Question to the Department for Education:

To ask the Secretary of State for Education, how the Education Funding Agency determines whether related party transactions by Academy Trusts are made at cost.

Academy trusts are responsible for ensuring that connected party transactions comply with the ‘at cost’ policy as required by the Academies Financial Handbook. The trust’s accounting officer must report in their statement of regularity, propriety and compliance any instances of material non-compliance and the external auditor must provide a regularity report to the trust and Education Funding Agency stating whether these transactions comply with the handbook. The Academies Financial Handbook can be found on GOV.UK at: https://www.gov.uk/government/publications/academies-financial-handbook-2015