The Public Audit Committee looks at reports published by the Auditor General for Scotland to examine whether public money is being spent efficiently and effectively.
On 2 October 2025 the Auditor General for Scotland published Scotland's colleges 2025.
The report says:
Scotland’s college sector continues to operate in an extremely difficult financial landscape. There was a 20 per cent real-terms reduction in funding for colleges between 2021/22 and 2025/26. Two targeted funding packages for colleges in 2023/24 were also withdrawn. Without changes to baseline funding, colleges will have to deliver even less to remain sustainable at a time when demands from students and employers are not being met. As college funding is also dependent on credit delivery, there is a risk that colleges prioritise courses that are less expensive to deliver over those that meet local need".
Read the report on Audit Scotland's website
The Committee has sent and received the following correspondence during scrutiny of the report:
Correspondence to the Convener from Stephen Boyle, the Auditor General for Scotland, 2 October 2025