Schools Financial Value Standard (SFVS)
What is the SFVS?
The schools financial value standard (SFVS) is a mandatory requirement for local authority (LA) maintained schools. The SFVS has been designed with schools to help them in managing their finances and to give assurance that they have secure financial management in place.
Local authority maintained schools are required to submit the SFVS annually to the authority. Local authorities use this information to inform their programme of financial assessment and audit.
Governing bodies of maintained schools or management committees of pupil referral units (PRUs) have formal responsibility for the financial management of their schools, and so the standard is primarily aimed at governors or management committees. Other schools are welcome to use any of the material associated with the standard, if they would find it useful.
Why it is important for the governing body to have adequate financial skills?
It is essential for the governing body to have access to adequate financial skills to ensure they meet their statutory responsibilities for the financial management of the school and can safeguard the large amounts of public money for which they are responsible. Not all governors need all these skills, but collectively members of the governing body (and finance committee or equivalent) should have these skills among them. Adequate skills are defined in the additional resource document available on the SFVS web page.
What do schools need to do?
The standard consists of 25 questions which governing bodies or management committees should formally discuss annually with the headteacher and senior staff.
The questions which form the standard are in sections A to D. In Section E, governors or management committees should summarise remedial actions and the timetable for reporting back. Governors or management committees should ensure that each action has a specified deadline and an agreed owner. Governors or management committees must monitor the progress of these actions to ensure that all actions are cleared within specified deadlines.
All schools maintained by Surrey at 31 March 2018 will be required to submit their 2017/18 SFVS return, signed by the chair of governors, to the local authority by 12 March 2018. (SFVS returns for Pupil Referral Units should be signed by the chair of the Management Committee).
For more information please contact the Governance Consultancy Team
Tel: 0800 073 4444 Extn. 835030Email the team