Audit into Bob Day's training college

The national audit office is set to investigate how a training college connected to former Family First senator Bob Day received a $2 million taxpayer-funded grant.

The auditor-general has confirmed it will examine the federal education department's establishment of the apprenticeship training alternative delivery program.

Mr Day was the chairman of the North East Vocational College in South Australia.

Labor had raised questions about the college receiving the grant and whether it had been made for political benefit.