We can help Headteachers and Governors of schools considering converting to academy status establish the Academy Trust and understand the implications of doing so.
What is the Academy Trust?
In layman’s terms, the Academy Trust establishes and runs the “academy” i.e. the new school. The Academy Trust holds the assets and contracts of the school, employs its staff and receives its funding.
In legal terms, the Academy Trust is a charitable company limited by guarantee. A company is a “legal person”. It is separate and distinct from its directors and its members.
How is the Academy Trust governed?
The terms of reference of the Academy Trust are set out in its “articles of association”. The articles of the association are prescribed by the DfE and there is very limited scope to change them. Some of the issues which the articles cover are:
- the “objects” of the Academy Trust. In other words, what it must, can and cannot do
- members of the Academy Trust (e.g. becoming a member, ceasing to be a member, meetings, voting, rights and powers)
- governors of the Academy Trust (e.g. appointment, resignation, dismissal, meetings, voting, rights and powers)
The articles of association of the Academy Trust are approved by the Secretary of State and may not be changed without the approval of the Secretary of State.
Governors
The governors will be responsible for the management of the academy but may delegate some of their powers to committees or one person e.g. the Headteacher or, in academy jargon, the Principal. The governors may also be described as the directors of the Academy Trust and its trustees.
Members
The members are a step removed from the management of the academy. However, they have a “reserve” power to regulate the Governors’ behaviour. Certain matters will be subject to member approval.
