Exclusive: The Mossbourne money-spinner – how a company founded by the multi-academy trust’s chief snapped up his own schools’ lucrative PAM software
A firm set up by the chief of a multi-academy trust acquired the intellectual property (IP) rights for a piece of software from one of the trust’s own charities and turned it into a money-spinner.
According to its own financial accounts, one of Mossbourne Federation’s charities, Mossbourne Foundation, was given shares said to be worth £300,000 in Progress Teaching Limited, a private business venture founded by the Mossbourne Federation’s CEO Peter Hughes, in a deal that was flagged by the charity’s directors as a ‘major risk’.
No money changed hands for the IP rights, but instead there was a transfer of 3,000 shares in Progress Teaching and a promise to pay £268,753 to Mossbourne Foundation.
This deal was agreed just three months after Progress Teaching Limited was set up.
There is no suggestion of unlawful activity by Peter Hughes; the Mossbourne Federation; the Mossbourne Foundation; or Progress Teaching Limited.
The PAM Ledger
Following the intellectual property for a piece of school software as it left a charity, became shares, and lost two-thirds of its stated value.
Where the asset went
Four entities, one piece of software. Press play to trace each transfer in the order the filings describe. No cash moved for the IP itself — it was exchanged for a debt and shares.
The £300,000 shareholding: revalued once, then majority sold
The 3,000 shares were first booked at £300,000, flagged by the charity’s own directors as a “major risk.” Two different things then happened, and they’re easy to conflate: the shares were revalued sharply lower in 2022, and then in 2024 most of them were simply sold. Only the first is a fall in value.
Every figure, dated
A plain audit trail. Where the filings state the same figure inconsistently, both versions are shown — see the note below.
| Date | Event | Parties | Figure |
|---|---|---|---|
| 27 Oct 2020 | Foundation incorporated as a limited company | Mossbourne Foundation | — |
| 30 Nov 2020 | Sale of PAM ceases at Mossbourne Trading; taken over by Progress Teaching | Trading → Progress | — |
| 2020 | IP donated to Foundation (internally generated, no book value) | Federation → Foundation | £nil |
| ~2020 | IP assigned to Progress for a debt plus shares, 3 months after Progress formed | Foundation → Progress | £268,753 + 3,000 shares |
| 2020 | Shares in Progress valued at | Foundation holds | £300,000 |
| 2020 | IP value recorded in Foundation’s books | Foundation | £568,753 |
| 2022 | Shareholding revalued downward | Foundation | £100,500 |
| 2022–2024 | Federation buys services from Progress (per year) | Federation → Progress | £17,500/yr |
| 22 Nov 2022 | Foundation obtains charitable status | Charity Commission | — |
| Nov 2023 | Loan due for repayment | Progress → Foundation | £268,753 |
| Mar 2024 | Foundation sells 2,000 of 3,000 shares | Foundation → buyer | £67,000 |
| Mar 2024 | Loan repaid to Foundation | Progress → Foundation | £268,753 |
| Mar 2024 | Remaining 1,000 shares valued at | Foundation holds | £33,500 |
| 2024 | Federation buys services from Progress | Federation → Progress | £27,294 |
| Oct 2024 | Foundation donates to Charitable Trust CIO | Foundation → Trust | £338,342 |
| 17 Dec 2024 | Foundation struck off at Companies House | Companies House | — |
| 29 May 2025 | Foundation restored; 2023 accounts filed | Companies House | — |
| 11 Feb 2026 | Charity Commission confirms ongoing regulatory compliance case | Charity Commission | — |
£268,753, per the Mossbourne Federation accounts for the year ended 31 October 2021. The IP was recorded in the Foundation’s books at £568,753 — the £268,753 unsecured debt plus the 3,000 shares valued at £300,000 — which reconciles with its stated components.
What happened to the PAM?
The PAM Parent software was once fully owned and marketed to schools by Mossbourne Trading Limited (formerly Mosspam Limited), which was at the time a wholly-owned subsidiary of the Mossbourne Federation.
Mossbourne Trading’s 2021 accounts state that it was “set up to market and sell PAM […] MossPAM’s flagship product PAM has now been implemented in over 60 schools”.
However, they also state that on 30 November 2020 “the sale of PAM ceased as an activity of the company” and PAM was taken over by Progress Teaching.
Mossbourne Trading had been making money by selling the PAM from its incorporation until that date.
The Mossbourne Federation’s 2021 accounts state: “Peter Hughes is a director and shareholder of Progress Teaching Limited. In order to avoid a conflict of interest during negotiations between Mossbourne Trading and Progress Teaching, Peter Hughes took no part in any of the decision-making relating to either the intellectual property rights or the business transfer.”
Federation buys from Progress Teaching
According to the most recent records filed at Companies House, Mossbourne Federation purchased services from Progress Teaching to the tune of £17,500 per year from 2022 – 2024.
Mossbourne Federation’s accounts to 31 August 2023 state: “During the year, the Federation purchased services of £17,500 (2022 – £17,500) from Progress Teaching, a company in which Peter Hughes has a 25 per cent interest.”
The Citizen asked the Federation for details regarding these services but received no response.
More recently, its 2025 accounts reveal that the Federation purchased services of £27,294 from Progress Teaching.
