Supply Chain Fee Policy - Academic Year 2017-18

The City of Liverpool College works with a number of partners on a subcontracted basis to deliver high quality training and education against a number of key priorities. The College’s main aim is to increase the impact on local communities through extended reach and investing in local community partners.

The College works with providers when:

  • A partner provides a niche service, emerging market or works with a specific learner target group. We work closely with partner links to access new sectors.
  • A partner can support the College where we have capacity issues. We are able to widen our curriculum offer; offering new areas of curriculum which the College does not offer.
  • A partner supports our strategic agenda e.g. community stakeholder. These partners are trusted within a deprived area of Liverpool and deliver innovative programmes to local disadvantaged people. Their focus is on lifelong learning and progression into either the College or employment. They have the ability to engage with specific target groups; working with learners with disabilities, disadvantaged postcodes, students with multiple disadvantage and priority sectors.

The College will work with approximately 3-6 partners on a subcontracted basis this academic year, subject to the restrictions of the existing SFA Notice of Concern. Subcontracts will be offered on ESFA programmes across both Adults (19+) and Young People (16-18). The City of Liverpool College has robust partnership management processes in place that have been subject to external and internal audit.

Through the supply chain, the City of Liverpool College is able to develop understanding and knowledge of different sectors and communities; learning through shared good practice.

Fees and Payments

Management Fees

The College will retain a management fee from all subcontracted partner organisations, ranging from 15% to 20%.

All new providers will be charged 20% management fee on contracts for the first year. Partners who achieve a range of metrics, including performance, quality and compliance, can see their management fee reduce by up to 5% in subsequent years.

The fee charges will reflect the cost of the procurement process and the management of the contracts.

The exact mix and level of support for each subcontractor will vary depending on needs. However, they will receive a high level of support and guidance including:

  • Support with due diligence
  • Quality management systems
  • Certification and registration with awarding bodies if required
  • Management information services and data control advice
  • Audit of management systems
  • Support and audit of learner paperwork
  • Curriculum, OTL and Quality support.
  • Partner development
  • Partner training sessions.

Payment Arrangements

  • Payments will be made monthly,or as agreed with partner, and will be reviewed quarterly.
  • Following the validation of evidence in the ILR return, the College will make the appropriate payment to the subcontractor, based on the level of income calculated less the agreed management fee and any adjustments for reconciliation. Specific payment profiles will be attached to each contract.
  • Payment terms are made 30 days from invoice date.

Teaching and Learning

The City of Liverpool College is committed to improving the quality of teaching and learning within our supply chain and along with the partnership quarterly review meeting, the additional quality checks include:

  • Initial Quality and Curriculum Visit - Before a contract is given, a quality and curriculum representative will visit a partner provider and complete the initial quality assessment report.
  • Partner Training Events on developing and embedding good consistent practice e.g. safeguarding, reviews, PREVENT.
  • Termly curriculum visit - A curriculum representative will visit the partner provider each term prior to the partner review and completes the curriculum visit report. Any actions will be highlighted in the quarterly partner review meetings. If the partner is classed as high risk, a member of the quality team will also attend until the risk is addressed.
  • Termly unannounced visit - A quality/curriculum representative will undertake an unannounced visit for those partners delivering to 16-18 learners.
  • Self-Assessment - Support with the completion of the annual SAR cycle.

Communication of Policy

The City of Liverpool College will discuss fees, details of the paperwork processes and partnership procedures for the academic year with all potential partners at the start of 17/18.

Head of Commercial and Partnerships, Gemma Gannon, manages the business and day-to-day relationship with subcontractors.

Policy Review

This policy will be reviewed in January 2018 and a revised policy issued in 18/19, if appropriate.

Publication of Policy

This policy is published on The City of Liverpool College’s Website and issued to all partner organisations.


Download Policy here

Subcontracting activity 2013/14

Subcontracting activity 2014/15

Subcontracting Declaration 2015/16

Subcontracting activity 15/16

Subcontracted income 16/17


Related Pages

Course Bundle Lookup

Course bundles are designed for 16 - 18 year olds only.

Career Coach is designed to help you find a good career by providing the most current local data on wages, employment, job postings, and associated education and training.