics it is easy to fall into the way of thinking that there is not really very much difference between one extremely long sentence and another: and there may not be, in percentage terms. But the percentage reflects a difference of a year or years: a long time for anybody, and longer still for a prisoner. Where a defendant is convicted of, say, several armed robberies he knows that he faces a stiff sentence: he can be advised by reference to a public tariff of the range of sentences he must expect; he hears counsel address the judge on the relationship between his offences and the tariff; he will often hear the judge give an indication during exchanges with counsel of how his mind is working; and when sentence is pronounced he will always be told the reasons for it. So also when a discretionary life sentence is imposed, coupled with an order under section 34. Contrast this with the position of the prisoner sentenced for murder. He never sees the Home Secretary; he has no dialogue with him: he cannot fathom how his mind is working. There is no true tariff, or at least no tariff exposed to public view which might give the prisoner an idea of what to expect. The announcement of his first review date arrives out of thin air, wholly without explanation. The distant oracle has spoken, and that is that.
My Lords, I am not aware that there still exists anywhere else in the penal system a procedure remotely resembling this. The beginnings of an explanation for its unique character might perhaps be found if the executive had still been putting into practice the theory that the tariff sentence for murder is confinement for life, subject only to a wholly discretionary release on licence: although even in such a case I doubt whether in the modern climate of administrative law such an entirely secret process could be justified. As I hope to have shown, however, this is no longer the practice, and can hardly be sustained any longer as the theory. I therefore simply ask, is it fair that the mandatory life prisoner should be wholly deprived of the information which all other prisoners receive as a matter of course. I am clearly of the opinion that it is not.
My Lords, I can moreover arrive at the same conclusion by a different and more familiar route, of which ex parte Cunningham [1991] 4 All E.R. 310 provides a recent example. It is not, as I understand it, questioned that the decision of the Home Secretary on the penal element is susceptible to judicial review. To mount an effective attack on the decision, given no more material than the facts of the offence and the length of the penal element, the prisoner has virtually no means of ascertaining whether this is an instance where the decision making process has gone astray. I think it important that there should be an effective means of detecting the kind of error which would entitle the court to intervene, and in practice I regard it as necessary for this purpose that the reasoning of the Home Secretary should be disclosed."
That an apparently inexplicable decision is not, however, a general requisite for leave or for relief is now clear from the decision of the House of Lords in Doody, where the length of the actual tariff periods set by the Home Secretary when matched against the facts of appellants' crimes formed no part of the grounds for requiring reasons in the interests of fairness. It follows that an apparently inexplicable decision may be a sufficient but is not a necessary condition for requiring reasons; it may equally be fair to require them on other grounds. It is arguable that since the decision in Doody the role of the inexplicable decision is to be regarded as evidential rather than legal, bearing principally on the discretionary decisions whether to grant leave and whether to grant relief by pointing to the need for reasons in the particular case. But we prefer the view that in the present state of the law there are two classes of case now emerging: those cases, such as Doody, where the nature of the process itself calls in fairness for reasons to be given; and those, such as Cunningham, where (in the majority view) it is something peculiar to the decision which in fairness calls for reasons to be given. This does not mean that differing tests of fairness are to be applied; only that, as always, the requirements of fairness will vary with the process to which they are being applied. In this context we unhesitatingly reject Mr Beloff's submission that the judicial character of the Civil Service Appeal Board and the quasi judicial function of the Home Secretary in relation to life sentence prisoners distinguish the cases requiring reasons from cases of purely administrative decisions such as the present one. In the modern state the decisions of administrative bodies can have a more immediate and profound impact on people's lives than the decisions of courts, and public law has since Ridge v Baldwin [1964] AC 40 been alive to that fact. While the judicial character of a function may elevate the practical requirements of fairness above what they would otherwise be for example by requiring contentious evidence to be given and tested orally what makes it "judicial" in this sense is principally the nature of the issue it has to determine, not the formal status of the deciding body.
(a) The decision is very important to the future of the applicant Institute. Both directly and indirectly it affects the Institute's funding in very large sums.
(b) It is a decision to lower the applicant's grading from that which it previously enjoyed.
(c) In the absence of reasons there is a real risk that the respondent may have been influenced by irrelevant factors. This is fully argued out by Mr Pannick by reference to the detailed history of the readjusted rating, but for reasons which we will come to it is not appropriate to set them out here.
(d) The applicants are frustrated by their inability to know whether the respondent acted on irrelevant factors.
(e) There is no justification for the failure to give reasons, and certainly not that given by Professor Davies.
We will consider them in reverse order.
1. There is no general duty to give reasons for a decision, but there are classes of case where there is such a duty.
2. One such class is where the subject matter is an interest so highly regarded by the law for example personal liberty that fairness requires that reasons, at least for particular decisions, be given as of right.
3. (a) Another such class is where the decision appears aberrant. Here fairness may require reasons so that the recipient may know whether the aberration is in the legal sense real (and so challengeable) or apparent.
(b) It follows that this class does not include decisions which are themselves challengeable by reference only to the reasons for them. A pure exercise of academic judgment is such a decision.
(c) Procedurally, the grant of leave in such cases will depend upon prima facie evidence that something has gone wrong. The respondent may then seek to demonstrate that it is not so and that the decision is an unalloyed exercise of an intrinsically unchallengeable judgment. If the respondent succeeds, the application fails. If the respondent fails, relief may take the form of an order of mandamus to give reasons, or (if a justiciable flaw has been established) other appropriate relief.
LORD JUSTICE MANN: Mr Richards?
MR RICHARDS: My Lord, I ask for my costs.
LORD JUSTICE MANN: Do you wish to say anything about that?
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