Office of Public Sector Information
PART I continued CHAPTER III continued
(1) The delegation requirement under a scheme shall not apply in relation to any school which comes within the scheme in any financial year falling within the scheme’s initial period until a date specified in the scheme.
(2) For the purposes of this section, a scheme’s initial period (subject to any order made under subsection (4) below) is the period of three years beginning with the date on which the scheme comes into force.
(3) Different dates may be specified under subsection (1) above in relation to different schools or categories of school and in relation to schools coming within the scheme in different financial years or at different times within the same financial year; but—
(a) each date so specified must coincide with the beginning of a financial year; and
(b) no date may be so specified which falls after the beginning of the financial year next following the end of the scheme’s initial period.
(4) The Secretary of State may by order—
(a) substitute a date specified in the order for any date specified in a scheme under subsection (1) above (including one so specified by virtue of a previous order under this subsection); and
(b) extend any scheme’s initial period until such date as may be specified in the order.
(5) For the purposes of this section, a school—
(a) comes within a scheme in any financial year if that financial year is the first financial year in which the school is required to be covered by the scheme; and
(b) comes within the scheme at the beginning of that year if it is then a school required to be so covered and otherwise at the time within that year when it first becomes such a school.
(1) The Secretary of State may by regulations—
(a) amend paragraph (a) of subsection (3) of section 39 of this Act by substituting a lower number for the number of registered pupils for the time being required under that paragraph for a primary school to be treated as satisfying the qualifying condition for the purposes of that section; or
(b) amend subsection (1) of that section so as to require a scheme to include such provision as is there mentioned in relation to primary schools as well as secondary schools and make in any other provisions of this Chapter such consequential amendments as appear to him to be required.
(2) Any such regulations may provide that any scheme shall have effect with such modifications as appear to the Secretary of State to be appropriate in consequence of any provision made in those regulations by virtue of subsection (1)(a) or (b) above.
(1) A scheme shall be published in such manner as may be prescribed—
(a) on its coming into force; and
(b) on such subsequent occasions as may be prescribed.
(2) The following provisions of this section apply where in the case of any local education authority the authority’s financial provision for county and voluntary schools is subject to regulation by a scheme.
(3) Before the beginning of each financial year the authority shall prepare a statement of the financial provision they plan to make in that year for county and voluntary schools maintained by them.
(4) The statement shall contain the following particulars in relation to the financial year in question—
(a) the amount of the general schools budget of the authority for that year (as initially determined for the purposes of the scheme);
(b) the amount of the authority’s aggregated budget for that year (as so determined);
(c) such particulars as may be prescribed of amounts deducted in respect of—
(i) excepted heads or items of expenditure; or
(ii) excluded expenditure under the scheme;
in arriving at the amount specified in the statement by virtue of paragraph (b) above;
(d) such particulars of the allocation formula under the scheme as may be prescribed;
(e) in the case of each school required to be covered by the scheme in that year, the planned expenditure per pupil arising from the division of the school’s budget share (as so determined) by the initial pupil number;
(f) in the case of each such school, the planned expenditure per pupil on excepted services arising from the division of the amount of the expenditure on such services planned by the authority for the purposes of the school by the initial pupil number;
(g) in the case of each such school, the planned expenditure per pupil arising from the division by the initial pupil number of so much of the authority’s excluded expenditure under the scheme (as so determined) as is appropriated by the authority for meeting expenditure for the purposes of the school;
(h) in the case of each such school, the amount of any expenditure of a capital nature planned for the purposes of the school;
(i) such particulars as may be prescribed of the basis on which the authority determine in the case of each such school—
(i) the amount of expenditure on excepted services by reference to which the information required to be included in the statement under paragraph (f) above is determined; and
(ii) the part of the authority’s excluded expenditure under the scheme by reference to which the information required to be included in the statement under paragraph (g) above is determined; and
(j) such further information with respect to the financial provision the authority plan to make in that year for county and voluntary schools maintained by them as may be prescribed.
