Learndirect has entered redundancy talks with an unknown amount of its staff.

A consultation on job losses was launched on Thursday, and is directly linked to the termination of its ESFA contracts which will end in July.

“We have entered a period of consultation with a number of colleagues,” a spokesperson for the nation’s biggest provider said.

“This is directly linked to the cessation of a number of ESFA contracts in July 2018 that was announced last year.”

Learndirect has over 1,500 staff on its books but the spokesperson would not say how many were in line to lose their jobs.

The decision to terminate the provider’s funding came about after Ofsted slammed it with a grade four in August last year.

Although its contracts are coming to an end, the government singled it out for special treatment by allowing it to retain its contracts for almost a year – much more than the usual three-month termination period.

Learndirect, which was subject to a recent National Audit Office investigation and Public Accounts Committee inquiry, was given £95 million from the ESFA for 2017/18.