Key Points

• Croydon Council is recommending the full outsourcing of its adult education service, Croydon Adult Learning and Training (CALAT), to third-party providers.
• Nearly 197 jobs are at risk as a result of the proposed move.
• The recommendation follows an independent review that warned the service will run out of money unless changes are made.
• CALAT was previously told to relocate from its base at Croydon Clocktower earlier in 2026.
• The service, currently run by the council, provides adult education and training for residents across the borough.
• External consultants have described the current financial model as unsustainable.

Croydon (South London News) October 8, 2026 — Croydon Council is moving to outsource its entire adult education service, a step that places 197 roles at risk and marks a major restructuring of how adult learning is delivered in the borough. Council officers are recommending that Croydon Adult Learning and Training (CALAT), which is currently run in-house, be handed over to third-party providers after an independent review concluded the service’s present financial model is unsustainable and will exhaust its funding unless action is taken.

The recommendation comes after CALAT was told earlier this year that it must relocate from its former base at the Croydon Clocktower, a move that already signalled significant change for the service. Officers say external consultants have warned that without a shift in how the service is commissioned and delivered, it will run out of money, prompting the proposal to outsource provision rather than continue operating it directly.

Why is Croydon Council recommending outsourcing CALAT?

Council officers are favouring outsourcing after an independent review highlighted that the service will run out of money unless changes are made to its structure and funding model. According to the review, the current arrangement under which CALAT is run by Croydon Council is no longer financially viable in the medium term. External consultants engaged to assess the service have reportedly described its existing financial model as unsustainable, meaning that without intervention the service would face a funding shortfall that could jeopardise its ability to operate.

The recommendation to outsource is therefore presented by council officers as a response to this financial pressure. By moving to third-party providers, the council aims to shift the operational and financial risks associated with running the service while continuing to commission adult education provision for residents. The underlying rationale, as set out in the officers’ recommendation, is that outsourcing offers a route to maintain adult learning opportunities in the borough without the council bearing the full cost and risk of direct delivery.

How many jobs are at risk and who is affected?

Nearly 200 jobs are at risk as a result of the proposed outsourcing of CALAT. The figure cited in reports is 197 roles, covering staff currently employed to deliver and support the adult education service. These roles span teaching, administration, management and support functions tied to the operation of CALAT across Croydon.

The jobs at risk are those within the council-run service that would be affected if the work is transferred to external providers. In practical terms, this means that staff currently employed by Croydon Council to work within CALAT could face redundancy, redeployment or transfer to a new employer depending on how any outsourcing process is structured and which providers are ultimately appointed. The scale of the potential impact—almost 200 positions—underlines the significance of the proposed change for the workforce directly involved in adult education in the borough.

What is CALAT and what services does it provide?

CALAT, or Croydon Adult Learning and Training, is the adult education service currently operated by Croydon Council. It provides adult education and training for residents across the borough, offering courses and learning opportunities aimed at adults seeking to gain new skills, improve qualifications or pursue personal development. The service is designed to support a wide range of learners in Croydon, from those looking to improve basic skills to others seeking more advanced or vocational training.

As a council-run service, CALAT has been part of the local authority’s offer to residents in terms of lifelong learning and skills development. Its provision forms part of the broader landscape of adult education in Croydon, which includes other providers and initiatives but has, until now, included a significant in-house element delivered directly by the council through CALAT.

What led to the current proposal: the Clocktower relocation and financial warnings?

The current proposal to outsource CALAT follows a series of developments earlier in 2026 that already pointed to substantial change for the service. One key event was the decision that CALAT must relocate from its former base at the Croydon Clocktower. The Clocktower has been a prominent venue for cultural and community activities in Croydon, and the requirement for CALAT to move from that site marked a shift in how and where the service was housed.

Alongside the relocation issue, the independent review into CALAT’s finances has played a central role in shaping the council’s current position. The review’s warning that the service will run out of money unless action is taken has provided the basis for officers to argue that the status quo is not an option. External consultants’ assessment that the financial model is unsustainable has reinforced the case for restructuring, with outsourcing presented as the preferred route to address the identified financial risks.

What are the next steps in the outsourcing process?

At this stage, council officers are recommending outsourcing as the preferred option, but the final decision will depend on the council’s internal governance processes. Typically, such a recommendation would be considered by the relevant cabinet member or committee, who would decide whether to approve the proposed approach. If the recommendation is accepted, the council would then need to develop and run a procurement process to identify and appoint third-party providers to take over the delivery of adult education services currently provided by CALAT.

The procurement phase would involve setting out the specification for the services required, inviting bids from potential providers, and evaluating those bids against agreed criteria. Any successful providers would then take over the delivery of adult education provision, with the council moving from a direct provider role to a commissioning role. The timeline for this process, including when contracts might be awarded and when any transition would take place, has not been detailed in the initial reports.

Background: How did Croydon’s adult education service reach this point?

Croydon’s adult education service has operated for many years as part of the council’s offer to local residents, with CALAT serving as the main in-house provider of adult learning and training. Over time, the service has faced the same pressures as many other local authority services, including rising costs, changing funding arrangements and the need to demonstrate value for money in a constrained financial environment.

The requirement for CALAT to relocate from the Croydon Clocktower earlier in 2026 was one indicator that the service’s footprint and operating model were under review. The subsequent independent review into its finances appears to have concluded that, under the current model, the service would not be able to continue without encountering a funding shortfall. That assessment has led council officers to conclude that outsourcing to third-party providers is the most viable way to sustain adult education provision in the borough while managing financial risk.

This development sits within a wider context of local authorities across England re-examining how they deliver non-statutory services, including adult education, in the face of ongoing budget pressures. In Croydon, the combination of the Clocktower relocation and the financial review has accelerated the move towards a model in which the council commissions rather than directly provides adult learning.

Prediction: How could this development affect adult learners and staff in Croydon?

If the outsourcing recommendation is approved and implemented, the most immediate impact is likely to be on the 197 staff currently working within CALAT, who could face redundancy, redeployment or transfer to new employers depending on how contracts are awarded and how TUPE (Transfer of Undertakings (Protection of Employment)) regulations are applied. For some staff, outsourcing could mean moving to work for a different organisation while continuing to deliver similar services; for others, there is a risk of job loss if roles are reduced or restructured as part of the transition.

For adult learners in Croydon, the effect will depend on how the outsourcing process is designed and managed. In theory, commissioning multiple third-party providers could broaden the range of courses and delivery models available, potentially increasing choice and flexibility for learners. However, there is also a risk that fragmentation of provision, changes in course availability or disruptions during the transition could affect access to learning, particularly for those who have relied on CALAT’s existing offer.

In the longer term, the shift from direct provision to a commissioning model could change the character of adult education in Croydon, with the council setting strategic priorities and providers competing to deliver against those priorities. How this affects quality, continuity and local responsiveness will depend on the strength of the council’s commissioning framework and the capacity of providers to meet the needs of Croydon’s diverse adult learner population.