Ofsted inspectors have found that Lewisham Southwark College is making 'reasonable improvement' as a new management team tries to guide the FE college's recovery from an 'inadequate' rating.
The last full Ofsted report was published earlier this year and since then inspectors have carried out two monitoring visits.
Ofsted says that the college is now making 'reasonable progress' in five key areas, including leadership, English and maths teaching and attendance.
Inspectors found that despite cutbacks, "the college now has a more capable team of teachers".
They also welcomed "a new senior management team that already knows and understands the challenges the college faces in order to substantially improve the quality of its provision".
Inspectors added: "Although realistic about the scale of the task ahead, the new leaders and senior managers have brought a new energy to the college.
"They are already establishing a different culture in which staff, while being much more responsible and accountable for success in their areas of work, are also allowed the freedom to make the changes they deem necessary and given the support to achieve change.
Principal Carole Kitching said: "I am delighted that Ofsted have recognised that the hard work of our staff is resulting in improvements across the board for all our students.
"I am determined that the pace of improvement will accelerate in the weeks to come with our all new permanent senior team now in place from some of the best colleges in the country."