Since June, we have been in correspondence with the Department for Education about how it presents its Energy for Schools service. Our concern is that schools and trusts were steered toward a single government-run route without being told that independent brokers remain a legitimate alternative, as we set out in our first post. The issue now centres on a rule in the Academy Trust Handbook 2026, which takes effect on 1 October. 

What DfE has said

Paragraph 2.29 in the Handbook says trusts “must” use Energy for Schools or a DfE-approved deal, unless they have sourced an alternative of “equivalent value for money”. In its reply, DfE confirms trusts can use independent brokers to source that alternative.

The wording has since changed. It used to say “comparable pricing”, and the published Handbook now says “equivalent value for money”. That is a helpful change, because value covers more than price. Brokers add value beyond it, such as checking bills, resolving disputes and rolling out smart meters.

However, the main issue remains. Energy for Schools is still the default, and trusts must show that an alternative offers equivalent value. DfE has not said how they should do that. It says guidance will follow by 1 October, and we have not yet seen it.

DfE also says its competition law assessment of the rule is not finished, and it has declined to share the draft.

Timeline

• 23 June: We write to DfE about its Energy for Schools messaging.

• 21 July: DfE replies that schools and trusts remain free to use brokers.

• 23 July: We write again, pointing to paragraph 2.29. We ask DfE to amend it, clarify its guidance and confirm whether a competition impact assessment was done. We offer to meet.

• August: DfE sends a holding acknowledgement. No substantive reply arrives by our 13 August deadline.

• 22 September: We write to the Secretary of State, asking DfE to confirm by 28 September that paragraph 2.29 will not take effect while the issues are resolved. We say we are considering judicial review if not.

• 28 September: We receive DfE’s substantive reply, dated 14 September. It disagrees with our legal concerns and does not pause paragraph 2.29.

• 30 September: We respond and renew our offer to meet.

• 1 October: The Handbook takes effect. Paragraph 2.29 applies as trusts renew their energy contracts.

What this means for trusts

The rule applies when your energy contract renews. Until guidance is published, trusts will not know how DfE will judge equivalence. We are concerned that some may default to Energy for Schools to avoid a compliance question, even where an independent broker would serve them better. That would reduce competition for every buyer, including those on the government route.

As the industry authority for energy consultants and brokers, we want to resolve this with the Department, and quickly. Clear guidance on how equivalent value will be judged would help every trust.

If your trust is weighing up its options, get in touch with the ECA. We can point you to independent member brokers, who work to our mandatory code of conduct.

If you’re an energy broker who agrees with what we’re pushing for, join us. The more of the sector behind this, the stronger the case.