New updates to governance guides for Academies

The Department for Education (DfE) has published updated versions of the Academy Trust Handbook, and Governance Guide for trusts and schools, as well as new financial oversight guidance for trusts. The changes to existing guidance is minimal, but boards will need to be aware of the following:

Updated Academy Trust Handbook will come into effect on Monday 1 September 2025,changes include:

• Environmental sustainability – refers to sustainability leadership and climate action plans in line with DfE’s strategy with the expectation that all education settings will have a sustainability lead and a climate action plan by 2025
• Digital and technology standards – trusts should now be working towards meeting the six core digital and technology standards by 2030
• Managing Public Money (MPM) – further guidance on the accounting officer’s duty
• Executive pay – a new requirement for trusts to have an agreed pay policy setting out the process for determining executive pay. This must ensure that the approach to and levels of, executive pay and benefits are transparent, proportionate and defensible
• Cyber Ransomware – confirms trusts must not pay cyber ransom demands
• Intervention powers – educational performance has been removed from the examples provided as an area in which a Notice to Improve (NtI) may be issued on governance grounds
• Recovery of funds – a section on when DfE may recover funds
• Related party transactions – links to new guidance on managing conflicts of interest and related party transactions.

Governance Guide for Trusts changes:

• The need to remain compliant with statutory and contractual requirements relating to procurement, with links to relevant guidance and services
• The recommendation for trusts to undertake external reviews of governance (ERGs) every three years
• School funding information – added new grants and removed old
• A requirement for the chair to sign off the school’s digital reporting form return for PE and sport premium allocation
• Update to the legal basis for keeping admission and attendance registers and for providing information requested by the Secretary of State
• Suggested guidance to support the promotion of good behaviour of pupils, including the use of mobile phones and searching, screening and confiscation
• A greater emphasis on school premises and facilities being kept up to a standard where the health, safety and welfare of pupils is guaranteed
• A new section on nutrition under pupil mental health and wellbeing to cover the board’s role in school food. In line with the DfE’s school food guidance for governors and school food policy.

Financial Oversight Guidance for Trusts published in June 2025 supplementary to the Academy Trust Handbook and Expanded Guidance on Conflicts of Interest and Related Party Transactions also updated.