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Original provider gone bust - co-investment payment

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We've had a learner transfer to us whose employer has already paid all the co-investment due to the previous training provider.

The previous training provider has done bust, so there's no chance of a refund from them.

I think, as unfair as it is to the employer, that we should be charging the 5% of the price we have agreed with the employer - there's no wiggle room I can see in the rules. After all, we didn't receive the 5% and we can't prove outside the ILR data the ESFA has shared with us that the full 5% was paid. If the previous provider hadn't gone bust, we'd expect to charge the 5%.

What do you think?

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Ruth Canham-James

Correct, they have to pay you 5% of the price you've agreed, or you may not get your Completion payment (assuming they're non-levy and not eligible for the small employer waiver). I guess it's like anyone a bust company owes money too. If there are administrators, I guess they should make an application to them for what they're owed. I know it sucks, but if this were a builder you'd paid to do some work on your property, that went bust without completing the work, you wouldn't expect a new builder to do the rest of the work for free.

Permanently deleted user

Thank you!

 I like your analogy. I'll use that if I get any argument.