Academisation: Payroll Considerations


For those SBM’s and senior leaders who are considering becoming an academy or joining a multi academy trust (MAT) there are a mountain of things to consider across the areas of finance, human resources, payroll and pensions, and facilities management – many of which you may not have had responsibility for previously.

After helping over 200 schools make the transition to academy or MAT status Strictly Education were well placed to advise conference delegates on the key steps and considerations when embarking on this journey.


Payroll provision represents approximately 75% of any school or academy budget and therefore is an important element to get right from the start in order to fulfil reporting and governance requirements.

To ensure the new academy does not transfer any risk or liability from the previous employer in relation to payroll and pensions, tasks will need to be carried out including the current payroll being closed down and a new payroll set up with a new PAYE reference. In addition, you will need to register with Teachers Pensions’ and manage the employer responsibilities within the TP STU system, along with ensuring a full actuary review is carried out on the LG scheme, as this could affect your employer contributions moving forward.

Finally, having a robust and efficient payroll and pension administration at the centre is important for any growing MAT to be able to seamlessly add new academies and ensure the focus remains on pupil attainment during the transition period.

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