Academy regulation 'too weak' according to MPs report

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Education Secretary Nicky Morgan will be questioned about "loopholes" in academy regulation when she appears before the Education Select Committee next month, following research that found weaknesses in the system of monitoring how academies spend public funds.

The research, commissioned by MPs to assess conflicts of interest in academy trusts and sponsorship arrangements, found that although regulation had improved since 2010, the checks and balances on academy trusts are still too weak. 

The report's recommendations include:

  • The introduction of a fit-and-proper persons test at individual academy and academy trust level;
  • To review whether further steps are required to strengthen the regulations for governance in trusts;
  • To review the arrangements for the new Regional Commissioners and Head Teacher Boards to assess whether there are sufficient controls in place to monitor and prevent conflicts of interest;
  • To review whether the regulatory powers of the Education Funding Agency should be split from its funding role; and
  • To consider whether larger trusts should be required to appoint a part-time Company Secretary to ensure probity in decisions around the constitution and powers of Boards and governing bodies.

Click here to read the full report.