When a maintained school converts to Academy status, the Academy takes on a much broader range of responsibilities. Academies, for instance, are responsible for asset management, financial audit and HR functions, whereas local authorities have responsibility for these on behalf of the schools they maintain.

The Local Authority Central Spend Equivalent Grant (LACSEG) is paid to Academies to cover the cost of those services and functions that local authorities provide to maintained schools without charge but which Academies must secure independently.

In December 2011 a consultation was launched, setting out the Government’s proposed decision on the calculation and recovery arrangements for the Academies Funding Transfer for 2011-12 and 2012-13. This document sets out the decisions that have been taken following consideration of the responses received.

A summary of responses to the consultation is also available to download below.

Visit the DfE website for more information


  • Introduction
  • Response
  • How the refunds will be calculated
  • Further details of the 2011-12 and 2012-13 refunds
  • Consultation on replacing LA Block LACSEG from 2013-14
  • Annexes