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The Individual Learning Account programme was launched nationally in September 2000. By October 2001 it had 2.5 million members registered with the Learning Account Centre as eligible to undertake subsidised learning. Some 9,000 organisations were registered as learning providers. However, due to evidence of abuse by a small minority of providers, the Secretary of State announced on 24 October 2001 that she was suspending the programme from 7 December 2001. After further serious allegations of potential fraud and theft involving ILAs, it was decided on 23 November 2001 to shut down the programme immediately.
Minister for Adult Skills, John Healey, published the report on the stakeholder consultation exercise on 29 April 2002. The consultation was undertaken for the Department between January and March 2002 by consultants, Segal Quince Wicksteed in association with NOP World. It involved seeking views both about the strengths and weakness of the previous ILA scheme and on what stakeholders would like to see from a replacement scheme. All providers registered for ILAs were contacted, along with a sample of account holders and other key partners. The report can be viewed here.