Introduction & Posting Guidelines - Please Read First
It has been stated that "there should be no financial advantage or disadvantage for a school converting to academy status."
It is difficult to square this statement with the following information taken from a consultation document prepared by Preston Business and Enterprise College in Somerset.
I include THIS LINK to their full consultation outline document which is very instructive and seems to me to be exemplary in its approach.
Funding is payable by the Secretary of State
Academies receive the same funding as maintained schools with the additional funding for services that the LA would have provided – it is clear however that there is currently a financial incentive to convert now and the quicker the conversion the greater the financial gain
A school converting on or before 1st August will receive additional funding of £539 per student, based upon current student numbers the school would receive an additional £506,121 per annum.
A school converting on or after the 1st September will receive additional funding of £239 per student
Initial indications are that the funding difference will reduce over time, we are still waiting for exact details although initial enquiries suggest a drop of between 10-20% in the second year
An additional £25,000 grant is payable to support the school's conversion to an Academy
The introduction of a new national funding arrangement is expected for 2014/15, I would anticipated parity for all Academies as an outcome of this process
All costs associated with running the school become the responsibility of the Academy Trust – increased liabilities include maternity leave, redundancy costs, pension provision, legal costs, insurance and indemnity requirements.