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The Budget Forecast Return (BFR) is a familiar feature in the academy trust calendar—often arriving at the busiest time of year. To help you stay on top of it, we’ve created a complete guide covering what the BFR is, what’s required in 2025, what’s changed, and how to navigate the process with confidence.
For a more reflective take on why the Budget Forecast Return can feel so challenging, you can also read our blog The BFR, or should we call it the BF-aRRggghhh!?
BFR 2025 at a Glance
- Deadline: 28 August 2025
- Who submits: All academy trusts (SATs, MATs, free schools, and new academies opening before 1 Sept 2025)
- What’s required: Prior year actuals, current year forecast (as at March), and a three-year budget — including staffing costs, reserves, capital plans, and pupil numbers
- How to submit: Complete the updated DfE Excel template and submit via the DfE’s online portal
- What’s new:
- Enhanced reserves reporting for trusts with >20% carry-forward
- Higher input limits on staff cost lines for large MATs
- Continued emphasis on ICT coding introduced in 2024
What is the Budget Forecast Return?
The budget forecast return is a statutory requirement from the Department for Education (DfE) that asks academy trusts to submit a detailed financial forecast each year. It enables the DfE to monitor financial sustainability across the sector and identify potential risks.
Who needs to submit the BFR?
The Budget Forecast Return must be submitted by:
- All single-academy trusts (SATs)
- All multi-academy trusts (MATs)
- Free schools
- New academies that open before 1 September 2025
Trusts involved in rebrokerage or structural change must follow DfE guidance on how to reflect this in the return.
Trustee sign-off reminder: Budgets must be formally approved by trustees prior to submission. If you’re forecasting a deficit that cannot be covered by reserves, you must notify the ESFA within 14 calendar days (as per the Academy Trust Handbook).
What information is required for the Budget Forecast Return?
Trusts must provide:
- Prior year actuals
- Current year forecast (based on position as of March 2025)
- Three-year budget covering the next three academic years
Key areas include:
- Staffing costs (including pay award assumptions for teachers and support staff)
- Revenue and capital reserves
- Pupil numbers
- Capital investment plans
- Loans and leases
- Central services (for MATs)
- ICT spend (split between revenue and capital)
What’s New for the Budget Forecast Return in 2025?
Enhanced reserves reporting
Trusts holding revenue reserves above 20% of total income must now complete a more detailed section explaining their purpose and use.
Higher input caps on staff cost lines
Lines 310 (current year staff costs) and 3100 (three-year forecast staff costs) now allow for larger figures to support the reporting needs of larger MATs.
Continued emphasis on ICT coding
While not new this year, trusts should ensure they are using the updated ICT-related account codes introduced in 2024 for improved reporting of digital spend.
How to Submit the BFR in 2025
The budget forecast return must be submitted via the DfE’s online portal. The process involves:
- Completing the latest version of the DfE Excel workbook
- Logging into the DfE Sign-In platform
- Manually entering the data from the workbook into the online form
Important: The workbook is not uploaded. You must re-enter values into the form, and they must exactly match the completed template.
Our Top Tips for a Smooth BFR Submission
- Start early – especially if internal reviews or board approval are required
- Get trustee approval in good time – and notify the ESFA within 14 days if you’re forecasting an unresolvable deficit
- Check your mappings – align your internal systems to the latest DfE Chart of Accounts
- Review prior-year data – small entry errors from previous years can trigger unexplained variances
- Complete all lines – missing or unmapped accounts can prevent submission
- Automation tools – use the BFR wizard in IMP Planner; it removes the faff from the process and makes submission seamless
- Be narrative-ready – prepare a clear rationale for your reserves position if over 20% of income
Expect the Unexpected
Even if your return is technically sound, external factors can create uncertainty during BFR season. Political change, late funding announcements, or shifting national guidance can all impact forecasting assumptions—particularly in an election year. Our advice? Build in flexibility, flag assumptions clearly, and ensure your board is aware of what might change after submission.
Related reading
Want a more reflective take on why the BFR feels like such a pain each year?
The BFR: Arrggghhh! – our latest thought leadership piece explores the real reasons trusts find the process so frustrating, and why it keeps coming around at the worst possible time.
