Schools Bill [HL]

(Limited Text - Ministerial Extracts only)

Committee stage & Lords Hansard - Part 2
Monday 13th June 2022 Lords Chamber

With Amendment 159, schools must maintain a digital record for pupils, updated quarterly, which may include an assessment of grades, effort, behaviour and any work experience completed. Parents need more information—and information that is relevant to them. Paper reports can easily be lost. All information needs to be centralised so that parents can track progress. Many, if not most, schools in the maintained sector have moved to online systems. If anything came out of the pandemic, it was a shift to online recording of student attainment and parental access to the whole spectrum of teaching and learning resources for their child. Notwithstanding that, I put in a cautionary note. I had a discussion with my noble friend Lord Knight earlier today about the confidential use of data and not selling data to commercial companies.

[The Parliamentary Under-Secretary of State, Department for Education (Baroness Barran) (Con)]

My Lords, I will now respond to this group of amendments, which relates principally to the academy legal framework. Amendment 41, proposed by the noble Lords, Lord Storey and Lord Shipley, pertains to the geographical spread of multi-academy trusts. I share the noble Lords’ view that this is an important matter.

The Government’s published guidance on building strong academy trusts states:

“When considering whether to grow, an academy trust will need to consider the geographical fit of schools”.


Many trusts operate successfully only in their local area, but others spread their expertise beyond local boundaries, as we heard from the noble Lord, Lord Knight, establishing clusters across England. This amendment risks restricting this sort of innovation, which can enable effective school support and improvements in performance, with clear accountability and strong governance. If I understood rightly, the noble Lord, Lord Knight, suggested that it was an either/or choice between regional clusters and national MATs. I do not think it is either/or; it can absolutely be both/and.

The noble Lord, Lord Davies of Brixton, asked why we would not have only one MAT in an area—for example, having a single multi-academy trust in one local authority area. We believe that there should be parental choice. MATs will have different styles. There is obviously a particular risk profile if all schools in an area are in the same MAT. We think it makes for a healthier ecosystem if there are several MATs in an area. I have certainly seen examples in local authority areas where a number of MATs are collaborating extremely constructively to address some of the entrenched issues that they find in those areas.

Amendment 49 from the noble Baronesses, Lady Chapman and Lady Wilcox, and Amendment 50 from the noble Baronesses, Lady Blower and Lady Bennett, and the noble Lord, Lord Hunt, relate to an individual academy leaving its multi-academy trust. As we stated in the schools White Paper, we will consult on the exceptional circumstances in which a good school could request that the regulator agrees to the school moving to a stronger trust, but we do not want to pre-empt the outcome of that consultation by legislating now, not least as we expect the process to be administrative rather than legislative. I thank the right reverend Prelate the Bishop of Chichester for his reflections on the risks of destabilising the system through schools moving from one trust to another. I gently reflect back to the noble Baronesses who spoke on this that it is important that this measure works for the individual school, which both of them pointed out, but it also needs to work for the multi-academy trust, which I did not hear either of them refer to directly.

I turn to Amendment 55. I thank the noble Baroness, Lady Blower, for her amendment relating to academies without a religious character joining a MAT with a majority of or all academies with a religious character. The process by which an academy joins another trust is a matter for agreement between the two trusts and is subject to the approval of the Secretary of State in the person of the regional director. When considering any application for a stand-alone academy to join a trust, the regional director will consider what stakeholder engagement has taken place and take account of views expressed. It is neither necessary nor appropriate to provide specific consultation requirements in legislation. I again thank the right reverend Prelate for his clarification about church model articles.

I also thank the noble Lords, Lord Storey and Lord Shipley, and the noble Baroness, Lady Garden of Frognal, for Amendment 77. As the noble Lords pointed out, academy autonomy is a core principle of the academies programme. For the past decade, such powers and freedoms have been available uniquely to academies, providing them with greater freedom and flexibility in how they operate and promoting innovation and diversity in the system. As set out in the schools White Paper, our intention is that by 2030, all children will benefit from being taught in a strong multi-academy trust or with plans to form one. Therefore, all schools will be able to benefit from academy status and its associated autonomy in the near term.

Amendment 79A concerns the relationship between further education colleges and multi-academy trusts. Further education providers and academies are different types of organisation founded on different legal frameworks. Although that prevents them joining as a single legal entity, FE providers are still able to play a valuable role supporting academies, and this includes forming a multi-academy trust and sitting on academy trust boards. We are committed to considering what more we can do to minimise any existing barriers when further education providers work alongside academies, and we have established a working group with a group of FE providers to explore this in more detail.

