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The Academies Financial Handbook 2013 came into effect on 1 September 2013 and from this date it replaced the 2012 edition. We published an update to the 2013 handbook on 31 October and the changes are explained in the accompanying factsheet.
The handbook describes the financial management and control requirements for academy trusts arising from their funding agreement with the Secretary of State for Education. The handbook, together with the funding agreement, documents the financial relationship between academy trusts and the Education Funding Agency (EFA).
The handbook applies to all types of academy trust, including free schools, and is for use by anyone with a financial role within an academy trust including trustees, accounting officers (principals and chief executives), principal finance officers (finance directors and business managers) and auditors.
We have developed the 2013 edition following extensive consultation across the sector through the Academies Finance and Assurance Steering Group. It maintains the shorter format introduced in 2012, with a focus on the rules rather than detailed guidance. It also emphasises the accounting officer’s personal responsibility to secure regularity, propriety and value for money in the conduct of the academy trust’s financial management.
The current edition includes a number of changes which are highlighted at the beginning of the handbook, as well as in the factsheet. It introduces additional flexibilities for academy trusts, including increased autonomy to deal with asset disposals and leases, and the freedom for a multi-academy trust to pool its GAG. It also describes the ‘not for profit’ principle that must apply to the supply of goods and services to academy trusts by sponsors and other connected parties.
The handbook also refers to the annual value for money statement, announced in the 2012 edition. Accounting officers are required to complete and send this to the EFA by 31 December 2013.
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Peter Lauener Letter Academies Financial Handbook
PDF, 77 Kb
Information about the academies finance and assurance steering group.
Information regarding value for money reporting for academies