Subcontracted Delivery

Subcontracted Delivery Statement

 

Aim

To provide transparent information with regards to the rationale for subcontracting apprenticeship delivery, our management fee structure and a list of subcontracting partners.
 

Scope

This statement applies to all subcontractors that are funded by the Education and Skills Funding Agency.
 

Delivery

Engineering Trust Training Ltd (ETT) subcontract’s delivery of apprenticeships to several subcontractors. 
 
ETT remains fully accountable for the delivery of the contract and monitors closely the quality of the subcontracted provision in order to maintain and improve standards. It also ensures best practice is adopted by its subcontractors and endeavours to support them in delivering high quality apprenticeships.
 
ETT only subcontracts with organisations who operate within our industry sector, who have a similar not-for-profit ethos and are able to deliver some of the apprenticeship training and/or on-programme assessment. 
 

Fee Structure & Management Fees

Arrangements with each subcontractor are set out in their section below. Subcontractors working with ETT can expect to receive the following support in exchange for a management fee:
Administration support, funding rule compliance support, ILR submission
Data management control and compliance advice
Access to our ‘E-store’ portal used in the admissions process 
Quality assurance and monitoring
Health and Safety, Safeguarding, Prevent and Equality and Diversity advice and monitoring
Delivery of training and/or on-programme assessment for the sub-contracted learners
 

Group Training & Development Ltd (GTD) UKPRN: 10002803

Rationale for subcontracting 
Based in Devon, ETT began the subcontracting of learners to GTD in 2012 when individual levels of funding each party would receive were below the Education and Skills Funding Agency (ESFA) minimum contract values. The Parties decided to apply for a combined contract in the name of ETT in order to satisfy the minimum contract requirements, but also due to the desire to work together to further improve the quality of training services provided by them. Both Parties have a similar ethos, are limited companies that operate on a non-profit basis and specialise in engineering training whilst operating in different geographical areas. In November 2019 GTD was removed from the Register of Apprenticeship Training Providers (RoATP) and ETT took on the training of all Learners. GTD subsequently was re-instated to the register in February 2020 and the subcontracting agreement was also re-instated. GTD is a small operation and the subcontracting relationship allows for them to keep administrative costs to a minimum in order to ensure more funding reaches the learners who benefit from a high quality of provision.
 
Financial Model 
GTD pay ETT a fixed Management Fee which fluctuates as a percentage of funding depending on how many apprentices are in learning at any one time. ETT will cap the fee in order to ensure it is never above 15% however with GTD maintaining a good amount of learners the fee is normally 10%. 
 
Funding Data for 19/20
Contract Start Date: 1 August 2019
Contract End Date: 30 November 2019
16-18 Apprenticeships= £8107
19+ Apprenticeships =£308
Total Funding Drawn =£8415
Total Funding Forwarded= £ 8415
 
Non Levy
16-18 Apprenticeships= £3454
19+ Apprenticeships =£804
Total Funding Drawn =£4258
Total Funding Forwarded= £4258
 
Levy
16-18 Apprenticeships= £10,743
19+ Apprenticeships =£15,449
Total Funding Drawn =£26,192
Total Funding Forwarded= £26,192
 
Management Fee Charged= £6240 (16%*)
*Slightly higher due to the issues around their RoATP status.  
 

South West Association of Training Providers (SWATPRO) Ltd UKPRN: 10032119

Rationale for subcontracting 
ETT has for some years subcontracted learners to the British Engineering Manufacturers Association (BEMA). Due to BEMA being removed from RoATP, the subcontracting arrangement with them ended on 31st July 2020. ETT is in the process of winding down this subcontracting arrangement and has six remaining apprentices who will complete their apprenticeships in 2021. SWATPRO have stepped in and taken on the running of the wider BEMA apprenticeship programme and therefore ETT will subcontract the completion of the remaining apprenticeships to SWATPRO in order to limit disruption to apprentices. SWATPRO is a not-for-profit company limited by guarantee whom ETT have performed due diligence on to ensure they are suitable to deliver to our learners.
 
Financial Model 
ETT retains 10% of the government funding received.
 
Funding Data for 19/20 when subcontracting to BEMA (UKPRN: 10025171)
Contract Start Date: 1st August 2019
Contract End Date: 31st July 2020
16-18 Apprenticeships= £98,122
19+ Apprenticeships =£2224
Total Funding Drawn =£100,346
Total Funding Forwarded= £ 100,346
 
Non Levy Funded Learners
16-18 Apprenticeships= £36,737
19+ Apprenticeships =£0
Total Funding Drawn =£36,737
Total Funding Forwarded= £36,737
 
Annual Management Fee Charged= £12,000 (9%)
 

Ace Training and Consultancy Limited (UKPRN: 1003405)

Rationale for subcontracting 
This is a subcontracting arrangement that is no longer in service with the final apprentice finishing in 19/20.
 
Financial Model 
Funding Data for 19/20
Contract Start Date: 1 August 2019
Contract End Date: 30 September 2019
Funding Drawn Non Levy
16-18 Apprenticeships= £1080
19+ Apprenticeships =£0
Total Funding Drawn =£1080
Total Funding Forwarded= £1080
 
Management Fee Charged= £0
 

Monitoring and review

This statement and our subcontracting policy is published on our website and both are reviewed at least annually or as deemed to necessary to follow any further published guidelines.