(5) For the purposes of subsection (4) above—
(a) “the initial pupil number” means, in relation to a financial year, the number of registered pupils at the school in question required under the scheme to be used in applying the allocation formula under the scheme for initial determination of the school’s budget share for the year; and
(b) services are excepted services, in relation to a financial year, if expenditure on those services in that year is an excepted item of expenditure.
(6) After the end of each financial year the authority shall prepare a statement containing such information with respect to—
(a) expenditure actually incurred in that year for the purposes of all schools required to be covered by the scheme; and
(b) expenditure so incurred which was incurred, or is treated by the authority as having been incurred, for the purposes of each such school;
as may be prescribed.
(7) A statement prepared under this section shall be prepared in such form, and published in such manner and at such times, as may be prescribed.
(8) The authority shall furnish the governing body of each school required to be covered by the scheme in any financial year with a copy of each statement prepared by the authority under this section in relation to that year.
(9) The governing body of each such school shall secure that a copy of any such statement furnished to them under subsection (8) above is available for inspection (at all reasonable times and free of charge) at the school.
(1) The Secretary of State may by regulations provide for requiring or authorising schemes—
(a) to cover special schools maintained by local education authorities; and
(b) to include provision, in the case of any such school which by virtue of any regulations made under paragraph (a) above is required or authorised to be covered by a scheme, for the delegation by the authority concerned of the management of the school’s budget share for any financial year to the governing body of the school.
(2) Regulations under this section—
(a) may make in any provisions of this Chapter such amendments as appear to the Secretary of State to be required in consequence of any provision made in those regulations by virtue of subsection (1) above; and
(b) may provide that any scheme shall have effect with such modifications as appear to the Secretary of State to be appropriate in consequence of any provision so made.
(1) This section applies to a county, controlled or special agreement school at any time when it has a delegated budget.
(2) None of the following shall have effect in relation to a school to which this section for the time being applies—
(a) sections 34 and 35 of the 1986 Act (determination of staff complement for schools by local education authority and general provisions about appointment and dismissal of staff);
(b) any provision made by the articles of government in accordance with any of sections 36 to 41 of that Act (procedure for appointments, suspensions and dismissals); and
(c) any provision of section 40 of that Act (appointment and dismissal of clerk to the governing body) other than subsection (5).
(3) Subject to the following provisions of this section—
(a) the appointment, suspension and dismissal of staff at a school to which this section for the time being applies and the determination of their duties, grading and remuneration; and
(b) the application in relation to such staff of—
(i) any disciplinary rules and procedures; and
(ii) any procedures for affording to them opportunities for seeking redress of any grievances relating to their employment;
shall be subject to Schedule 3 to this Act.
(4) Within the period of five years beginning with the date on which the financial year begins in which any county, controlled or special agreement school first has a delegated budget under a scheme, it shall be the duty of the local education authority concerned to amend the articles of government of the school so as to include a statement indicating that provisions made by the articles in accordance with any of sections 36 to 41 of the 1986 Act (specifying those provisions) are superseded by this section and Schedule 3 to this Act during any period when the school has a delegated budget.
(5) This section is subject to the provisions of sections 27 and 28 of the 1944 Act (which relate to religious education).
(1) This section applies to an aided school at any time when it has a delegated budget.
(2) None of the following shall have effect in relation to a school to which this section for the time being applies—
(a) section 22(4) of the 1944 Act (power of local education authority to give directions to governors of aided school as to number and conditions of service of school maintenance staff); and
(b) any provision of the articles of government conferring any functions on a local education authority with respect to the number of teachers or other staff to be employed at the school or the appointment or dismissal of such teachers or other staff (including any such provision required by section 24(2) of that Act).
(3) Subject to any provision of the articles of government of any such school other than any provision for the time being excluded by subsection (2) above from applying to the school, the governing body of the school shall have (if they would not otherwise do so apart from any provision of the articles so excluded) power to appoint, suspend and dismiss staff as they think fit.
