| Author | Chief Finance and Operations Officer |
| Version Date | March 2026 |
| Reviewed and recommended by | Resources Committee |
| Approved By | Board of the Corporation |
| Approved Date | 29 April 2026 |
| Effective Date | 1 August 2026 |
| Next Review | April 2027 |
| Publication | Internal and External |
1.1 Trafford & Stockport College Group (TSCG) subcontracts provision to meet the strategic priorities outlined in the Strategic Plan. TSCG aims to ensure high quality teaching and learning as a result of the subcontractors’ extensive and focused experience in specialist areas.
1.2 Subcontracting ensures cost effectiveness of programme delivery on occasions when it may not be desirable for TSCG to run certain programmes, and it is not viable for TSCG to build up in-house resources and expertise.
1.3 Subcontracting contributes towards the sustainability of TSCG provision overall, as it helps TSCG to respond flexibly to changing market demands and emergent opportunities.
1.4 Subcontracting widens the range of progression opportunities for students.
1.5 Subcontracting provides good development opportunities for both TSCG and its subcontractors to share good practice and new ways of working.
2.1 This Policy Statement details how TSCG will apply fees and charges to contracts with organisations subcontracted to deliver training on the Group’s behalf. This policy is limited to ‘provision subcontracting’ which means the delivery of full programmes or apprenticeships; it does not include subcontracting the delivery of a service as part of the delivery of a programme (for example, buying the delivery of a service as part of an apprenticeship or outreach support).
2.2 This document outlines the TSCG Supply Chain Fees and Charges Policy for the academic year 2026-27. This policy is published in-line with Department for Education (DfE) requirements stated in the relevant funding rules.
3.1 The Group reserves the right to amend its subcontracting arrangements at any time in accordance with the terms and conditions of the contract for subcontracted provision.
4.1 TSCG ensures that subcontractors are included in the TSCG quality cycle and are guided and supported by TSCG to follow this process. TSCG provides support as necessary to subcontractors in completing the Self-Assessment Review (SAR) and the Quality Improvement Plan (QIP). Subcontractors then discuss the completed SAR and QIP with the TSCG Deputy Principal. Any actions arising are addressed in co-operation between TSCG and the subcontractor.
4.2 TSCG would normally be the centre approved by the awarding body for qualifications delivered through subcontracted DfE funded study programmes for young people.
4.3 Subcontractors delivering DfE funded adult education budget or apprenticeship provision are expected to hold course centre approvals in their own right and fully liaise with awarding bodies. However, TSCG will regularly review external moderator reports submitted by subcontractors and monitor any follow up required.
4.4 TSCG validates the outcomes of subcontractors’ own quality monitoring processes.
5.1 In return for the management fee charged by TSCG, subcontractors will receive:
6.1 The management fee retained by TSCG is calculated as a percentage of the contract value agreed with the subcontractor. The typical percentage of fees retained by TSCG to manage subcontractors is 20%.
6.2 The actual management fee is calculated using risk assessment of the following factors:
6.3 The management fee is open to negotiation and review by subcontractors and the final fee is agreed by both parties. The rationale together with a detailed management fee structure is published on our website by 31 October each year including for the complete list of subcontracting partners.
6.4 Fees charged to individual providers will differ depending on the factors outlined in the calculation of management fee as specified above. The percentage retained may also vary where there are additional services provided by TSCG e.g. where TSCG assumes direct responsibility for teaching certain aspects of the students’ programme of study.
7.1 TSCG makes payment to sub-contractors in line with the agreed terms of 30 days from the date of the invoice. Payment is subject to the correct evidence and data being provided to TSCG by the agreed deadline. Full details of payment arrangements for delivery partners are included in each individual contract.
7.2 TSCG reserves the right to withhold payments to the delivery partners in line with terms of the agreed contract. Any amendments will be based on guidance in the current version of the DfE Funding Rules.
8.1 This Policy will be disseminated to current subcontractors via email and a website link. Potential subcontractors will be supplied with a copy of this Policy as part of our due diligence process.
8.2 Each year this Policy will be discussed during contract negotiations. The services that TSCG will provide to the subcontractor will be agreed, along with the associated costs, setting out how these costs are reasonable and proportionate to delivery.
8.3 This Policy will be reviewed annually and in-year if necessary, to reflect any changes in DfE funding rules.
9.1 During the course of our activities we collect, store and process personal data of our employees and students including those teaching on / enrolled on provision we subcontract from external parties. TSCG is registered with the Information Commissioner’s Office and follows the guidance given by the ICO for the Education Sector.
9.2 For DfE contracts data regarding the actual level of funding paid and retained for each sub-contractor will be published in accordance with funding agency requirements. Publication requirements for other activity will be made in line with contractual terms.
