Dodgy colleges hand back $67m to Vic govt

A crackdown on dodgy Victorian training providers has seen the government claw back $67 million and cancel 20 contracts.

The state has launched 50 investigations into publicly-funded providers since July as part of a crackdown, with 20 contracts cancelled since November 2014.

"We will not give providers a blank cheque for taxpayers' money - they need to prove they're delivering quality training for Victorians," Skills Minister Steve Herbert told AAP.

Contracts have been terminated for failing to deliver high quality training to students, unauthorised subcontracting and offering incentives like laptops and iPads to students.

Australian Council for Private Education and Training chief executive Rod Camm said the crackdown kept standards high.

"We're happy to take action against problems because it damages the reputation of the industry, both public and private," Mr Camm told AAP.

He said the Education Department was watching enrolment data for any spikes that could suggest quality was being compromised or inducements offered.

"You've got to make sure the qualification's offered for the right reason - to get a job, to do further study and things like that," he said.

Mr Herbert said $67 million had been recovered from cancelled contracts since November 2014, with $32.4 million of that recovered from 11 contracts since the training blitz began in July.