There are more than 60 live cases of fraud investigations regarding colleges and independent training providers, the Education and Skills Funding Agency’s (ESFA) annual report has revealed today.
According to the report, as of 31 March 2020, there were “a total of 82 live investigations and allegations in triage to carry forward into 2020-21”. “19 on-going academy trust cases at various stages of the investigation cycle and similarly, 63 live cases relating to colleges and independent training providers.”
The ESFA also says that, in response to changes in apprenticeships funding, there has been a rise in the number of allegations this year and that these factors have contributed to “the increase in investigation activity in 2019-20”.
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The report says: “The fraud landscape continues to evolve and present increasing challenges as we seek to anticipate, detect and prevent the misuse of public funds.
“The number of cases carried forward from both sectors continues to reflect the complex nature and longevity of investigation casework. Our investment in counter-fraud and investigations and the enforcement team has ensured an appropriate response to increasing demand whilst also championing continuing improvements to mitigate and prevent future issues arising.
“We have zero tolerance of fraud and take swift action through our provider market oversight (PMO) directorate to identify and investigate fraud allegations. We take action to respond to investigation outcomes to protect and recover ESFA funds where appropriate to do so. Where control weaknesses are identified, we follow up and implement recommendations to prevent further issues arising.”
The Association of Employment and Learning Providers’ chief executive Mark Dawe said: “We would obviously not defend any form of fraud. But at the same time, the rules are long and complex. They change year on year and therefore the agency has to consider that real intent has occurred as opposed to misunderstanding or confusion.”