(4) Subsection (6) below applies if in the case of any such school—
(a) the governing body of the school agree with the local education authority to accord advisory rights to the chief education officer of the authority in relation to the appointment or dismissal of teachers at the school; or
(b) in default of such agreement the Secretary of State determines that it would be appropriate in the case of the school that such rights should be accorded to the chief education officer of the authority.
(5) Advisory rights accorded by an agreement or determination under subsection (4) above in the case of any school may relate to the appointment or dismissal, or both to the appointment and the dismissal, either of head teachers and deputy head teachers alone or of all teachers at the school.
(6) During any period while an agreement or determination under subsection (4) above is effective in the case of any school, the chief education officer of the authority, or an officer of the authority nominated by him, shall be entitled to attend all proceedings of the governing body relating to any action to which the advisory rights accorded to him extend (including interviews) for the purpose of giving advice to the governing body.
(7) The agreement of a governing body for the purposes of subsection (4)(a) above shall be given in writing and may only be withdrawn by notice in writing to the local education authority.
(8) A determination by the Secretary of State for the purposes of subsection (4)(b) above may be withdrawn at any time (without prejudice to a further determination for those purposes).
(9) The governing body of a school to which this section for the time being applies shall, on dismissing any member of the staff of the school employed by them, notify the local education authority in writing of the reasons for the dismissal.
(10) Where any member of the staff at any such school is employed by the local education authority, paragraphs 8 to 10 of Schedule 3 to this Act shall have effect in relation to his dismissal or withdrawal from the school as they have effect in relation to the dismissal or withdrawal from a school to which section 44 of this Act applies of a person employed to work at the school.
(11) Within the period of five years beginning with the date on which the financial year begins in which any aided school first has a delegated budget under a scheme, it shall be the duty of the local education authority concerned to amend the articles of government of the school so as to include a statement indicating that provisions of the articles of a kind mentioned in subsection (2)(b) above (specifying those provisions) are superseded by this section during any period when the school has a delegated budget.
(1) The Secretary of State may by order amend paragraph (a) of section 3(5) of the [1987 c. 1.] Teachers' Pay and Conditions Act 1987 (order regulating remuneration and conditions of employment of teachers may confer discretion on the local education authority with respect to any matter) so as to provide for any discretion conferred on a local education authority by virtue of that paragraph to be exercisable instead by the governing body of any school to which section 44 or 45 of this Act for the time being applies.
(2) Subject to subsection (3) below, it shall be for the governing body of any such school to determine—
(a) whether any payment should be made by the local education authority concerned in respect of the dismissal, or for the purpose of securing the resignation, of any member of the staff of the school; and
(b) the amount of any such payment.
(3) Subsection (2) above does not apply in relation to any payment which the authority are required to make—
(a) by virtue of any contract other than one made in contemplation of the impending dismissal or resignation of the member of staff concerned; or
(b) under any statutory provision.
(4) The local education authority concerned—
(a) shall take such steps as may be required for giving effect to any determination of the governing body of any such school under subsection (2) above; and
(b) shall not make, or agree to make, any payment to which that subsection applies in respect of the dismissal, or for the purpose of securing the resignation, of any member of the staff of any such school otherwise than in accordance with any such determination.
(5) Costs incurred by the local education authority concerned in respect of the dismissal or premature retirement, or for the purpose of securing the resignation, of any member of the staff of any such school shall not be met from the school’s budget share for any financial year except in so far as the authority have good reason for deducting those costs, or any part of those costs, from that share.
(6) The fact that the authority have a policy precluding dismissal of their employees by reason of redundancy is not to be regarded as a good reason for the purposes of subsection (5) above.
(1) This section applies to any school to which section 44 or 45 of this Act for the time being applies which is a community school.
