A small academy trust refused cash for vital repairs is set to merge with another chain in part so that it can access regular capital funding. Schools Week analysis shows that the Department for Education approved just one in three bids for money from the latest round of the condition improvement fund (CIF).聽 Trusts with fewer than five schools or 3,000 pupils must bid to keep buildings in 鈥渟afe and good working order鈥. Larger trusts automatically receive capital funding through the school condition allowance (SCA). The four-school Compass Academy Trust has had four of 14 funding bids for maintenance work approved over the past two years. Stuart Ellis Stuart Ellis, its chief executive, said until this year, he had been refused funding to fix a 鈥渇ailing鈥 boiler and a roof that was leaking water into a school corridor. He forked out more than 拢80,000 on temporary repairs while waiting for the CIF cash. He has now launched a bid to merge with the Connect Schools Academy Trust, hoping finally to be able to receive guaranteed sums to maintain his estate. In merger consultation documents, the trusts said they 鈥渨ill be given a guaranteed annual amount鈥 for capital work. ‘Frustrating’ Ellis said: 鈥淪ome of our bids have had to be resubmitted a number of times over a number of years, while some have been successful first time. Of course [it鈥檚 frustrating]. 鈥淭he consequence sometimes of not getting the funding that we really feel we need 鈥 whether that be for a roof or a boiler 鈥 is then we have to find further money out of our own reserves to mend and make do until the funding is approved.鈥 The boiler problem was found in 2018, but Compass only received funding after three snubbed CIF applications. The roof started leaking in 2017. It was the subject of three separate bids, the last of which was approved. Ellis said the government should give 鈥渁ll trusts鈥 the same kind of funding. He estimated the merged trust would receive about 拢600,000 through SCA. A damning National Audit Office report released last week found years of chronic underinvestment have meant 700,000 children across England are educated in structures requiring major fixes. The watchdog revealed a 拢2 billion annual capital funding shortfall and that more than a third of school buildings were past their 鈥渦se-by date鈥. CIF issues ‘exacerbating cost pressures’ Figures obtained through a Freedom of Information request reveal only 1,033 of the 3,061 (33.7 per cent) applications lodged for this year鈥檚 CIF were given the go-ahead. Our findings also show responsible bodies that committed more of their own cash for the maintenance projects were more likely to win funding. Stephen Morales, the chief executive of the Institute of School Business Leadership, said issues surrounding CIF were increasing the levels of 鈥渄isrepair鈥 in schools across the country. This was also 鈥渆xacerbating cost pressures on schools as they鈥檙e having to use revenue in their reserves to fund capital projects鈥. Ellis stressed the 鈥渕ain drivers鈥 of the merger were to improve 鈥渆ducational capacity and financial sustainability鈥. But he added: 鈥淪ome people may argue that the amount of money you get through SCA is lower than CIF, but you are at least in control of the timing and the use of that money. 鈥淭hose entities that are large enough to attract guaranteed sums can at least strategically plan their ongoing estates programme and later development.鈥 Sir David Carter, the former national schools commissioner, described the differing funding arrangements for small and larger trusts as an 鈥渋ncentive鈥 to grow. It would 鈥減robably create some inequities鈥, but it was 鈥渙ne of a number of reasons why trusts are thinking about mergers鈥. The merger between Compass and Connect is expected to take place in September next year. The proposals will be discussed during the next London advisory board meeting on Thursday, July 13. The Department for Education has been approached for comment.