Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Innovation and Skills, what steps his Department takes to limit the effect on service users of contracts with sub-contractors being terminated early due to the provider being at risk of failure.

Where a subcontractor is impacted by the Skills Funding Agency’s (SFA) decision to terminate a provider contract, the SFA ensures that the learners can remain in their programme of learning either through the subcontractor or through a transfer to another provider depending on the circumstances of the termination. However, the Skills Funding Agency (SFA) does not terminate contracts on the grounds of a provider being ‘at risk of failure’.