(2) For the purposes of this section, a school is a community school if—
(a) activities other than school activities (“W”) are carried on on the school premises; and
(b) all non-school activities which are so carried on are carried on under the management or control of the governing body of the school.
(3) A scheme may provide for applying sections 44(3), 45(10) and 46 of and Schedule 3 to this Act in relation to persons employed to work—
(a) partly for the purposes of school activities and partly for the purposes of non-school activities carried on on the premises of a school to which this section applies; or
(b) solely for the purposes of non-school activities so carried on;
as if all activities so carried on were school activities.
(1) Schedule 4 to this Act has effect for the purpose of applying the provisions of this Chapter and Schedule 3 to this Act in relation to new schools which have temporary governing bodies.
(2) In this section and in Schedule 4 to this Act—
“new school” and “relevant proposal” have the same meanings respectively as in Schedule 2 to the 1986 Act (where “new school” covers both a school proposed to be established which will on implementation of the relevant proposal be maintained by a local education authority and a school which will be so maintained on the implementation in relation to an existing school of the relevant proposal); and
“temporary governing body” means a temporary governing body constituted for a new school under an arrangement made under section 12 of that Act (excluding such a governing body who fall by virtue of paragraph 3(5) of that Schedule to be treated as if they were the governing body constituted under the provisions of that Act that apply following the implementation of the relevant proposal).
(1) In respect of any period during which any county, voluntary or special school maintained by a local education authority does not have a delegated budget it shall be the duty of the authority to make available a sum of money which the governing body of the school are to be entitled to spend at their discretion during that period (but subject to subsection (2) below) on books, equipment, stationery and such other heads of expenditure (if any) as the authority may specify or as may be prescribed.
(2) A governing body to whom any sum is made available under this section—
(a) shall comply in spending that sum with such reasonable conditions as the authority think fit to impose; and
(b) may delegate to the head teacher, to such extent as they may specify, their powers in relation to that sum.
(3) Before making any regulations for the purposes of subsection (1) above, the Secretary of State shall consult such associations of local authorities as appear to him to be concerned and any local authority with whom consultation appears to him to be desirable.
(1) Every local education authority shall prepare a statement under subsection (5) below in respect of any financial year before the first financial year in respect of which the authority are required to prepare a statement under section 42 of this Act (including the financial year current at the time when this section comes into force).
(2) Subject to subsection (3) below, every local education authority who maintain one or more special schools during the whole or any part of any financial year after the last financial year to which subsection (1) above applies shall prepare a statement under subsection (5) below in respect of that financial year.
(3) Subsection (2) above shall not apply in relation to such an authority in respect of any financial year in respect of which the authority are required to prepare a statement under section 42 of this Act which, by virtue of any provision made by regulations under section 43 of this Act, is required to include information with respect to the special school or (as the case may be) with respect to each of the special schools concerned.
(4) The schools required to be covered by a statement prepared by a local education authority under subsection (5) below in respect of any financial year are—
(a) in the case of a statement required by subsection (1) above, any county, voluntary or special school maintained by the authority during the whole or any part of that year; and
(b) in the case of a statement required by subsection (2) above, any special school so maintained other than one in respect of which, by virtue of any provision so made, any information is required to be included in a statement prepared by the authority in respect of that year under section 42 of this Act.
(5) The statement shall give the following particulars with respect to the financial provision initially planned by the authority in respect of the financial year to which the statement relates for the schools required to be covered by the statement—
(a) the initial amount appropriated for meeting expenditure in that year in respect of all such schools;
(b) the amount remaining (referred to below in this section as the general expenditure amount) after deducting from the amount specified in the statement by virtue of paragraph (a) above the aggregate amount of the initial amounts so appropriated in respect of—
(i) expenditure of a capital nature;
(ii) expenditure in respect of the repayment of the principal of, the payment of interest on and the discharge of any other financial obligation in connection with any loan raised to meet expenditure of a capital nature; and
(iii) expenditure of such other descriptions as may be prescribed;
(c) such particulars as may be prescribed of amounts so deducted;
(d) in the case of each such school, the share of—
(i) the general expenditure amount; and
(ii) such of the amounts so deducted by virtue of paragraph (b)(iii) above as may be prescribed;
which is appropriated by the authority for meeting expenditure for the purposes of the school;
(e) in the case of each such school, the amount of any expenditure of a capital nature initially planned for the purposes of the school;
(f) such particulars of the basis on which the authority determine the share of each such school for the purposes of the information required to be included in the statement under paragraph (d) above as may be prescribed; and
(g) such further information with respect to the financial provision initially planned by the authority for the schools required to be covered by the statement as may be prescribed.
