Academies struggling just as muchDate: 01.02.2019
The Guardian reports that:
Schools in England are merging into larger academy chains and slashing costs in a bid to manage “unsustainable” deficits, according to an authoritative survey of more than 1,000 academies.
The report by the Kreston academies group found that half of the schools had an operating deficit last year, with only stringent cuts and the sharing of resources within multi-academy trusts (MATs) stopping the figure from being higher.
The group said that while the average deficits at academies fell in 2018 compared with 2017, further spending reductions would be much harder to achieve, and uncertainty was being caused by higher pension contributions, increased teacher pay and crumbling school
This financial trend is also consistent with what is being seen in the maintained sector. Recent DfE data shows that more than 30% of maintained secondary schools now have in-year deficits, and the size of these deficits has increased by over 16% to an average of £484,000 in the academic year 2017/18.