In May 2010 the Department of Education invited schools to apply for academy status. Since then there has been something of a stampede as schools seek to gain a greater degree of autonomy and independence in the running of their affairs.
Such is the enthusiasm up and down the country to convert that Phil Herriott, specialist education relationship manager at Lloyds TSB Commercial Key Markets, believes "Within the next two or three years most state-funded schools (primary and secondary) are likely to be academies."
Converting to academy status
Phil, who works closely with schools in the Birmingham and Solihull area, supported St Patrick's Church of England Primary School in Solihull during its conversion. It was one of the earliest primary schools in the UK to convert and the first in Solihull to apply for and achieve academy status.
"In addition to setting up banking services, I was able to provide the school with guidance on how to locate additional information on academy funding. One of the major areas we discussed was cashflow, because state-maintained schools tend not to be so experienced in cashflow planning or in having to work within a strict monthly budget rather than rely on the local authority as they could before. That's one of the areas where I have been able to add value."
According to Phil, while changing to academy status usually requires a degree of financial up-skilling for the school business managers, it's also essential that schools engage with the appropriate professionals at a very early stage.
"Most academies automatically look at the legal side, because that is one of the first actions of becoming an academy, dealing with the land transfer and long-term leases. But they often fail to bring in an accountancy firm which could save them a lot of work when it comes to year-end."
Phil has long established relationships with a number of national and local accountancy and legal firms and can introduce relevant and skilled firms accordingly.
"Very often, we will provide details of professionals that other schools have used in the area, who we've heard good things about."
Understanding schools' needs
While Phil's role as relationship manager is fundamentally about what he can provide in terms of banking support, to fully understand the school business manager's role, he and the wider team across the country have all been fully trained and accredited by The National Association of School Business Managers (NASBM). Indeed, he was recently asked to formalise the Solihull Schools Business Managers Group which meets regularly to discuss best practice and support each other in what can be a pretty lonely job.
"The training and accreditation means that we gain a far greater understanding of the intricacies and pressures of the school business manager's role so can recommend efficient alternative solutions such as ParentPay, an online payment system."
Having supported over 75% of local schools through the conversion process, Phil is ideally placed to share best practice, useful contacts and relevant services for schools. And with so many going for academy status, Phil has noticed a new spirit of collaboration with schools coming together to form soft federations where they combine their buying power to achieve real efficiencies.
"There are huge advantages to be had from collaborating and sharing knowledge, and if you have different skills in different areas, then share those skills. It's not just about costs, it's about efficiencies, and I think that could, and should be applied in other sectors."
Why not visit our website for information on schools and academy banking or to arrange a meeting with your local specialist Lloyds TSB education relationship manager.
Lloyds TSB Commercial is a trading name of Lloyds TSB Bank plc and Lloyds TSB Scotland plc and serves customers with an annual turnover of up to £15m. This content has been provided by Lloyds TSB, part of the Lloyds Banking Group.
The Lloyds Banking Group includes Bank of Scotland plc and a number of other companies using brands including Lloyds TSB, Halifax and Bank of Scotland, and their associated companies.
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