Further education leaders have vowed to march on parliament if proposed cuts to Whitehall budgets hit the sector.
The Treasury will write to all government departments in the coming days to demand they find efficiency savings to reduce the level of borrowing needed in a bid to calm the financial market, according to reports.
The moves comes despite prime minister Liz Truss saying that she was “not planning public spending reductions” during the Conservative party’s leadership contest.
Leaders of colleges and training providers now fear that their frontline services, which are already under huge pressure because of high inflation, will bear the brunt of cuts to the Department for Education’s budget.