Academies Manual

• Guidance notes that provide you with essential background knowledge on the key aspects of the academies sector. They also cover the key aspects of the regulatory, accounting and reporting requirements for academies regulated by the DfE.
• Example engagement letters for audit (including group audits), regularity reporting and teachers’ pensions assurance reports, including groups. There is also an example letter of representation. A group audit questionnaire is also included, along with a group audit instruction letter.
• Example audit (including group audits), regularity reporting and teachers’ pensions assurance reports for academy trusts.
• Example pro-forma accounts.
• Academy accounts disclosure checklist incorporating the requirements of the current Academies Accounts Direction.
• Permanent file documentation that provides a structure for your permanent files and outlines the information required which is of continuing importance to an audit over a number of years.
• Academy specific current file documentation providing you with the planning, completion and detailed work programmes needed to undertake both a single entity audit and a group audit. Lead schedules and a current file index are also included. Additional programmes are also included which guide you through the regulatory reporting requirements and the additional work required to undertake the agreed-upon procedures report on teachers' pensions.
• Supplementary forms that provide additional resources that may be useful for certain scenarios , including a file review checklist.

September 2025

The principal technical changes in this update include changes to the Engagement terms of business to include use of artificial intelligence (AI) and other best practice amendments.

June 2025
The principal technical changes in this update include:

• Revisions following the closure of the ESFA in March 2025;
• Changes in relation to the issue of the 2024/25 Academies Accounts Direction, Academies model accounts and Framework and guide for external auditors and reporting accountants of academy trusts;
• Changes in relation to the requirements of the Academy Trust Handbook (effective 1 September 2024) (also known as the Academies Financial Handbook); and
• Changes in relation to the Teachers' Pensions Reporting Accountant Guidance TP05 for 2024/25, pertaining to the reporting requirements of the Teachers' Pensions End of Year Certificate (EOYC).

January 2025
The principal technical changes in this update include:

• Enhancements to the example letters; and
• Enhancements to component auditor workpapers.

August 2024
The principal technical changes in this update include:

• Revisions in accordance with the FRC's Revised Ethical Standard;
• Changes to ISA 505 External Confirmations ; and
• Best practice amendments. 

April 2024
The principal technical changes in this update include:

• Changes in relation to ISA (UK) 600 Special considerations - Audits of group financial statements (Including the work of component auditors);
• Changes in relation to the issue of the Academies Accounts Direction 2023 to 2024, Academies model accounts 2023 to 2024 and Framework and guide for external auditors and reporting accountants of academy trusts;
• Changes in relation to the requirements of the Academy Trust Handbook (effective 1 September 2023) (also known as the Academies Financial Handbook);
• Changes in relation to the Teachers' Pensions Reporting Accountant Guidance TP05 for 2023/24, pertaining to the reporting requirements of the Teachers' Pensions End of Year Certificate (EOYC); and
• Best practice amendments.

Exciting new feature
We have also developed tailoring and customisation tools to help you filter out the irrelevant parts of the Accounts disclosure checklist through a series of questions. These are available in the 'Customise' screen within the menu on the right.

By selecting 'Yes' to the question 'Would you like to tailor your accounts disclosure checklist through a series of questions?', you will then be asked a series of questions. Answering these subsequent questions will filter down the disclosure checklist so that only the sections you require will be shown / included within the checklist downloaded.

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Mercia online manuals are updated regularly by our technical staff and you will be notified of any significant regulatory changes by email. 

Your subscription will automatically auto-renew on anniversary date, you will be notified by email before your subscription expires and offered the option to opt out of auto-renewal.

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