1. Education industry fails to meet industry demands and to offer fair, affordable education
So, 2: Innovators ask, "If it pleases the crown, we would like to be allowed to try to fill this gap and offer an education that people can voluntarily pay for if they desire."
3. Only if we say so. Prove to us you can teach adult humans, peon.
4. But you already failed to do this? And you had the advantage of taxpayer dollars funding you. Why do you have authority?
The school should be punished and pay compensation for lying. However, we should not hand over the right to offer education to a government that, given the opportunity to provide it, failed the competency test to "actually teach adult humans" already.
Any accredidation should be voluntary.