New Zealand Universities to Close Academic Quality Agency Due to Financial Challenges

New Zealand’s Universities to Close Internal Quality Audit Organization

In a move that has shocked the higher education sector, New Zealand’s universities have announced the closure of the Academic Quality Agency (AQA), the organization responsible for conducting internal quality audits. The decision, made by Universities New Zealand (UNZ), comes as a result of what they describe as “very challenging financial headwinds.”

The AQA, which has been in operation for 30 years, will be wound up after completing its current sixth round of audits at the end of 2024. UNZ Chair Cheryl de la Rey cited the substantial cost of the current model of academic audit as a key factor in the decision to close the organization.

New Zealand’s universities have been facing financial difficulties due to rising costs, stagnant government funding, the end of research funding initiatives, and reduced international earnings caused by the country’s prolonged Covid border closures. With five out of eight institutions reporting deficits last year, the closure of the AQA is seen as a necessary cost-saving measure.

While UNZ remains committed to academic audit as a concept, they are looking for ways to reduce complexity and expenses. Vice-chancellors have agreed in principle to roll out a seventh cycle of audits, but the exact details of this new model have yet to be determined.

The decision to close the AQA mirrors developments in Australia over a decade ago, where the Australian Universities Quality Agency was replaced by the Tertiary Education Quality and Standards Agency. The new body that will replace the AQA will have a distinct brand but will not have permanent staffing. UNZ employees will provide support to ensure the independence of the audits.

The impending retirement of AQA’s executive director, Sheelagh Matear, was cited as a contributing factor to the decision to wind up the organization. Despite the challenges ahead, UNZ is committed to ensuring that the quality assurance process continues in a way that is effective and sustainable for New Zealand’s universities.