Pearson, the owner of the Financial Times, warned yesterday that its educational training business is being "adversely affected" by the way the Government funds apprenticeships.
Pearson, which gets more than 60 per cent of profits from education, said it expects trading to remain "weak" in the UK training subsidiary and is "taking appropriate steps" to change its business model. The group, headed by Dame Marjorie Scardino, did not say if this would involve job cuts.
She painted a subdued overall picture as the US education market is "generally weak" and the books division, Penguin, is only performing "in line" with the rest of the market. But Pearson continues to see growth in emerging markets and in digital, with the number of paid digital subscriptions to the FT jumping to 285,000.
Like-for-like revenues in the first three months of the year rose 3 per cent – in line with expectations. Operating profits in the first half will fall but should rise for the full year.Reuse content