There is growing nervousness in academy trusts about the future of the sector’s finances with concerns over future funding, wages and cost pressures, shows the 11th annual Kreston Academies Benchmark Report. 

The number of trusts with an in-year deficit remains at 19%. Primary single academy trusts (SATs) are most likely to be operating with a deficit, and the impact of capital expenditure can be seen very clearly in this category. The future challenges are particularly acute for primary schools as falling pupil numbers start to come through the system.