(6) After the end of each financial year in respect of which a local education authority are required to prepare a statement under subsection (5) above the authority shall prepare a statement containing such information with respect to—
(a) expenditure actually incurred in that year for the purposes of all schools required to be covered by the statement under subsection (5); and
(b) expenditure so incurred which was incurred, or is treated by the authority as having been incurred, for the purposes of each such school;
as may be prescribed.
(7) Each statement prepared under this section in respect of any financial year shall be prepared in such form, and published in such manner and at such times, as may be prescribed.
(8) The authority shall furnish the governing body of any school required to be covered by a statement prepared under subsection (5) above in respect of any financial year with a copy of each statement prepared by the authority under this section in relation to that year.
(9) A governing body to whom a copy of any such statement is furnished under subsection (8) above shall secure that a copy of the statement is available for inspection (at all reasonable times and free of charge) at the school.
(10) Where only one school is required to be covered by a statement prepared under subsection (5) above—
(a) references in this section to all schools required to be so covered shall be read as references to the school in question;
(b) that subsection shall apply with the omission of paragraphs (d) to (f); and
(c) subsection (6) above shall apply with the omission of paragraph (b).
(1) In this Chapter—
“expenditure of a capital nature” means, in relation to a local education authority, expenditure treated by that authority as expenditure of a capital nature; and
“governors' report” means, in relation to the governing body of any school to which section 30 of the 1986 Act applies, the report they are required to prepare by virtue of that section.
(2) In this Chapter—
(a) references to a scheme are references—
(i) to a scheme made by a local education authority under section 33 of this Act; and
(ii) in a context referring to a particular local education authority, to a scheme so made by that authority;
(b) references to a school’s budget share for any financial year—
(i) shall be read in accordance with subsection (2)(a) of that section; and
(ii) include references to that share as from time to time revised in accordance with the scheme under which it is determined;
(c) references to the general schools budget of a local education authority shall be read in accordance with subsection (4)(a) of that section;
(d) references to the aggregated budget of a local education authority shall be read in accordance with subsection (4)(b) of that section;
(e) references to excepted heads or items of expenditure shall be read in accordance with subsection (4)(b)(i) of that section;
(f) references to a school in respect of which financial delegation is required for any financial year shall be read in accordance with subsection (6)(a) of that section;
(g) references to a school which has a delegated budget shall be read in accordance with subsection (6)(b) of that section;
(h) references, in relation to a scheme, to excluded expenditure under the scheme shall be read in accordance with subsection (6)(c) of that section; and
(i) references to the delegation requirement under a scheme shall be read in accordance with section 39(4).
(3) During any period when a school has a delegated budget under any scheme any provisions of the articles of government of the school which are inconsistent with the operation during that period of any provisions of this Chapter or of the scheme shall be of no effect to the extent of that inconsistency.
This subsection does not apply to any provision of the articles of government such as is referred to in section 44(2)(b) or 45(2)(b) of this Act (in relation to which provision corresponding to that made by subsections (4) and (5) below is made by sections 44(4) and 45(11) respectively).
(4) Within the period of five years beginning with the date on which the financial year begins in which any school first has a delegated budget under a scheme, it shall be the duty of the local education authority concerned, if the articles of government of the school contain any provision to which subsection (3) above applies, to amend the articles so as to include in relation to that provision or (as the case may be) in relation to each such provision contained in the articles the statement required by subsection (5) below.
