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Two apprenticeship providers have had their funding contracts terminated by the government after a failed high court challenge. 

Quest Vocational Training Limited and All Spring Media Limited hired the same law firm to launch separate legal actions against the Education and Skills Funding Agency’s “draconian” decision to end their agreements after Ofsted slapped both providers with a grade four this year. 

The providers claimed there were factual inaccuracies and disproportionate judgements made by the watchdog, including that inspectors failed to take into consideration the impact of the Covid-19 pandemic. They argued that it was “unreasonable” for the government to cancel their contracts based on a disputed report. 

One of the providers, Quest, was successful in forcing the government to overturn an initial suspension on starts in September while it took Ofsted on through a judicial review. However, the Dorset-based firm ultimately failed to overturn the inspectorate’s grade in court, which led to the ESFA immediately terminating its contracts last month. 

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