Academies financial returns
Guide and links to further information about financial returns academy trusts submit to DfE.
Applies to England
Introduction
The Department for Education (DfE) collects a variety of data from academy trusts to perform a number of compliance, legal and parliamentary functions. These cover the preparation of:
- sector annual report and accounts (SARA)
- spending review and HM Treasury requirements
- assurance to parliament on the oversight of the academy sector
- other legal requirements such as accounting standards or new legislation
DfE must ensure sector compliance with Academy trust handbook accountability and assurance framework. As well as offering support to academy trusts that need it.
Land and buildings collection tool
The land and building collection tool (LBCT) is a return that requires academy trusts to tell us about the land it uses. This includes how land is occupied and used, for example playing fields and school buildings. The LBCT asks for supporting documentation such as leaseholds, annotated site plans and tenancy agreements.
The LBCT also asks for details about any other leases your academy trust has entered into. These are largely at summary level, apart from any vehicle leases or leases that are not listed in our LBCT guidance.
All data that has been previously submitted via the LBCT will be pre-populated in the next return. This includes academies that have moved between academy trusts.
Why we ask for this information
We need this documentary evidence as it forms the basis of what we include as recognised asset in the sector annual report and accounts. This documentary evidence is reviewed by DfE as part of the SARA preparation and this forms the basis of audit evidence we present to our auditors, the National Audit Office. This is to ensure that values included in the SARA show an accurate consolidated view of the academy sector.
More information about LBCT submission
You can read the guide to completing the academies land and building collection tool and use a workbook to help you prepare.
Budget forecast return
The budget forecast return (BFR) collects unaudited data annually, which is split between by academic and financial years over the next 3 years.
BFR return collects the data for revenue income and expenditure, capital income and expenditure, other financial data such as details for any loans, investments, cash, and pupil numbers. The BFR also shows how your trusts reserves are forecasted to profile over the next 3 years. This should reflect the budgets that your trustees have signed off.
We request this data once a year during the summer.
Why we ask for this information
Collecting the BFR gives DfE an insight into academy trusts future solvency, forecasts, pupil numbers and helps us identify any academy trusts who could need some support. It also provides the department with assurance over financial governance through compliance with section 2 of the Academy trust handbook.
We use your BFR data as part of our own reporting requirements to HM Treasury and the BFR data is used as part of the spending review assessments that help influence future academy budgets. We also use your data extensively to analyse trends and forecasts to help with new policy formation as well as general analytical review work.
More information about BFR submission
You can read detailed guidance about the academies budget forecast return and link to the online form.
Accounts return
Academy trusts are required to submit to DfE an annual accounts return each year. The accounts return (AR) requires an independent auditor’s sign-off as part of the submission.
The AR must be completed for all academy trusts that received funding for any part of the academic year they were open, even if they closed part-way through the year.
Why we ask for this information
The AR is used for the academies consolidated annual report and accounts, which consolidates academy trust accounts for the year ending 31 August each year.
The consolidated accounts are requirement of government, and we must lay these in parliament each year for scrutiny.
A separate AR is required as the accounting standards the DfE must follow are different to the accounting standards as set out in the academy accounts direction that academy trusts must follow.
The AR also helps DfE to produce benchmarking data that is comparable with other academies and with maintained schools.
More information about AR
You can read the guide to completing the academies returns.
Chart of account and automation
The academies chart of accounts (CoA) is DfE’s standard for financial reporting and underpins the academies trust statutory financial returns.
Why we ask for this information
Using the academies CoA, the department has developed automation technology to reduce the burden of submitting your financial returns. This technology currently enables you to electronically submit your trial balance data directly from your financial management software (FMS) to the department, where it will then be used to pre-populate a significant proportion of the AR and the draft financial statement template.
Trusts are strongly encouraged to adopt the standard CoA in order to improve efficiencies and data quality.
If your trust is looking to upgrade their FMS software so you can take advantage of using the academies CoA and automation, review Choosing a trust’s financial management system.
More information about academies chart of accounts and automation
You can read more information about the academies chart of accounts and automation and the sector call and webinar dates we have available to join.
Academies Accounts Direction and financial statements
Why we ask for this information
Timely submission of accounts to DfE is essential for giving assurance to Parliament that academy trusts have used public money for the purposes intended.
The Academies Accounts Direction is used by academy trusts, their auditors and reporting accountants to prepare and audit financial statements for the accounting period ending on 31 August annually.
More information about Academies Accounts Direction
You can read the Academies Accounts Direction for guidance on submitting your audited financial statements.
How to contact us
If you have any questions about financial returns, you can contact us using the customer help portal.
Keep up-to-date
We communicate key actions and reminders, along with the latest information from the Education and Skills Funding Agency (ESFA), through ESFA Update, our weekly newsletter.
You can share Update with your colleagues, who might like to register for web alerts. This will notify you by email when we publish new editions of Update on GOV.UK.
Updates to this page
Last updated 31 July 2023 + show all updates
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We've updated this page with a summary of all the financial returns academies must provide to ESFA for 2023
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Updated details around the combination of the BFRO and the BFR3Y this year into a single online form this year.
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The deadline for academy trusts to submit their school resource management self-assessment tool (SRMSAT) checklist has changed to 15 April 2021.
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We have updated this page with the link to guidance for academy trusts on submitting their audited financial statements for 2019 to 2020.
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The land and buildings valuation data collection has been paused until the end of December 2020
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We have updated the page to change the deadline for academy trusts to submit financial statements to ESFA for the year ending 31 August 2020 to 31 January 2021 in light of COVID-19.
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Updated information on better financial reporting to include information about the new 'view my financial insights' portal.
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Updated to add information about the school resource management self-assessment tool checklist, which academy trusts must submit to ESFA by 14 November 2019.
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Updated information about the better financial reporting programme.
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Updated with information about the academies better financial reporting programme, which aims to improve academy trust financial reporting and reduce the burden on trusts.
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Updated information about new academy budget forecast returns.
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Updated the page to include a new guidance video explaing the outcome of the 2015 to 2016 consolidated academy sector annual report and accounts
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Updated information about academy trusts budget forecast returns.
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Updated with a link to information about submitting academy trusts 2016 to 2017 financial statements.
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Updated the link to the new page for the academies accounts return.
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Updated to add a link to the guide to completing the academies land and buildings collection tool.
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Updated information adding information about the land and building collection tool and a link to the budget forecast return online form.
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Updated information about arrangements for the academies budget forecast returns.
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Updated information about financial returns for 2015 to 2016.
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The Education Funding Agency has updated the page with information on how to register for the 2 December 2015 webinar for academies on completing the August accounts return.
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The Education Funding Agency has updated this page to confirm academy trusts no longer need to complete an annual value for money form by 31 December. Instead, trusts must complete an assessment of value for money within the governance statement in their annual financial statements.
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The Education Funding Agency has updated the page to include a link to the guide to completing academy trusts' 2015 to 2016 budget forecast returns. The online form academy trusts must use to submit the return will be published in June.
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The Education Funding Agency (EFA) has updated the guide to financial returns to include reference to the March 2015 accounts return, which academy trusts in scope must submit to EFA by 31 May 2015.
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Links added to newly-published March accounts return and Deloitte validation tests
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First published.