Schools: Academies

Lord Bishop of Norwich Excerpts

Tuesday 3rd March 2015 Lords Chamber

[Lord Nash]

My noble friend will know from his experience over 25 years as a primary head that all schools are facing cost pressures from national insurance and pensions, so any prudent school will have some level of cash reserves. I mentioned capital requirements for academies. The education sector has a lot to learn from the business sector in terms of efficiencies. We have found that when business people and educationalists work well together through the academies programme the effects can be quite dramatic. I cannot make promises for ever, but there are no plans as far as this Government are concerned to bring profit-making to the school system.

[The Lord Bishop of Norwich]

My Lords, some academies and other schools have secured private funding which they ring-fence to finance a chaplain, international links or some other good purpose. For the avoidance of doubt, will the Minister give an assurance that such funds are not to be treated as free reserves? Further, will he encourage academies to secure such funding?

[Lord Nash]

I entirely agree with the right reverend Prelate and I pay tribute to his very good work in the school system in Norfolk. We should welcome such funds into the school system. We should welcome people who bring these funds and give their time freely. It is a development that we should seek to encourage.