A new combined authority has paused the awarding of procured adult skills funding contracts after a provider launched a legal challenge over an alleged botched tender, FE Week understands.
The East Midlands County Combined Authority (EMCCA) has taken control of adult education for its region for the first time this year, with delivery set to start next month.
It put £7.8 million – down from an expected £10 million – out to tender in March. Winners were notified on June 13, but only £6.5 million was allocated.
One of the losing bidders – CT Skills Ltd – has now lawyered up to challenge the outcome.
A message from EMCCA sent to bidders, seen by FE Week, said: “We would like to inform you that EMCCA has received notification that a claim form has been submitted in relation to this procurement process.
“As a result, we are currently unable to proceed with the award at this time. We will provide further updates as soon as more information becomes available.”
The grounds of the legal claim are not yet known. CT Skills said it could not comment as legal proceedings are ongoing.
FE Week understands multiple providers complained that feedback from markers did not match their bids.
An East Midlands Combined County Authority spokesperson, said: “The total value of the adult skills fund contract is £4.36 million, and the free courses for jobs contract is valued at £2.14 million.
“We are currently in the process of awarding contracts for the adult skills fund through the crown commercial service dynamic purchasing system. As this process is ongoing, we are unable to comment on individual applications at this time.”
EMCCA’s tender first put £5.56 million of ASF up for grabs, with maximum contracts of £650,000, plus £2.15 million for free courses for jobs.
It is unclear why the combined authority did not allocate the full amount.
EMCCA also grant funds ASF to 16 providers – mostly colleges and councils – to the tune of £45 million. Grant funded contracts are not affected by the tender pause.
This isn’t the first controversial adult education tender from a new combined authority. Last year, West Yorkshire cancelled its procurement for 2024/25, 22 days after contracts were due to start.
This was due to “substantial challenges” over the “validity” procurement scoring that led to a re-evaluation of bids earlier in the year.
At what point will the government wake up to and address the fact that staff within these combined authorities lack the skills, experience, and competence to run compliant and effective procurement exercises? Mind you, the ESFA didn’t exactly cover itself in glory with the last national ASF procurement exercise either, did it? This isn’t the first, nor will it be the last example of learners, communities, and learning providers being badly let down by incompetent bureaucrats. Expect more of the same as inexperienced local authority staff transfer into combined authority skills structures. Obviously the grant-funded Adult Skill Fund providers (guess who?) are unaffected by all of this.