Alex
You could blame the candidates for lack of maturity etc. but really one would expect ATOs to filter out the untrainable, politely decline to take their money, and then train the remainder up to standard.
Do you think there's a correlation between lack of knowledge and understanding...maturity and attitude etc. (I would add interest, dedication and motivation to the list) and the ability to pay for a type rating to secure a first job? Does the employer not play a large part in the identification of suitability for the role, or is the technical ability assessed by an independent contractor (as is the case for Flybe at the moment for example)? Why is there an apparent difference in the calibre of new entry pilots at British Airways, TUI (Thomson), TC and others compared to RYR (and others)?
Are you seriously suggesting that ATO's permit weak candidates to continue training despite the potential risk to both the individual from a financial/career perspective and an operator from a cost and safety point of view....