(5) The statement shall specify—
(a) the provision or provisions of the articles in question;
(b) the provision of this Chapter or of the scheme (the “W”) with the operation of which any provision of the articles specified under paragraph (a) above is inconsistent; and
(c) the extent of the inconsistency;
and shall indicate that, during any period when the school has a delegated budget, any provision of the articles so specified is superseded by the overriding provision to the extent that it is inconsistent with it.
(6) Any amendment of the articles of government of a school required by section 44(4) or 45(11) of this Act or by subsection (4) above shall be made by order under section 1 of the 1986 Act; but section 2 of that Act shall not apply in relation to any order made under section 1 by virtue of this subsection.
(7) It shall be for the Secretary of State to determine any question arising under a scheme as to whether a primary school required to be covered by the scheme is within the delegation requirement under the scheme.
(8) Section 29 of the 1986 Act (which requires provisions to be contained in articles of government of schools with respect to financial statements and financial delegation and is superseded by the provisions of this Chapter), and any provision included in the articles of government of any school by virtue of that section, shall cease to have effect.
(9) In section 30(2)(h) of that Act (financial statement to be included in governors' annual report to parents), for sub-paragraphs (i) and (ii) there shall be substituted the following sub-paragraphs—
“(i) reproducing or summarising any financial statement of which a copy has been furnished to the governing body by the authority under section 42 or 50 of the Education Reform Act 1988 since the last governors' report was prepared;
(ii) indicating, in general terms, how any sum made available to the governing body by the authority in respect of the school’s budget share within the meaning of Chapter III of Part I of that Act or under section 49 of that Act in the period covered by the report was used;”.
(1) Subject to the provisions of this Chapter, and the granting of approval to proposals submitted under section 62(2) below in accordance with the provisions of that section, it shall be the duty of the Secretary of State to maintain any school conducted by a governing body incorporated under this Chapter for the purpose of conducting the school.
(2) For the purposes of this Chapter, the duty of the Secretary of State to maintain a school is a duty to make such payments in respect of the expenses of maintaining the school as are required by the following provisions of this Chapter.
(3) A school to which the Secretary of State’s duty under this section for the time being applies shall be known as a grant-maintained school.
(4) This Chapter provides for the incorporation of a governing body constituted in accordance with this Chapter for the purpose of conducting any school if—
(a) proposals for that purpose (referred to below in this Chapter, in relation to a school, as proposals for acquisition of grant-maintained status) are published as required under this Chapter;
(b) the school is eligible for grant-maintained status on the date of publication of the proposals; and
(c) the proposals are approved by the Secretary of State.
(5) Subject to the following provisions of this section, any county or voluntary school is for the purposes of this Chapter eligible for grant-maintained status.
(6) A primary school which has less than three hundred registered pupils is not so eligible.
(7) The Secretary of State may by order—
(a) amend subsection (6) above by substituting a lower number for the number mentioned in that subsection (including any number previously substituted by an order under this paragraph); or
(b) provide for all primary schools which are county or voluntary schools to be eligible for grant-maintained status;
and in the latter case the order may make such consequential repeals in the provisions of this section as appear to the Secretary of State to be required.
(8) A county or voluntary school is not eligible for grant-maintained status for the purposes of this Chapter if proposals by the local education authority to cease to maintain the school have been published under section 12(1)(c) of the 1980 Act and either—
(a) the proposals have been approved by the Secretary of State under that section; or
(b) where the proposals do not require the approval of the Secretary of State, the local education authority have determined to implement them and notified the Secretary of State of their determination in accordance with subsection (8) of that section.
(9) A voluntary school is not eligible for grant-maintained status for the purposes of this Chapter if notice of the governors' intention to discontinue the school has been served under section 14 of the 1944 Act and has not been withdrawn.
Education Reform Act 1988