Nicola McCallum

Subcontracting with no contract

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Hi, we are a main provider but we also subcontract to another main provider. We have never received a contract, is there anything I can do officially to insist on this? We are also paid around 50% of the full funding, for delivering 100% of training. The main provider does the initial assessment/skill scan (which we don't get a copy of), carry our reviews, and they report on the ILR. We do enrolment with the awarding body and pay enrolment fees. Is there a guideline for this? Funding rules seem to be written all for the main provider with no cross-check from the sub-contractor.

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Kelly Knights

There is no way they can get away with having you in their ILR as a subcontractor and there not being a contract in place. You should absolutely ask for a copy.

Retaining 50% of funding where the main provider is doing zero delivery is ridiculous and I’d be interested to see how they are referencing their costs as this is mandatory in all contracts.

They will be hit hard this year with the subcontracting standard being introduced.

(Edited)

Nicola McCallum

Thanks Kelly. I have asked for a copy of the contract so hopefully that will come through soon. They are a local authority so I'm not sure if different rules apply. This is also training apprentices. I've tried to find guidance but I haven't found anything yet, some documents say "does not apply to local authorities" but doesn't give a link to what does apply. 

Kelly Knights

I believe LAs maybe exempt from the Subcontracting standard but there will be standard subcontracting requirements they will be expected to comply with.

Good luck

(Edited)