Almost 200 students are in limbo more than a year after the collapse of training providers that had been running the courses they were on, skills minister Anne Milton has admitted.
Hundreds of learners were left with debts from advanced learner loans and their courses scrapped when several providers went bust in late 2016 and early 2017. John Frank Training and Focus Training & Development Ltd both went into liquidation in November 2016, followed by another provider, Edudo Ltd, in January last year.
Many of those affected remain without a course.
Yesterday, in written responses to questions from the shadow skills minister Gordon Marsden, Ms Milton said: “The department’s priority when a training provider is no longer delivering courses is to make sure any learners affected can continue with their studies with minimal disruption”.
Alternative providers
The Education and Skills Funding Agency (ESFA) and Student Loans Company (SLC) will “seek to identify suitable alternative providers where learners can complete their studies,” according to the skills minister.
She said: “We are committed to offering, as far as is practicable, a solution for each learner”.
While around half the loan-funded learners affected by collapse of the companies “have transferred to other providers to continue their studies” but Ms Milton admitted: “180 have not transferred”.
She added: “The Student Loans Company will be writing shortly to all those affected regarding next steps”.
Although the students have been granted an exemption from paying back their loans over the past year, the SLC has yet to state whether it will write off the loans.
Mark Dawe, chief executive of the Association of Employment and Learning Providers, said: “‘There are many well run providers who are ready to step in to support learners when these closures occur but unfortunately the government’s current intervention system needs improvement”.
He added: “AELP has been lobbying on this matter for a year and we are hopeful that discussions which are in the pipeline will result in more effective arrangements to minimise disruption for learners whether they are loans funded or on any other type of skills programme”.
Robert Halfon, chair of the House of Commons education select committee, said: “These learners have been let down. Finding places for these learners should be an urgent priority for the ESFA and SLC and it is very disappointing a solution has still not yet been found for the 180 students still without a course”.
A Department for Education spokesperson said: “Our priority when a training provider is no longer delivering courses is to make sure any learners affected can continue with their studies with minimal disruption. All affected loan-funded learners were contacted within weeks and offered information about alternative providers that they could transfer to, if they wished.
“The Education and Skills Funding Agency and Student Loans Company also worked closely with the alternative providers to ensure all learners that were transferring were suitably assessed and could continue their studies with minimal disruption.
“Although this approach was beneficial for many affected, we recognise others did choose not to accept alternative options for personal reasons. The SLC will be contacting all those affected shortly on next steps.”
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