Asked by: Sally-Ann Hart (Conservative - Hastings and Rye)
Question to the Department for Education:
To ask the Secretary of State for Education, if she will take steps to ensure that academy trusts publish details of (a) how their schools' annual grants are pooled and (b) (i) how and (ii) for what purposes funding is allocated to each school.
Answered by Damian Hinds - Minister of State (Education)
A trust with multiple academies can pool the general annual grant (GAG) to form one central fund. The ability to pool funding gives trusts the ability to direct funds to meet improvement priorities and running costs across its schools and deliver a successful financial operating model for their trust. The Academy Trust Handbook (ATH) requires that if a trust decides to pool their GAG, then it must consider the funding needs and allocations of each constituent academy.
The department requires a high level of accountability and transparency of academy trusts. Academy trusts’ status as companies, charities and public sector bodies, means they have a rigorous tri-partite framework and are held up to greater scrutiny. Trusts must account properly for their money and publish annual accounts, which must set out how much funding was held by each of their academies. In addition, a breakdown of each academy’s income and expenditure is available on the schools financial benchmarking website.