Schools: Finance
The question
To ask the Secretary of State for Education, pursuant to the Every child achieving and thriving White Paper published 23 February 2026, what steps she is taking to address the (a) financial and (b) operational instability of some school trusts, ahead of the proposed move to a system where all schools will be part of school trusts.
Answered by Georgia Gould
The department sets robust expectations that trusts must have the financial, leadership and management capacity to plan effectively and act in the best interests of pupils. Where this is not the case, we will intervene. Where concerns about financial compliance or governance arise, the department can issue a Notice to Improve, setting conditions the trust must meet to avoid further intervention.
Alongside this, the department supports trusts through high-quality advice, tools and development opportunities to strengthen financial management, reduce the risk of financial difficulty and ensure resources are used effectively to maximise value for pupils. The latest published data shows that 96% academy trusts are operating with a cumulative surplus.
The government will also strengthen accountability through new trust standards and trust inspection, including assessment of governance. Multi-academy trust inspection will provide clear insight into strengths and weaknesses, support improvement, identify trusts ready to grow, and ensure resources are used efficiently to deliver high-quality education for all pupils so every child can achieve and thrive.
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