Source · Select Committees · Public Accounts Committee
Recommendation 31
31
The Academy Trust Handbook requires relevant trust staff to hold appropriate financial qualifications and experience.81...
Conclusion
The Academy Trust Handbook requires relevant trust staff to hold appropriate financial qualifications and experience.81 However, this requirement does not extend to trustees, including for trustees sitting on audit or finance committees. We therefore asked how the Department and ESFA ensured that academy leaders and trustee had an appropriate level of qualification, expertise and experience. The ESFA told us that it considered the overall regulatory framework for academies was very clearly set out, and that it was first and foremost the boards of academy trusts who were responsible for ensuring that “they have in place good, strong and sound arrangements”.82 In its letter to us following our evidence session, the Department confirmed that trustees were expected to perform an annual review of skills, as required by the Academy Trust Handbook. It explained that, as part of this review, boards should identify any further skills or experience needed and 76 Qq 40, 48 77 Academy schools sector in England: Consolidated Annual Report and Accounts for the year ended 31 August 2020, pages 6, 52 78 Academy Trust Handbook 2021, part 4 79 Academy schools sector in England: Consolidated Annual Report and Accounts for the year ended 31 August 2020, page 56 80 Qq 50–1 81 Letter from Susan Acland-Hood, Permanent Secretary, Department for Education, to Dame Meg Hillier Chair of Committee of Public Accounts, PAC: 2019–20 Academies Sector Annual Report and Accounts, 1 February 2022; referencing the Academy Trust Handbook 2021 para 1.46 82 Q 49 20 Academies Sector Annual Report and Accounts 2019/20 address gaps through recruitment, induction, training or other development activities, and that the Department had published a Competency Framework for Governance to support boards to do so.83
Government Response
Not Addressed
HM Government
Not Addressed
6.1 The government agrees with the Committee’s recommendation. Target implementation date: September 2022 6.2 There is already a robust regime in place for prohibiting unsuitable individuals from participating in the management of independent schools, including academies. The government will also be making regulations under section 19(7)(c) of the Skills and Post-16 Education Act 2022 to prevent trust leaders judged to be unfit from moving to elsewhere in the education system. Where an individual is currently subject to a direction prohibiting them from participating in the management of an independent school they are also excluded from accessing a range of ESFA funding in accordance with the published Funding higher risk organisations and subcontractors policy. 6.3 In that document, the department has continued to improve its mechanisms for assessing the risk of trust failure. Furthermore, the Schools White Paper sets out plans for the better regulation of trusts, including a set of statutory standards underpinned by new intervention powers. The White Paper announced the launch of a regulatory review in May 2022 looking at all aspects of trust accountability and regulation. In conducting the review, the department will have regard to the issues raised by the Committee. The department will write to the Committee by September 2022 with a full response. 30