NEWS STORY : Havant and South Downs College Issued Financial Notice to Improve Following Cashflow Concerns

STORY

Havant and South Downs College (HSDC) has been placed under formal intervention by the Department for Education (DfE) after receiving a Financial Notice to Improve (NtI) due to serious cashflow pressures and an ‘Inadequate’ financial health rating for the year ending July 2024. The DfE’s decision follows its College Oversight policy, which mandates intervention when a college’s financial health is deemed inadequate or when significant cashflow issues are identified. As a result, HSDC must comply with additional funding conditions outlined in the NtI to continue receiving government funding.​

The college has been referred to the Further Education (FE) Commissioner’s team for an independent assessment of its leadership, management, and governance capabilities. The FE Commissioner is scheduled to visit HSDC on 1 May 2025 to conduct this evaluation. The findings may lead to further revisions of the NtI, depending on the recommendations provided.​

The DfE will closely monitor HSDC’s progress through scheduled case conferences and collaboration with other agencies. Failure to meet the specified conditions could result in additional actions, including the use of statutory intervention powers under the Further and Higher Education Act 1992.​ HSDC is required to publish the FE Commissioner’s summary report on its website within 14 days of issuance and maintain it online until the NtI is lifted. The DfE will review the NtI regularly, with revisions anticipated at least annually to ensure its relevance.