Amendment 94, in the name of the noble Baronesses, Lady Chapman and Lady Wilcox, and Amendment 95, in the name of the noble Lord, Lord Shipley and the noble Baroness, Lady Bennett, relate to financial reporting in academy trusts. The Government hold academies to account for their financial health through the academy trust, which is the accountable body that signs the funding agreement with the Secretary of State. The department publishes a full report and consolidated accounts for the academy sector annually. It is right that academy trusts hold appropriate levels of reserves to enable investment in initiatives that will improve pupils’ educational experience, as well as supporting them to meet challenges.

This year, the Department for Education will collect information from trusts holding reserves equal to 20% or more of their overall income to assure us that there are robust plans in place to use them, as the noble Baronesses suggest. There is a split in reserves between what we might call core reserves, investment reserves and those that academies will need if they take on failing schools with low pupil numbers to manage the lag in their funding as those pupil numbers increase, and we need to understand that picture fully.

I really do not recognise the example given by the noble Lord, Lord Shipley, of rural schools feeling that they lose funding. I recognise much more the example that the noble Lord, Lord Knight, gave the Committee. The noble Lord, Lord Shipley, may have a specific example that he would like to share. Often, we see exactly the reverse—that small schools are made sustainable through the MAT.

[Lord Shipley (LD)]

I can clarify that for the Minister. I simply picked up a view that rural schools may feel that they could lose money and that, as a consequence, such a school may feel that it has become less viable. It was a worry about what might happen as opposed to the case if everybody had to become part of a multi-academy trust; that was the concern. If the Minister could allay those fears, that would be helpful.

[Baroness Barran (Con)]

I thank the noble Lord for that. I will endeavour to find some examples that he can share with those who have expressed such concerns of where smaller rural schools have benefited from being part of a trust with the unattractively named GAG pooling, which the noble Baroness opposite will be dreaming about tonight.

Multi-academy trusts must publish their annual audited accounts online, including details of their objectives, achievements and future plans. They must set out what they have done to promote value for money in support of those objectives as part of their accounts. We currently publish funding allocations for each individual academy. School-level income and expenditure information for schools that form part of a MAT is also available online. If noble Lords are not familiar with that information, it is extremely comprehensive and useful. Parents and others are able to see not only what their child’s individual school receives and spends but how this compares to the income and expenditure of other similar schools, whether they are academies or maintained schools. I will put the link to that website in my letter to noble Lords after this debate.

Turning to Amendment 157, tabled by the noble Baroness, Lady Chapman, I am pleased to say that we have launched a new regions group in the Department for Education. It brings together the ESFA and the former regional schools commissioners to address some of the issues that the noble Baroness pointed to. We are confident that this new group will deliver the singular role of scrutiny that is set out in the noble Baroness’s amendment.

I thank the noble Lord, Lord Knight, for his Amendment 79B, which proposes a regional schools commissioner advisory board. He will be aware that, as he alluded to, regional directors—formerly regional schools commissioners—are currently supported by their own advisory boards. We believe that it is beneficial that those board members are made up of a mixture of head teachers, trust leaders, trustees and business leaders who bring specific expertise and experience to decisions that directly affect academies, in particular approving academy conversions and matching schools to strong trusts. It is important to note that advisory board meetings are transparent: agendas are already published in advance and records of meetings are published. The noble Lord, Lord Knight, referred to an annual report, but an annual report is already published by region.

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Moved by

[Baroness Barran]

42: Clause 8, page 8, line 28, at end insert—
“(3) Subsection (2) applies to an Academy agreement in respect of a secure 16 to 19 Academy (see section 1B of the Academies Act 2010) as if the reference to the seventh Academy financial year were a reference to the second Academy financial year.”Member's explanatory statement
This amendment provides for a two-year notice period for terminating an Academy agreement in respect of a secure 16 to 19 Academy (in contrast to the seven-year notice period which applies to other types of Academy).

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Moved by

[Baroness Barran]

43: Clause 9, page 8, line 29, at end insert—
“(A1) The Secretary of State may by notice terminate an Academy agreement with the proprietor of an Academy if any of subsections (1) to (1B) applies.”Member's explanatory statement
This amendment, and the other amendments to clauses 9 and 14 in Baroness Barran’s name, allow the Secretary of State to terminate an Academy agreement without first issuing a termination warning notice in certain cases where the Academy is failing.

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Moved by

[Baroness Barran]

47: Clause 11, page 9, line 23, leave out “a” and insert “an Academy agreement or”
Member's explanatory statement
This amendment allows the Secretary of State to terminate an Academy agreement as well as a master agreement if there is a change of control or insolvency event (so that an Academy agreement in respect of a single-Academy trust could be terminated on those grounds).

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Moved by

[Baroness Barran]

48: Clause 14, page 12, line 11, leave out subsections (6) and (7)
Member's explanatory statement
See the explanatory statement to the amendment in Baroness Barran’s name at page 8, line 29.