Introduction
Effective from 1 September 2025, the Department for Education (DfE) has released the updated Academy Trust Handbook 2025. While there are no radical changes, the updates reflect a continued emphasis on cybersecurity, sustainability, governance, and financial accountability.
Let’s take a closer look at the key updates and what they mean in practice:
Digital and cyber standards
Trusts are expected to work towards six core digital and technology standards by 2030. These aim to strengthen safeguarding and reduce cyber risk.
Action: Review your trust's digital infrastructure and cyber security approach.
Estates management
The Academy Trust Handbook 2025 now references the School Estate Management Standards (non-statutory). These offer a framework for effective estate planning and upkeep.
Action: Benchmark your current estate strategy against these standards.
Sustainability and climate action
Trusts must appoint a sustainability lead and develop a Climate Action Plan. This reflects the government's increasing focus on environmental leadership.
Action: Identify a lead and begin planning your trust’s climate response.
Educational performance
Educational outcomes are no longer a standalone reason for issuing a 'Notice to Improve'.
Action: Continue to support underperforming schools, but be aware of the shift in the regulatory triggers.
Procurement rules
Procurement guidance has been updated in line with the Procurement Act 2023 (in force since February 2025), focusing on transparency and value for money.
Action: Review and revise procurement procedures in line with the new legislation.
Cyber ransomware payments
Trusts are now explicitly prohibited from paying ransomware demands.
Action: Strengthen cyber defences and develop a formal incident response plan.
Financial oversight
Oversight of trust finances will now fall under the DfE’s regional groups, replacing the ESFA’s role. New guidance is available under the title
'Financial Support and Oversight for Academy Trusts'.
Action: Familiarise leadership with the new oversight structure.
Fraud and irregularity
The DfE can now recover funds where there is evidence of fraud or financial misconduct.
Action: Ensure robust reporting channels and anti-fraud procedures are in place.
Redefined 'repercussive'
The term 'repercussive' now includes decisions that could set a precedent or increase costs elsewhere in the public sector.
Action: Seek advice before proceeding with unusual or novel proposals.
Executive pay
Executive pay must be reasonable and defensible. The DfE reserves the right to challenge it.
Action: Review current senior pay levels and document the justification for each.
Income thresholds
Income thresholds will now be based on audited accounts, rather than projected figures.
Action: Ensure year-end accounts are accurate and submitted on time.
Accounting officer duties
These have now been explicitly aligned with the HM Treasury's Managing Public Money framework.
Action: Review and update internal role descriptions and responsibilities.
What should academy trusts do now?
✓ Review and update policies and procedures by 1st of September 2025.
✓ Communicate these changes with your leadership team and trustees.
✓ Prioritise areas like sustainability, cyber security, financial compliance, and procurement.
