Hadlow College

Janet Daby Excerpts

Thursday 1st May 2025 Commons Chamber

[The Parliamentary Under-Secretary of State for Education (Janet Daby)]

I congratulate the right hon. Member for Tonbridge (Tom Tugendhat) on securing this important debate. I, too, wish to pay tribute to all the staff and students at the colleges and the school mentioned in the debate, North Kent College and Hadlow rural community school. In fact, I wish to extend that to all colleges and schools across Kent. I heard very clearly the points he made and I will attempt to address them during the course of my response.

Further education colleges are a vital part of the education system. It is important that we continue to support them and provide all the necessary tools to assist with ensuring that they have good financial sustainability. That includes the ability to respond to financial distress and, in its worst case, insolvency. Land-based provision is an important part of the further education system, with strong links to the Government’s mission to kick-start economic growth, support Britain’s ecology and make it a clean energy superpower.

Hadlow College, part of the North Kent College group, is the only land-based college in Kent. It has its own beef herd, sheep farm, horticultural production, a large animal management centre, fisheries lakes, a machinery and land-based technology facility, and equine centres. Its curriculum includes courses in agriculture, agricultural engineering, animal management, equine management, fisheries, floristry and horticulture, as well as some non-land-based courses. It has an important place within the Kent skills system.

Hadlow College has one main campus, in Hadlow. Prior to being placed into education administration, it was federated with another college, West Kent and Ashford College, a general further education college with campuses in Ashford and Tonbridge. Historically, in 2019, the colleges faced a series of financial challenges, resulting in a request to the Department for Education for exceptional financial support. At this time, the colleges continued to face significant creditor pressure, which was a key factor in the decision to place Hadlow College into education administration. Combined, the colleges owed creditors approximately £100 million prior to education administrators being appointed. Hadlow College was placed into education administration in May 2019, followed by West Kent and Ashford College in August 2019.

Following the appointment of education administrators, they, in conjunction with the Department, stabilised the financial position of the college while a solution was sought to ensure that learners were protected without the college needing to remain in education administration. The education administrators also hired an interim principal to run the colleges, with advice from a stakeholder education advisory board during this period. What followed was an intense period of options review, led by the Further Education Commissioner, to determine the best future outcomes for the colleges’ provision. This included inviting interested parties to make proposals to take on the provision. It should be noted that Ofsted visited both colleges during the process and found that they were making reasonable progress with regard to educational performance. This resulted in the recommendation that North Kent College should acquire the Hadlow College’s provision and its respective facilities. The transaction was supported with funding from the Department and was completed in August 2020. At this point, I would also like to say that the protection of learners was achieved, which I will go on to explain further.

Alongside the Hadlow College education administration, the education administrators for West Kent and Ashford College also ran an options review in conjunction with the Further Education Commissioner and invited interested parties to take on the college’s provision. This resulted in the recommendation that East Kent College should acquire the college’s provision and its respective facilities at the Ashford site. The transaction was supported with funding from the Department and was completed in March 2020. Combined with the transaction at Hadlow College, together with other smaller, similar sites between both colleges, more than 5,000 learners were protected through the education administration process.

An investigation into any mismanagement at the college was undertaken by the education administrators and then joint liquidators. This is a statutory lead investigation that applies not only to education administration, but to other insolvency processes. The outcomes of those investigations are detailed in the joint liquidators’ progress reports—publicly available at Companies House—but, in summary, they reached settlement agreements with the individuals involved.

The Department welcomed the conclusion of the joint liquidators’ investigations into the conduct of certain relevant individuals at Hadlow College and West Kent and Ashford College. The Department takes the protection of public funds extremely seriously, and we will continue to support robust action where there are concerns about the safeguarding of taxpayers’ money.

As the right hon. Gentleman points out, there have been implications of the education administration of the college for the co-location of Hadlow rural community school. The school was originally established by Hadlow College with a land-based specialism. The two organisations had governance links, and the school accessed the college’s extensive land-based facility to deliver its offer. During the process of the college’s education administration, separate governance arrangements for the school were established and the Department worked with the school to ensure that these arrangements were robust. The price for Hadlow rural community school to access the college’s facilities rose to the extent that it was no longer sustainable within the school’s budget, and the school has requested departmental support to help it develop its own land-based facilities.

I appreciate that the school has undertaken extensive work on proposals to the Department over a number of years to inform the officials’ assessment, and I pay tribute to headteacher Paul Boxall, his team and the Hadlow rural community school trust board for all the work they have done and for the passion they have shown in seeking to ensure the very best for their pupils. However, this is a complex case and it is critical that any support the Department may provide offers value for taxpayers’ money.

It is, of course, important that the school has clarity so that it can move forward with certainty and thrive. To be clear, Ministers value the school’s land-based specialism and appreciate the challenges this situation has caused for the school, and we remain open to considering ways to support the school to ensure it can continue to offer a high-quality and broad land-based curriculum.

The recent decision the right hon. Gentleman refers related not only to the Court Lane land, but to potentially significant capital investment to develop facilities on that land, particularly with high-quality specialist facilities at the neighbouring college. In the context of constrained public finances, Ministers decided that it did not offer good value for money.

Given those facilities at Hadlow College, our view is that, rather than replicating such specialist and expensive facilities next door, it is worth exploring whether an agreement can be reached between the college and the school on shared use of the college’s facilities. We understand that there will be complexities to that, and that it will be important to the school for any solution to offer security for the long term. Should the two organisations agree to negotiate, we have offered support from officials to try to help broker that, and, at the moment, this seems very likely.

To be clear, we understand the school’s desire for independence, and the Department has no intention of forcing the school to change its governance arrangements. We remain open to considering alternative proposals from the school. Indeed, the school has recently suggested a new option, which officials have agreed to consider.

The liquidations of both Hadlow College and West Kent and Ashford College remain open while the liquidators realise the remaining surplus non-educational assets. Again, the details of those assets are in the joint liquidators’ progress reports, available at Companies House, but, in summary, they relate to surplus plots of land in Hadlow. The liquidators’ strategy to realise the surplus land involves planning applications for its inclusion in Tonbridge and Malling borough council’s local plan, which would, if successful, enhance its value.

The Department has priority security on all these remaining land assets, and any realisations directly offset the costs of the education administration process and are effectively a return to the Department and the taxpayer. Those assets, which were not surplus and were required by either North Kent College or East Kent College, were transferred to those respective colleges as part of the transactions to take on the learners and provision of Hadlow College and West Kent and Ashford College and achieve the objectives of the education administration to protect those learners.

I know that the right hon. Member has requested a meeting, and I understand that that is in progress. I can assure him that we will continue to work with the joint liquidators to ensure the best possible outcome for taxpayers. We will also continue to work with North Kent College to ensure that the land-based and general further education provision in Hadlow continues to succeed for the benefit of its learners and for the right hon. Member’s constituency.

Question put and agreed to.