What's Changed in the Academy Trust Handbook 2025 and Why It Matters
The Academy Trust Handbook 2025 has been published, but what’s changed? A lot of the handbook will look familiar, but we’ve broken down the key updates that trust leaders need to be aware of and what needs actioning to ensure compliance from 1 September 2025.
The 2025 handbook introduces nine key updates spanning digital transformation, financial governance, and operational compliance. Most significantly, trusts face new mandatory requirements around cyber security, executive pay transparency, and technology standards that will fundamentally impact how multi-academy trusts operate.
Academy Trust Handbook at a Glance: Key Actions and Deadlines
Priority |
Area |
Change |
Required Action |
❗ High |
Digital Standards |
Trusts must be working towards 6 core digital & tech standards by 2030 |
Complete self-assessment via DfE tool and initiate digital plan |
❗ High |
Executive Pay |
New clarification on board roles and pay transparency |
Review and document executive pay policy and publish salary bands |
❗ High |
Cybersecurity Compliance |
Trusts must not pay ransomware demands |
Update incident response protocols to align with this requirement |
⚠️ Medium |
Procurement Rules |
Guidance updated to reflect Procurement Act 2023 |
Review financial procedures and thresholds; ensure compliant tendering |
⚠️ Medium |
Internal Scrutiny |
Thresholds now based on last audited accounts |
Adjust committee structures if income now exceeds thresholds |
🟢 Low |
Sustainability Planning |
Encouragement to have a climate action plan by 2025 |
Begin using linked guidance to build your trust-wide sustainability plan |
High Priority Changes: Immediate Action Required:
1. 2030 Digital & Technology standards (1.16)
What’s new: The Department for Education has introduced six mandatory core digital and technology standards that all academy trusts must work towards achieving by 2030:
-
- Broadband internet
- Network switching
- Wireless networks
- Cyber security
- Filtering and monitoring
- Digital leadership and governance
Why This Matters for MATs: This represents the most significant technology mandate for academy trusts to date. The standards directly link to safeguarding obligations, operational continuity, and cyber resilience – areas where failure could result in regulatory intervention.
Immediate actions: Complete DfE self-assessment; conduct a full technology audit across all academies; begin planning for broadband, filtering, cybersecurity etc.
2. Executive Pay must be “reasonable and defensible”(2.27–2.30)
What’s new: The handbook now includes strengthened guidance requiring boards to follow documented, evidence-based pay policies for all executive remuneration, including salary and additional benefits packages.
Why This Matters for MATs: With increasing public scrutiny over executive pay in the education sector and heightened DfE oversight, trusts must demonstrate robust governance around remuneration decisions.
Immediate action: Review pay policies; ensure all benefits and pay are properly documented; review tax compliance for all executive benefits.
3. Cyber Ransomware Payments (6.15)
What’s new: The new handbook explicitly states that Trusts must not pay ransomware demands under any circumstances.
Why This Matters for MATs: This absolute prohibition requires trusts to have robust cyber security and incident response capabilities, as paying ransoms is no longer an option for recovery.
Action: Update incident response plans and policies; review cyber insurance coverage and terms; train all staff on ransomware prevention.
Medium Priority Changes: Plan Implementation Now:
1. Procurement Rules Updates (2.24–2.26)
What’s new: Updated procurement requirements reflecting the Procurement Act 2023 and revised Find a Tender Service thresholds.
Why it matters: Procurement compliance is fundamental to achieving value for money and avoiding regulatory breaches that could trigger intervention.
Action: Review financial procedures; train staff on updated rules
2. Clarification on Internal Scrutiny Thresholds (3.6, 3.16)
What’s new: Trust income thresholds for internal scrutiny requirements now reference the latest audited accounts rather than projected income.
Why it matters: This may push some trusts over the £50m threshold, requiring structural changes to incorporate a dedicated audit and risk committee.
Action: Review your latest accounts; update committee arrangements.
3. Estates Management Good Practice Guidance (1.20)
What’s new: Enhanced guidance linking to good practice frameworks and Reinforced Autoclaved Aerated Concrete (RAAC) assessment requirements.
Why it matters: This will ensure estates are legally compliant and safe.
Action: Align estate strategy with DfE standards; assess RAAC risks.
Low Priority Changes: Long-term Planning:
1. Climate Sustainability Guidance (New link)
What’s new: Encourages Trusts’ development of a climate action plan by 2025.
Why it matters: This should help trusts prepare for future funding and reporting expectations.
What’s new: Expanded duties aligned with Managing Public Money including ‘feasibility’ as a key test.
Why it matters: Higher expectations for AO judgement and challenge.
What’s new: Educational performance no longer a trigger for Notice to Improve – focus is now governance and finance.
Why it matters: Indicates shift in DfE’s intervention priorities.
Where can expert guidance add value?
The complexity of these changes, particularly around digital standards and financial governance, may require specialist support. Consider professional assistance for:
- Digital Standards Implementation: Technology audits, cyber security assessments, and infrastructure planning
- Financial Governance: Executive pay benchmarking, procurement compliance, and internal scrutiny arrangements
- Risk Management: Cyber security policies, incident response planning, and estates compliance
Get in touch with our team today to discuss how we can support your journey to compliance.