Rationale for Subcontracting

1. Educational Rationale

Loughborough University is a research-led institution specializing in Higher Education (Levels 4–7). We do not maintain an internal faculty for the delivery of Level 2 English and Mathematics. By partnering with a specialist provider, we ensure that apprentices who have not yet achieved their Level 2 requirements receive expert, dedicated tuition tailored to their specific needs. This collaboration allows the University to focus on delivering high-quality degree-level content while ensuring apprentices are fully supported in meeting their mandatory gateway requirements.

2. Strategic Aims and Enhancing the Learner Offer

Our decision to subcontract is driven by the following strategic objectives:

• Specialist Expertise: Utilizing a partner with a proven track record in Functional Skills ensures higher achievement rates and a better student experience for foundational subjects.
• Flexibility of Delivery: Subcontracting allows for year-round, flexible starts for Functional Skills, ensuring that apprentices can complete these requirements early in their programme without disrupting their degree studies.
• Widening Participation: This provision supports learners from diverse educational backgrounds, ensuring that those without prior Level 2 qualifications are not barred from accessing high-level degree apprenticeships.

3. Management Fees and Proportionality

In accordance with DfE rules, Loughborough University retains a management fee (typically 15–20%) to cover the costs of overseeing the subcontracted provision. This fee is used for:

• Due Diligence and Compliance: Annual audits of the subcontractor’s financial health and APAR status.
• Quality Monitoring: Direct observation of teaching and learning, and regular moderation of student work.
• Data Management: Processing Individual Learner Record (ILR) data and managing funding returns via the Apprenticeship Service.
• Administrative Support: Facilitating tripartite reviews and ensuring the "Training Plan" remains compliant for each apprentice.

4. Continuous Quality Improvement

The University maintains "Governance and Oversight" by holding quarterly performance reviews with the subcontractor. We monitor Qualification Achievement Rates (QAR) and collect direct feedback from apprentices to ensure the subcontractor's delivery meets the University’s own rigorous quality standards.