Academy Trust Leaders Depart Following £379k Expenditure on Supply Agencies
Introduction:
Three senior staff members left the Lime Trust after an internal audit uncovered an undisclosed conflict of interest related to £379,000 paid to a supply teacher agency run by a relative. The trust has since suspended all dealings with the company and individuals involved, and an external investigator confirmed no loss of funds or failure to achieve value for money.
Full Article: Academy Trust Leaders Depart Following £379k Expenditure on Supply Agencies
Title: Academy Trust Loses Three Senior Staff Over Conflict of Interest Involving Teacher Agency
Internal Audit Reveals Conflict of Interest
Three senior staff members have left the Lime Trust, an academy trust that operates eight special and primary schools in London and Cambridgeshire, after an internal audit uncovered an “undisclosed conflict of interest” regarding the hiring of supply teachers from ChoSEN Teacher Recruitment, a company run by a relative. The academy paid £379,000 to the supply teacher agency during the 2021-22 academic year.
Immediate Suspension and Investigation
Following the discovery of the conflict of interest, the trust immediately suspended all dealings with the company and individuals involved. An external investigator was called in, and it was found that the conflict of interest was intentional. The Education and Skills Funding Agency and regional schools directors at the DfE were informed, and the individuals involved no longer work for the trust.
Academy Rules and Trust Actions
Trusts are required to declare any related-party transactions and ensure “propriety in the use of public funds, including in relation to any actual or perceived conflicts of interest.” The trust assured that it operates with the highest standards of probity and transparency, and the ESFA was satisfied with the decisive and appropriate action taken.
Probe Findings and Trust Accounts
An external investigator, as mentioned in Lime Trust’s accounts published in January, found that there was no loss of funds or failure to achieve value for money. The trust was reviewing its controls in this area in response to the incident. The trust had an operational deficit of £161,000 in the year to last August, down from £972,000 the year before. The three staff members who departed held senior leadership positions in the trust.
Company Winding Up and Government Response
ChoSEN Teacher Recruitment, the supplier involved, is being wound up, and the company did not respond to a request for comment. The trust is now reviewing school spend on supply cover, reducing the use of agency staff, and negotiating better daily rates with a range of suppliers. A government spokesperson stated that the ESFA was aware of the case and is satisfied that the trust has taken actions to address the issues and prevent similar incidents from happening in the future.
Summary: Academy Trust Leaders Depart Following £379k Expenditure on Supply Agencies
Three senior staff left an academy trust due to an “undisclosed conflict of interest” in a deal worth £379,000. The trust called in an external investigator, and the Education and Skills Funding Agency were informed. There was no loss of funds, but the incident prompted the trust to review supply cover spend.
Leaders leave academy trust after £379k supply agency spend
FAQs
What was the reason behind the leaders leaving the academy trust?
The leaders left the academy trust due to concerns over the £379k supply agency spend.
How did the £379k supply agency spend affect the academy trust?
The excessive spend on supply agency caused financial strain on the academy trust, leading to the departure of the leaders.
What steps are being taken to address the issue of supply agency spend?
The academy trust is implementing measures to control and reduce the spend on supply agency, including reviewing budget allocations and exploring alternative staffing solutions.
How will the departure of the leaders impact the academy trust’s operations?
The departure of the leaders may bring about changes in the management and direction of the academy trust, but efforts are being made to ensure continuity and stability.
