Absolutely. Middlesex is let's be honest, a bottom rung former HE college with little academic reputation to lose - but CTC in particular should know better as a well regarded professional training provider.
To be fair I think CTC are probably aware of the real status and value of this as a 'degree'. What this is about is a creative...to say the least...way of trying to get access to more student funding. Something which I don't think they should be blamed for...
However as others have pointed out the fees get paid to the university directly like any other degree and as far as maintenance loans are concerned they are likely to be a relatively small amount of the total cost.