Funding leads school trust leaders concerns, CST study finds

School budgets remain under pressure with funding being the primary concern of trust leaders, with many academy trusts cutting staff and dipping into reserves, according to a national survey.

The Confederation of School Trusts’ (CST) annual National School Trust Survey found that while trust leaders are marginally more confident about finances than a year ago, most continue to face difficult trade-offs to balance budgets.

More than four in five trusts said balancing budgets and reducing costs were their main financial priorities. Over half are considering cuts to classroom staff, with 60% planning to reduce teaching assistant hours and 54% reducing teacher numbers. A third of trusts expect changes to school leadership, and one in five to central support and leadership roles.

Despite these pressures, inclusive education was identified as the top educational priority, cited by over three-quarters of respondents. Other focus areas included pupil attendance (64%), narrowing the attainment gap (50%) and assessment (45%).

Artificial intelligence is emerging as a new tool, with two-thirds of trusts piloting or experimenting with the technology – double the figure from last year. Trusts reported using AI to minute meetings, analyse data, and generate policies and reports.

The survey also highlighted attendance and wider provision. Trusts reported a range of strategies to improve attendance, including targeted interventions for at-risk pupils, monitoring and tracking, and parental engagement. Almost all – 97% – provide some form of wraparound care, from breakfast clubs to after-school activities, with a mix of free and paid services.

Looking ahead, 59% of trusts said they expect to expand in the next year, with most planning to add three schools. One in six is considering a merger with another trust. Around nine in 10 continue to provide support to schools outside their own organisations.

This was the fourth annual National School Trust Survey. Nearly 400 trust accounting officers – usually the chief executive – completed the online questionnaire in June 2024.

CST chief executive Leora Cruddas said: “Improving education on behalf of children is the mission that drives trusts forward, but that work depends on the same things as any large organisation: funding, people, and our ways of working.

“For the second year, financial sustainability has emerged as the top priority for school trust leaders in our annual survey. While inflationary pressures have lessened slightly, more than four in five trusts tell us they are looking at reductions in staffing and reducing costs, as well as innovating using emerging new technologies to save staff time.This is all change with a purpose: to continue the mission of trusts to build an always-improving, brilliant education system for our children.”

Ernest Jenavs, co-founder of Edurio, the school feedback organisation that conducted the survey with CST, added: “The survey found that, after many years of it being a prominent issue in the sector, fewer chief executives are concerned about recruitment and retention – unfortunately that seems to be because trusts are having to reduce staff costs because of budgets, and looking ahead to falling pupil rolls in the future.

“We also found that the adoption of artificial intelligence tools is rapidly accelerating and potentially wide-reaching, touching every area of what schools and trusts do. This is something to keep a careful watch on.”