Shrewsbury Academy Trust ends year £2 million in red
An academy trust has had to rely on additional funding support after ending the academic year £2 million in the red.
Shrewsbury Academies Trust incurred a deficit in 2017 and is budgeting for a £900,000 deficit for the 2018 year.
A new board of trustees was formed to improve the finances at the schools in the trust.
The trust includes Shrewsbury Academy, Grange Primary School and Longlands Community Primary School.
A statement from the board of trustees, said: “The Shrewsbury Academies Trust incurred a deficit in 2017 and is budgeting a deficit for the 2018 year.
“As detailed in the director’s report and financial statements for the year ended August 31 2017, the trust incurred a trading deficit (before FRS102 actuarial pension scheme gain or loss) of £2.009m in 2017.
“The board of trustees is forecasting a substantial reduction in the trading deficit in 2018, with a forecast deficit in the region of £900k.
“In the short term the trust continues to be dependent upon additional funding support from the Education and Skills Funding Agency (ESFA).
“A new board of trustees was formed in May this year, chaired by Lowell Williams, CEO of Dudley College of Technology and chairman of the Dudley Academies Trust.
“Details of the trust’s new highly skilled board can be found on the trust’s website.”
An interim chief executive has been appointed after Geoff Pettengell stood down in May, and a new headteacher John Arnold was appointed in June.
The statement continued: “With a wealth of experience, the new board of trustees, with the support of the CEO and the trust’s three head teachers, has developed a detailed strategy aimed at ensuring a long term sustainable financial model for the trust.
“The trust has shared these plans with the ESFA. In response, the trust is delighted to have received support for the development of improved and expanded facilities at the Shrewsbury Academy’s Corndon Crescent Campus site, including new science labs.
“This is the first phase of an exciting development, with longer term plans for a completely new building on one site.
"We are very clear that the best scenario is for all our Shrewsbury Academy staff and students to be on one campus. That will be the case from January 2019.
"With the on-going support of the Department for Education, the new board of trustees, the trust’s leadership team and staff across our three schools, will work tirelessly to ensure that all students receive the best possible education at the Shrewsbury Academies Trust."