The Education and Training Foundation (ETF) has agreed to repay £6.2m to the government following a dispute over a contract.
During the pandemic, ETF received an unexpected surplus on its T Level Professional Development (TLPD) programme, funded by the government, because costs were reduced due to it being moved online.
The Department for Education (DfE) said the charity should return up to £7.5m, but the ETF claimed it should repay £1.5m, FE Week recently reported.
ETF accounts for 2021-22 show overall the charity reported a deficit for the year of £1.7m, due to payback to DfE of the excess surplus made under the TLPD contract.
The £6.2m figure was agreed with DfE in May 2022, £1.5m of which was provided in the previous year’s financial statements.
According to the accounts, the remainder owed is being paid through “a reduction in income from government contracts of £4.7m” in the current financial year.
A DfE spokesperson said: “The repayment figure, agreed with ETF, was informed by independent audit activity and is fair. The TLPD contract will run as planned until 2024.”
The ETF is contracted to provide professional development services to T Level teachers under a four-year contract valued at just under £76m, that was awarded to it by the Department for Education following an open procurement in 2019. The contract runs until June 2024.
Data for the financial year ending 31 March 2022 put the charity’s total income at more than £33m, and total expenditure at around £35m.
The ETF did not respond to a request for comment.
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