17 - Iceland - Private education

There are three private higher education institutions (government-dependent private institutions) in Iceland (of eight institutions at this level). Private institutions receive considerable financial assistance from the state under service contracts made with each institution. The institutions are subject to the provisions of the Universities Act but they also operate according to their individual charters, which are confirmed by the Ministry of Education, Science and Culture.

The institutions have private boards and they have a significant degree of autonomy, and can for example decide such matters as admission requirements, progression of students from one year to the next, certification etc. These matters do not differ much between public and private institutions. The tuition fees for private institutions vary between higher education institutions and fields of study. The tuition fees for undergraduate programmes are approx. ISK 120,000 – 350,000 for each school year. In private institutions students pay additional payments to student organisations.

Private institutions are recognised by the Ministry of Education, Science and Culture and are subject to the same provisions as public institutions concerning external reviews and quality control.

The private higher education institutions are:
Bifröst University
Reykjavík University
Iceland Academy of the Arts

The distinction between public and private HEIs is mainly based on legal differentiation. The role of public institutions is defined in separate laws and regulated by the Ministry of Education, Science and Culture or Ministry of Agriculture. Additionally, the public institutions are legally obliged to follow various laws and regulations applying specifically to them, such as laws on budgetary responsibilities, access to information and transparency, and recruitment procedures. The private institutions also operate under the Universities Act and in accordance with an individual charter that is confirmed by the Ministry of Education, Science and Culture.

The Universities Act stipulates internal financial and management autonomy of the HEIs. The formal relationship with the Ministry of Education, Science and Culture is further defined in performancerelated agreements with public institutions and service contracts with private institutions. The private institutions receive more than 50% from core funding for teaching and facilities from the central government, according to the same funding formula as the public institutions. In addition they charge students tuition fees, whereas the public institutions do not have the legal authority to do so. The research allocation is based on a three-year agreement between the Ministry of Education, Science and Culture and individual institutions under its auspices. The institutions differ in the extent to which they engage in research. In 2002 the income ratio of the University of Iceland was balanced between research and teaching, whilst the other institutions received most of their income for teaching.

Furthermore, all institutions operate on a non-profit basis.

Institutions:
University of Iceland
Reykjavík University
The Ministry of Agriculture
Iceland Academy of the Arts
The Ministry of Education, Science and Culture
The Bifröst School of Business

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Date: 2009
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