The £1.4 billion tech firm founded by Tony Blair's multi-millionaire son is facing mounting scrutiny after new figures reveal only half of its apprentices complete their courses.
Multiverse, established by the former Prime Minister's son Euan Blair, is among Britain's largest providers of apprenticeships for school leavers, providing an alternative to university and a path into elite careers for youngsters without a traditional education.
However, statistics released by the Department for Education on Thursday show approximately only half of Multiverse's cohort complete their courses - and other programmes are performing even worse.
The figures, reported by The Times, show the completion rate for Multiverse schemes to be at 52.6 per cent - despite the sector rising overall to 65.4 per cent.
Blair, whose net worth is an estimated £375million, owns almost 19 per cent of Multiverse, according to Companies House records. Based on its 2022 valuation, his stake would be worth around £250 million.
Under current guidance, education providers with an achievement rate of under 50 per cent are classed as 'at risk.'
If the provider falls significant below its previous Ofsted rating - which for Multiverse was 'outstanding' only five years ago - the Department for Education can intervene.
At present, it is understood that the Department for Education has undertaken audit and assurance work on Multiverse. The company has also been inspected by Ofsted, with a report expected in the coming weeks.
Speaking to The Times, former education minister Robin Walker said he is sure the completion rate figures will 'concern' the Department for Education.
He said that if he had seen such figures when chair of the education committee, he would have brought Multiverse in for 'further investigation.'
There are various reasons why the company's performance has dropped, according to claims by former staff members.
One ex-Multiverse employee told the paper that as time went on and the company grew, its founding approach of 'getting young people off the streets into the boardroom' became harder to sustain.
Changes like moving toward older workers were highlighted as a departure from Multiverse's original ethos - which the company has disputed.
Another ex-employee also referred to the 'outrage' felt at Multiverse after ex-teachers and those passionate about young people defected and were replaced by 'expensive sales consultants.'
They added that as Multiverse's priorities changed, teams focused on outreach to schools, colleges and job centers were also scrapped.
Leads arriving by personal connections to the company's founder was also highlighted as another point of concern by a former Multiverse employee.
A former Multiverse employee said potential clients appeared through Blair’s connections and by his mother, Cherie. Blair is pictured here with his father (right)
They stated that potential clients sometimes appeared through Blair and his mother, Cherie Blair.
They said: ‘There were definitely clients who were pulled in by Euan’s stardust, and they would ask him questions about how his dad was.’
Another ex-employee has also claimed that Multiverse teams were stretched and one claimed there were groups of up to 40 NHS leaders per coach.
It is understood that a senior leader at NHS England raised concerns internally about the sustainability of some roles for apprenticeship training.
Moreover, Multiverse's latest accounts also paint a worrying picture for the firm.
A decade from it was founded in 2016 as WhiteHat, the company is yet to turn a profit, leading some to question the sustainability of its growth model.
And despite revenues rising sharply, it has experienced losses of more than £60 million and a decline in cash reserves.
Inside the firm, a former staff member said Multiverse became focused on commercial pressures and growth targets.
Describing sales roles that had commission tied to deals, they said: ‘There were big salaries and big bonus incentives.’
And another ex-employee said Multiverse programmes were cut or reshaped with little warning.
Responding to the claims, Euan Blair, Founder and CEO, said: ‘Reasonable people know the status quo in further education is intolerable: fewer apprenticeships, declining employer investment, and lower skills and productivity.
‘That is why we have focused on growth and innovation, rather than providing purely traditional forms of learning.
‘We believe AI adoption and the risks and opportunities it poses to the workforce is the biggest challenge Multiverse can solve.
‘We’ve prioritised that above simply repeating what’s gone before.
‘Innovation creates friction, but our approach is working: we’ve deep, trusted relationships with employers and our learners are using their skills to cut NHS waiting lists, increase productivity, and earn promotions and pay rises.
‘These are the things we focus on above everything else.
‘We’re proud to be building a pioneering British success story which attracts world class colleagues who are delivering new skills to thousands of workers, helping government and industry perform with greater success and boosting the UK economy.’