Academy Trusts are held to account by the EFA to comply with the Academies Financial Handbook, their funding agreements, and all relevant aspects of company and charity law. At the most fundamental level, this means ensuring that there are robust systems of risk management and internal control in place; that financial control is exercised consistently; and that the organisation implements appropriate measures to protect its assets from fraud or loss.
Internal control extends far beyond financial control. Academy Trusts have a duty to implement processes for the regular review of the risks they face across all their operations and to ensure that those risks are reduced to acceptable levels. This duty encompasses ensuring effective safeguarding arrangements for the protection of pupils and the entire school community.