The new Supply Teachers and Education Recruitment framework has been introduced to cap supplier fees, improve transparency and deliver better value for schools. With a requirement to use the framework in the Academy Trust Handbook from September 2026, here’s what schools and trusts need to know

With schools in England spending around £1.4 billion each year on agency supply staff, concerns remain that too much of that money is absorbed by agency fees rather than reaching the classroom.

That is set to change from September 2026, when single and multi-academy trusts will be be required to procure supply teachers and temporary education staff through the Government Commercial Agency’s (GCA) Supply Teachers and Education Recruitment (STeER) framework agreement (RM6376), unless they can demonstrate an alternative arrangement that delivers equivalent value and complies with procurement legislation.

Negotiated by the Department for Education (DfE), the framework has been designed to reduce costs, improve transparency and raise standards across the recruitment market, while protecting the pay and conditions of agency workers. It has been developed alongside the Eastern Shires Purchasing Organisation (ESPO), North Eastern Purchasing Organisation (NEPO) and Yorkshire Purchasing Organisation (YPO), giving it broader reach and stronger negotiating weight.

Why a new framework?

Around 80 per cent of a school’s budget is spent on permanent staff, leaving relatively little flexibility to absorb increasing costs elsewhere. Although agency staffing accounts for only around three per cent of overall school expenditure, the DfE believes excessive agency mark-ups have meant schools have not always received good value for money.

The new framework seeks to address this by placing a cap on the fees agencies can charge schools. Crucially, these caps apply only to the agency’s mark-up and do not affect the pay received by teachers or support staff.

As Beth Lord, from the Department for Education’s Commercial Strategy & Innovation Team, explains: “The new framework introduces a cap on the supplier fees – not on what supply workers are paid. Agency staff pay and conditions are entirely unaffected.”

While a mark up fee covers the agency’s operating costs, including recruitment, administration and the safeguarding and compliance checks required before candidates can work in schools, there are concerns that these can be excessive at times.

Greater transparency and better value

The introduction of maximum daily supplier fees is one of the framework’s most significant changes. Depending on the role, agency fees are capped at between £32 (for supplying admin staff) and £55 per day (for supplying senior leadership), with many agencies on the framework having submitted rates below those maximum levels. Schools will therefore be able to compare suppliers more easily and secure even greater savings where lower rates are available. With examples of agencies charging around £70 in fees, capping the amount through the framework can result in schools saving money.

However, the framework is about more than simply reducing costs. It also introduces greater transparency into agency charging, making it easier for schools to understand exactly what they are paying for and ensuring supplier costs are more consistent across the market.

One particularly benefit is the introduction of a 12-week temporary-to-permanent provision. Schools will be able to appoint agency staff permanently after 12 weeks without paying a transfer fee, something that has historically proved expensive under many agency contracts. In one recent example, removing these fees reportedly saved a school around £150,000 over an 18-month period.

The framework also provides schools with access to expert support in resolving contractual disputes while ensuring consistent safeguarding standards and comprehensive background checks for all candidates.

What it means for academy trusts

When the 2026 Academy Trust Handbook comes into effect in September, academy trusts will be expected to use the GCA framework unless they can demonstrate an alternative procurement route that satisfies two important conditions.

Firstly, any alternative arrangement must comply with the Procurement Act 2023, with procurement assessed across the trust as a whole rather than on an individual school basis. Secondly, the rates achieved through that procurement exercise must not exceed those available through the GCA framework.

Trusts with existing agency contracts will not be required to terminate them early. However, they are being encouraged to review their current arrangements before renewal to ensure they continue to offer competitive rates.

The DfE is also warning trusts to be cautious about signing agency-specific terms and conditions outside the framework. Doing so could mean forfeiting some of the framework’s key protections, including the capped supplier fees, the 12-week transfer arrangement and the contractual safeguards covering compliance and safeguarding.

A shift in the recruitment market

For schools and trusts, the new arrangements are intended to deliver more than just financial savings. By increasing transparency, strengthening contractual protections and reducing excessive agency fees, the framework aims to ensure more of every pound spent on temporary staffing is directed towards supporting pupils rather than inflating recruitment costs.