The accounts preface this by stating: “Owing to the nature of the Federation’s operations and the composition of the Board of Directors being drawn from local public and private sector organisations, it is inevitable that transactions will take place with organisations in which a member of the Board of Directors may have an interest.”
Transfer of IP rights
The Mossbourne Federation transferred the IP rights to the PAM software as a donation to the Mossbourne Foundation.
The Federation’s 2021 accounts state: “The intellectual property was internally generated and therefore did not have a value assigned within the Mossbourne Federation financial statements and was transferred at £nil value.”
The stated intention of the transfer of IP rights was “to allow the Federation to focus solely on its main objective of providing high quality education to its pupils”.
What is the Mossbourne Foundation?
Mossbourne Foundation was incorporated on 27 October 2020 as a limited company.
The Foundation was originally set up to raise money for extracurricular activities for Mossbourne Academy students, but subsequently the Mossbourne Charitable Trust was set up for a similar purpose.
Its 2021 accounts refer to it intending to register as a charity with the Charity Commission.
According to Charity Commission records, Mossbourne Foundation obtained charitable status on 23 November 2022.
Mossbourne Foundation’s 2021 accounts state that the intellectual property rights to PAM were subsequently “assigned” to Progress Teaching, “for a consideration of £268,753 as an unsecured debt and 3,000 shares valued at £300,000”.
This means that the IP rights were valued at £568,753 within the Foundation’s financial records.
The Foundation’s company accounts from 2021 read: “The directors monitor major risks to which the Foundation is exposed, in particular those related to Progress Teaching in terms of the investment of £300,000 and the unsecured loan of £268,753. The loan is due to be repaid in November 2023.”
Instead of payment for the IP rights, Mossbourne Foundation received a portion of equity, i.e. 3,000 shares in Progress Teaching and a promise to pay £268,753 in November 2023.
Shares revalued
According to its 2023 accounts, the Mossbourne Foundation’s shares in Progress Teaching Limited were revalued, during 2022, to £100,500 – a reduction of £199,500 from the prior year value of the holding at £300,000.
In March 2024, the Foundation sold 2,000 of its 3,000 shares in Progress Teaching for £67,000, bringing its total remaining holding to 1,000 shares valued at £33,500. At the same time, the loan of £268,753 to Progress Teaching Limited was repaid to the Foundation.
The Foundation’s 2023 accounts, submitted to Companies House on 29 May 2025, state that “the value of the shares was reassessed by the trustees in light of the subsequent sale of shares in March 2024”.
Mossbourne Foundation’s aims revised
The Foundation was originally set up to raise money for extracurricular activities for Mossbourne Academy students, but subsequently the Mossbourne Charitable Trust was set up for a similar purpose.
The Foundation’s 2024 accounts, up to 31 October 2024, refer to the Foundation “now” existing to hold 10 per cent of the shareholding in Progress Teaching (i.e. 1,000 of the total 10,000 shares) “with the hope that one day, Progress Teaching will be sold for a significant amount and the Foundation and wider Mossbourne community will benefit from the windfall”.
The Citizen asked Mossbourne Foundation to provide the reason for the change.
In October 2024, the Mossbourne Foundation donated £338,342 to Mossbourne Charitable Trust CIO, which was set up on 28 March 2023.
The Citizen asked the Foundation to provide the reason for the transfer.
On 17 December 2024, Mossbourne Foundation was struck off at Companies House.
A successful application was made to restore the Foundation at Companies House on 29 May 2025.
The Citizen asked Mossbourne Foundation to explain the decision to allow the charity to be struck off, given it was holding 1,000 shares in Progress Teaching at the time.
In a statement responding to the Citizen’s enquiries, Gabrielle Mata, one of the trustees of The Mossbourne Foundation charity, said: “The Foundation is unable to disclose confidential matters relating to its internal deliberations, trustee discussions, commercial transactions, or matters involving third parties where disclosure would breach duties of confidentiality.
“This includes, but is not limited to, detailed minutes of trustee meetings, internal valuations, and the specifics of commercial negotiations with shareholders and other parties.
“The trustees of the Foundation take their statutory duties extremely seriously. At all times, the trustees have acted, and continue to act, in the best interests of the charity and its beneficiaries, in accordance with their duties under charity law and the Foundation’s governing document.
“All decisions regarding investments, disposals, valuations, and donations have been made with proper consideration of the charity’s objects and the beneficiaries’ interests, and where appropriate, with professional advice.”
Mata added: “The Foundation is regulated by the Charity Commission for England and Wales. The Foundation’s annual accounts and reports are filed with Companies House and the Charity Commission in accordance with statutory requirements and are publicly available.
“These documents provide transparency regarding the Foundation’s activities, financial position, and trustee decisions in accordance with charity law reporting requirements.
“The trustees are committed to full compliance with charity law and regulations.”
Progress Teaching Limited was approached several times for comment.
On 11 February 2026, following questions from the Citizen about these matters, the Charity Commission said: “The Commission is engaging with the trustees of Mossbourne Foundation Limited on a number of issues around the charity’s governance, as part of a regulatory compliance case.
“While that case is ongoing, we cannot offer further detail, but further information on how we deal with concerns about charities can be found in: Raising a concern with the Charity Commission.”