COLLEGES face “testing times” after student numbers fell to their lowest level in almost a decade, auditors say.

There were a total of 220,680 learners in 2015-16, the smallest number since 2006-07.

Audit Scotland’s annual further education review said this, combined with “financial challenges” make for “testing times” for the sector.

Most of the fall came in the 16-24 age group and a predicted decline in the number of 16-19-year-olds in the population is expected to hit in the coming years.

Auditor General Caroline Gardner said: “There is a growing risk to colleges’ ability to keep delivering what the Scottish Government requires from the sector as a result of major financial challenges and a declining student population.

“Colleges need to plan ahead so their future budgets can withstand the impact of cost pressures.

“Demand for college courses and the effects of demographic shifts also need to be assessed so educational provision can be designed around these.”

Colleges have been required to meet Scottish Government targets for the volume of learning provided since 2012-13. This has been exceeded every year, but performance began to decline in 2013-14.

Holyrood prioritises full-time classes for younger learners, but an increasing number of leavers are going into university or employment, which Audit Scotland says will also make it harder to achieve the goals set by ministers.

General secretary Larry Flanagan said teaching union EIS is “concerned” about falling student numbers and Tory education spokeswoman Liz Smith said: “These figures show fewer people are entering college than at any time since the nationalists came to power and they have to explain why they’ve let this happen.”

The Scottish Government said it will work with the Scottish Funding Council and colleges to consider the report’s findings, adding that it “highlights that Scotland’s college sector is financially stable overall and that colleges continue to exceed their targets for student learning opportunities”.