We wanted to highlight an important requirement contained in the Academy Trust Handbook 2026, effective from 1 October 2026, which places specific restrictions on confidentiality clauses in staff settlement agreements.
Where a settlement includes a special staff severance payment, a confidentiality clause is considered novel, contentious or repercussive and must not be used unless prior DfE approval has been obtained. In practice such clauses will need to be removed.
Confidentiality clauses must also never restrict lawful whistleblowing or prevent the DfE obtaining information required for its regulatory functions.
Although the Handbook only applies to academies, we would advise the same approach for Local Authority Maintained Schools when considering settlement agreements.
Academy trust handbook 2026: effective from 1 October 2026 – GOV.UK
