April 2019 marked a first wave of successful applications being announced by the Department for Education resulting in the creation of 12 Institutes of Technology (IoTs). £120 million is now available for Wave Two IoT applications, with a particular focus on regional areas currently without an IoT. These areas include the North West, Midlands, East of England and parts of the South East.
The deadline for Stage Two of Wave Two applications for setting up an Institute of Technology is midday on 16th June 2021. To enter the Wave Two Competition, applications should be collaborative, bringing together the unique attributes of employers, HE and FE institutions. Whilst this is a DfE initiative, successful applicants will have employers at the heart of their IoT to ensure the institute is geared towards producing a future-proof and capable workforce.
When applying, it is important to have a clear idea on the structure of the collaboration and the governance model between the HE, FE and employer partners. The structure must identify a designated accountable body that will be party to the Capital Funding Agreement and Licence with the Department for Education, should they be successful. As part of the application, Heads of Terms will need to be submitted which set out the legal structure for the IoT, be it a corporate or a commercial joint venture.
How can we help?
Mills & Reeve advised on the establishment of IoTs in Wave One, creating bespoke solutions for each IoT’s legal and governance structure and commercial agreements. In fact, the distributed model that we devised for the University of Exeter’s Stage One submission (SWIoT) was adopted as a working assumption for all IoTs by the DfE who subsequently designed their Licence and Capital Funding Agreement and subsequent guidance around it. We have worked on both corporate and contractual IoT joint venture models and can advise you on the available options.
In addition to our experience of working on IoTs, we have a deep understanding of the Higher Education, Further Education and technology sectors and work with over 100 FE colleges and 80 universities. This means we understand the structural, constitutional and governance requirements involved in the creation of an IoT. The depth of our sector experience means you get lawyers who understand your issues and can provide real-world solutions, which helps to save valuable time.
Our team of highly-rated experts are also available to assist in IP, tax, real estate and banking matters related to the formation of an IoT.
If you need any advice on your application to set up an IoT in Wave Two, or you require general advice about IOTs, our IOT team would be delighted to work with you.