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Scotland's digital skills academy goes into liquidation as nearly 60 staff lose jobs

Jul 25, 2023

SCOTLAND’S digital skills academy has gone into liquidation, with nearly 60 members of staff losing their jobs.

CodeClan was launched in 2015 as a way to tackle the skills gap for software developers in the country and contribute to meeting increasing demand for jobs in the sector.

The company trained people from all professional backgrounds on the fundamentals of software programming from sites in Edinburgh and Glasgow, while also previously operating an office in Inverness.

However, a statement on CodeClan’s website released on Friday revealed that operations had been ceased with immediate effect.

“It is with extremely heavy hearts that we announce that CodeClan has gone into liquidation and will cease all operations as of 4 August 2023.

“Sadly, that means all our staff have been made redundant and will longer represent CodeClan”.

Quantuma Advisory have now been appointed liquidators after it was reported that CodeClan was struggling to place students into employment.

A statement from Quantuma said the pandemic had “significantly impacted” he company’s ability to survive as it gained income from students entering into employment.

It read: “In 2021 the Inverness office was closed and the business looked to have returned to some stability.

"Unfortunately, current market conditions have hit the turnover, with the business placement side of the business once again suffering.

"Attempts to replace this income have failed and ultimately, a lack of cash flow has resulted in the company being placed in liquidation and immediately ceasing to trade.

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"All 57 employees have now been made redundant."

Quantuma managing director Craig Morrison said: "As joint provisional liquidators, our immediate priorities have been to provide appropriate support to those whose jobs have been affected.

"The Partnership Action for Continuing Employment (PACE) has been engaged to work with employees."

A Scottish government spokesperson said the news was "deeply regrettable" and that arrangement were being made to support staff and students affected.

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