Magazine article Public Finance

Reform of Skills Council Could Create Crisis, Says New Chief

Magazine article Public Finance

Reform of Skills Council Could Create Crisis, Says New Chief

Article excerpt

The reorganisation of the troubled Learning and Skills Council into two successor bodies could throw its work and internal control systems deeper into crisis, the quango's chief executive has warned.

The LSC hit the headlines last year when it was forced to halt a huge college building programme when the scheme ran out of money, leaving an estimated £5.7bn backlog.

Two new bodies - the Skills Funding Agency and the Young People's Learning Agency - are set to replace the LSC in April.

But new chief executive Geoffrey Russell has warned that the shake-up could jeopardise its work in planning and funding further education and skills training.

In the quango's annual report, Russell warned: 'As the transition progresses over the next year, there are significant risks that the LSC will not be able to meet its objectives, staff morale will be affected and systems of internal control will break down. …

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