A COMPANY in control of seven Oxfordshire schools has rid itself of a hefty debt after years in the red.
The Dominic Barberi Multi Academy Company, which runs academies including St Gregory the Great Catholic School in Oxford, ran a six-figure surplus last year after battling financial issues.
In 2016 a government agency issued the trust (DBMAC) with a formal warning, after it ran up an £879k deficit in the space of just one year.
READ AGAIN: Company in charge of seven Oxfordshire schools criticised after £900,000 loss
It secured an emergency loan from the Education, Skills and Funding Agency (ESFA) of £600,000 and has now repaid all but one instalment, for £100,000, which it plans to pay back in August.
Paul Concannon, chair of the DBMAC’s board of directors, admitted the financial issues had been a 'distraction' but was positive that focus can now turn back to continuing to boost standards.
He said: "For me, it's all about the education - finances are a necessary evil.
"We have to run as a business but, although I come from a business background, the main focus is the education of the kids."
He said the trust had enough money to pay off the remaining £100k last year but the ESFA stuck to instalments.
The DBMAC's latest financial accounts, published last week, said: "The management of the DBMAC have continued to focus upon improving the financial position and has continued to make significant progress.
"The company has continued to recover its financial stability and now has a surplus on reserves before capital, fixed assets and pension funds, of £364k."
In the 2014-15 financial year the trust ran up a deficit of £879k, which was blamed in the accounts on 'high expenditure that went unchecked against a background of weak financial controls'.
This saw the ESFA send a financial notice to improve, which is still in place.
Mr Concannon said it was a 'massive' relief to be back in the black, adding: "We are hoping they will raise the 'financial notice to improve' burden off us - the ESFA are looking at the accounts now."
In 2016 the trust's deficit reduced to £663k and 2017 saw a surplus of £42k. Capital funds rose from £140k in 2017 to £1.07m in 2018.
The improvement comes after progress for the trust's biggest school, 1,200-pupil St Greg's in East Oxford, which was rated 'inadequate' by Ofsted in 2017.
Ofsted's last visit in September brought positive feedback for the all-through school, however, and staff were praised for working with 'momentum and determination'.
READ AGAIN: Ofsted praise for St Gregory the Great school in Oxford
A breakdown of the new accounts shows that St Greg's itself is still in deficit, but this has been reduced from £1.09m in 2017 to £967,000.
This time last year, the school's principal Marcella McCarthy and vice-principal Rodger Caseby suddenly left the school before resigning in May.
READ AGAIN: Parents left in dark after sudden departure of principal and vice principal
The DBMAC's 2018 accounts show that two severance payments were made to two staff members that month, one for £43,000 and another for £33,000.
The schools run by the trust:
Our Lady’s, Cowley
Our Lady of Lourdes, Witney
St Gregory the Great, Cowley
St John Fisher, Littlemore
St Joseph’s, Carterton
St Joseph’s, Thame
St Thomas More, Kidlington
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