Correspondence

ESFA Update academies: 26 April 2023

Published 26 April 2023

Applies to England

1. Information: we have published the Academies Accounts Direction 2022 to 2023

We have published the Academies Accounts Direction 2022 to 2023.

The primary users of this Direction will be those involved in the preparation of the annual report and financial statements. It is also relevant to accounting officers, external auditors and reporting accountants of academy trusts. Trustees will also find the Direction helpful, in ensuring they fulfil their financial reporting responsibilities.

Compliance with the Direction, including the separate model accounts document, is a condition of an academy trust’s funding agreement.

The 2022 to 2023 Direction does not introduce any new requirements, and the changes made provide clarification on existing requirements. We have also published an updated auditor framework and guide for external auditors and reporting accountants of academy trusts.

1.1 Action: we are seeking feedback on the updated Academies Accounts Direction

We are seeking feedback on the updated Academies Accounts Direction, including the model accounts document, from academy trusts and auditors.

We would appreciate you taking a few minutes to complete the short survey, which will help us to ensure that the Academies Accounts Direction continues to meet your needs.

Please note there will be a separate survey to collect feedback on the academies accounts return (AAR) and this will be available within that return.

2. Information: schools supplementary grant (SSG) school level allocations for academies, April to August 2023

We have published the final schools supplementary grant (SSG) school level allocations for academies.

As academies’ funding follows an academic year rather than a financial year, this final payment will be made to academies to cover April to August 2023.

This will be allocated using the same rates and pupil numbers as the 2022 to 2023 grant and represents five-twelfths of their 2022 to 2023 allocations.

The SSG funding has been rolled into core funding (GAG) allocations from the 2023 to 2024 funding year onwards.

3. Information: mainstream schools additional grant (MSAG) school level allocations and conditions of grant for 2023 to 2024

We have published the mainstream schools additional grant (MSAG) school level allocations for 2023 to 2024 and conditions of grant.

This follows the 2022 Autumn Statement announcement that the core school budget will increase by £2 billion for 2023 to 2024 financial year (and the following financial year), over and above the totals announced in the 2021 Spending Review. The MSAG allocates mainstream schools’ portion of this funding increase.

First payments to maintained schools will be made via their respective local authority in April 2023. Academies will receive payment in May 2023. These initial payments will cover the period April 2023 to August 2023. A second payment of the MSAG will be in October 2023 for local authorities, and November 2023 for academies, to cover September 2023 to March 2024.

As academies’ funding follows an academic year rather than a financial year, an additional payment will be made to academies to cover April to August 2024. This will be allocated using the same rates and pupil numbers as the 2023 to 2024 grant and will represent five-twelfths of their 2023 to 2024 allocations.

The MSAG funding will then be rolled into core funding allocations from the 2024 to 2025 funding year onwards.

4. Information: implementing the direct NFF, government consultation response

We have published the government’s response to the public consultation on implementing the “direct” schools national funding formula (NFF).

The response confirms two reforms that will begin in 2024 to 2025, as part of the transition towards the direct NFF.

Firstly, that we will reform the funding for schools which have more than one site, through a new factor within the NFF. We have also published a list of the schools we are aware are eligible for funding under the new criteria. We welcome feedback on this list. Contact details are available on the spreadsheet.

Secondly, that we will make changes to the operation of growth funding which is allocated to local authorities.

5. Information: individualised learner record (ILR) funding returns guidance 2023 to 2024

We’ve published our guidance for 2023 to 2024.

This is to help funded institutions returning ILR data, make accurate returns.

We have set out some small changes from 2022 to 2023:

• clawback profile set out in Annex C
• Annex D has been updated with some additional technical advice
• Annex E has been updated with some additional technical advice in respect of institution self-checking of ILR data.

6. Information: visit Buying for Schools at the Schools and Academies Show, 17 May

Join the DfE Schools Commercial Team at the Schools and Academies Show, London Excel on Wednesday 17 May.

The team will be hosting a session at the show:

10 – 10:30: How Get help buying for schools can help your school (Business and Finance theatre)

You can also speak directly to the team and join our mini sessions at the Government Education Village:

• 13:50 – 14:10: Energy and your school
• 14:20 – 14:40: Is your school cyber secure?

Register now. Registration is free for schools, multi-academy trusts and the wider public sector.

7. Information: Buying for Schools webinars – book your place now

Are you a school business professional who buys goods and services for your school?

We host regular webinars on how using our approved frameworks could help your school get value for money. Click on the links to find out more and book your place:

• The Risk Protection Arrangement - an alternative to commercial insurance – 3 May
• Buying financial support to cover you for staff sickness or absence – 3 May
• Buying support services for your school – 9 May
• Buying cloud-based computing services for your school – 9 May
• Buying electricity and mains gas for your school through West Mercia Energy – 9 May

You can find the full programme of webinars for the summer term on the Summer 2023 webinar page. Visit the page to find out more and book your place.

8. Information: book a 1:1 chat to discuss your school’s buying needs – slots available 11 May

Schools Commercial Team are offering the opportunity for a free, virtual 1:1 conversation with a member of the team, to see how we can support you.

You can speak to us about anything you like to help you make informed buying choices for your school.

There is no pressure or obligation to take any of our recommendations forward following the conversation. Book your 1:1 conversation now.

9. Information: energy management: smart meters – helping you make better informed decisions about energy use

Read our latest Buying for Schools blog post to hear Kathryn Swanson, DfE Project Manager, explain more about how smart meters could help you better understand and manage energy use in your school or trust.

10. Information: make an honour nomination

DfE are looking for people who have made life better for other people or been outstanding at what they do across the education and childcare sectors.  We want to recognise deserving people, of all ages, backgrounds and walks of life who are making a positive difference.

Ministers at DfE are particularly looking for nominations in:

• early years, further education, and children’s social care
• innovation in education
• nominations for outstanding achievement in hands on services to the community, for example, nursery assistants, lecturers, lab assistants, teachers, teaching assistants, nursery cooks, meal-time assistants, estates managers, caretakers, and crossing patrol officers.

Anyone can nominate someone, and anyone can receive an award.  The nomination form and additional information are available online.

11. Your feedback: user research on centrally employed MAT staff in the School Workforce Census

The Data Directorate is carrying out research into the data gap on centrally employed MATs staff in the School Workforce Census. The aim of the discovery is to investigate whether this data can and should be ingested by the department and the options for delivery.

We are inviting MATs to take part in a research session looking at the structure of your school trust and data systems, and the processes for collecting, storing and sharing data on centrally employed staff. The research session will be an interview lasting up to 60 minutes.

If you are interested in taking part, please contact us via email.

More information will be provided to those who express an interest, however if you have any questions, please get in touch via email.