Edinburgh-based Codebase has acquired the assets of CodeClan, the Scottish digital skills academy which was plunged into liquidation earlier this month with the loss of 57 jobs.

Launched in 2015 with Scottish Government seed funding, Codeclan focussed on bridging the critical digital skills gap in Scotland and supporting a new generation of digital talent.

However a cashflow a crisis saw Quantuma appointed as joint provisional liquidators and students were told they couldn’t finish their studies.

After intensive talks, around 80 students will now be able to finish their studies after a rescue package was put together by the Scottish Government and Codebase.

Stephen Coleman, CEO and co-founder of Codebase, described the acquisition of CodeClan as a ‘new era’.

He said: “A massive shout-out to the organisations and businesses who stepped up – offering their support during this pivotal period.

“I must also extend a heartfelt nod to those individuals who offered support of their own volition, not least the instructors at CodeClan who stepped up to continue the courses.

“Over the last fortnight, our immediate priority has been to ensure minimal disruption to ongoing courses, support affected staff and students, coordinate logistics, and maintain open channels of communication. The road wasn’t without its bumps.

“Navigating the intricacies of a fluid situation required a dance between transparency and tact, but I’m proud to say that our team approached the challenges of the last fortnight earnestly and with a drive to help.

Scottish digital skills academy goes into liquidation

“Our core goals during this time have been to do right by CodeClan; to honour the legacy; and to be transparent in our communication, particularly when delivering difficult news to some dedicated employees.”

He added: “With us officially taking the reins after acquiring the assets, and the disrupted CodeClan cohorts now in hand and continuing to completion, we are beginning to think about what shape this function should take to best support future students and the ecosystem as a whole.

“We look forward to opening up a conversation in due course to survey the wider ecosystem about the needs, feedback, and ideas we have for filling the gap that the closure of CodeClan has left.

“And we look forward greatly to delivering a new, sustainable proposition for addressing the tech talent need in Scotland.”

Speaking earlier this month Mark Logan, chief entrepreneurial advisor to the Scottish Government, revealed plans for a talent channel to be re-introduced.

“We are certainly going to find a way to re-establish a sustainable, strategic talent channel into the tech sector, enabling people to retrain as software engineers and related roles from other disciplines,” he said.

“This endeavour will only be successful through the active involvement of Scotland’s business and tech community, ensuring that we are able to properly explore the changing needs of employers, to provide high-quality, relevant training programmes to meet those needs, and to determine a sustainable commercial model for their delivery.

“Given the overwhelming response from our collective community in offering support to people affected by CodeClan’s closure, I have no doubt that we’ll succeed.”

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Codeclan’s demise was blamed on the impact of Covid as it derived significant income from placing people into employment.