Explanatory note
(This note is not part of the Regulations)
These Regulations, which are made under sections 81 to 84 and 94 of the Education Act 1993, replace with modifications the Education (Grant-maintained and Grant-maintained Special Schools) (Finance) Regulations 1995 (“the 1995 Regulations”) which are revoked. The Regulations apply to schools, including special schools, situated in England which have acquired grant-maintained status and in relation to the 1996-97 financial year. The main changes to the provision made by the revoked Regulations are set out below.
Part 2 of the Regulations provides for the determination and redetermination of the amount of maintenance grant to be paid to the governing bodies of primary schools, secondary schools situated outside the areas of the local education authorities specified in Part 3, secondary schools situated in those areas which acquire grant-maintained status after 1st April 1996 and special schools, on a similar basis to that provided for under Part 2 of the 1995 Regulations, save that—
the percentages specified in the table in Schedule 1 are revised;
provisions are made in respect of local education authorities and schools affected by local government reorganisation (regulations 6(5), 7(2), 15(2), 30(2) and 31);
in the case of a school, which becomes grant-maintained pursuant to proposals published under section 49 of the Education Act 1993 and which possesses a characteristic which is relevant to its needs but which is not reflected in the allocation formula in the local education authority’s scheme, the funding authority may, in determining the amount of maintenance grant payable in respect of that school, add such amount in respect of that characteristic as they consider to be fair and reasonable (regulations 6(8) and 19(4));
Central AMG, being a notional amount representing certain kinds of expenditure for the purposes of the school which, in the case of a school maintained by a local education authority, do not form part of the school’s budget share, is calculated on the basis of an aggregate sum which includes the amount which the funding authority estimate they will pay to the governing body of the school as special purpose grant in respect of specified nursery education (regulation 8(2));
additional provision is made in respect of expenditure on employment of teaching staff to make special provision for pupils belonging to ethnic minorities where the local education authority’s scheme not only makes no such provision for the financial year in question but has never made any such provision (regulation 9(2)(b) and (3));
the provisions relating to cash protection for schools are modified (regulation 10);
the provision under which the funding authority may determine an amount, in respect of the education of junior pupils who have not attained the age of 5 years, which they are satisfied is fair and reasonable is modified to take into account grant payable to certain local education authorities in connection with vouchers for nursery education (regulation 23);
the provision made in the 1995 Regulations for the funding authority to deduct from the amount of maintenance grant amounts in respect of deficits incurred in the school’s budget share in previous financial years before it became grant-maintained is modified so that in the financial year beginning on 1st April 1996 the funding authority take into account, in determining how much of such deficits to deduct, amounts which they have already deducted in that respect from the school’s maintenance grant in the preceding financial year under the 1995 Regulations, (thereby allowing the funding authority to deduct over a number of years amounts representing the total amount of such deficits) (regulation 25(3));
Part 3 of the Regulations makes provision with respect to the determination and redetermination of the amount of maintenance grant payable in respect of a secondary school, or in certain circumstances a primary school which was formerly a secondary school, situated in the area of any of the 23 listed local education authorities, which became a grant-maintained school on or before 1st April 1996. Part 3 does not apply to special schools. The basis of determination is similar to that under Part 3 of the 1995 Regulations save that—
provision is made to allow the funding authority to add to the CFF share (as defined in regulation 37(2)) of a school whose maintenance grant falls to be determined under Part 3, an amount determined by reference to funding for pupils with statements of special educational needs or, in the case of Cumbria County Council only, identified pupils with special educational needs who do not have statements, or places in schools, other than special schools, for pupils with special educational needs allocated in accordance with the allocation formula under the local education authority’s scheme (regulation 42(4));
the provision made in the 1995 Regulations for the funding authority to deduct from a school’s CFF share deficits incurred in the school’s budget share in previous financial years before it became grant-maintained is modified so that in the financial year beginning on 1st April 1996 the funding authority take into account, in determining how much of such deficits to deduct, amounts which they have previously deducted in that respect from the school’s CFF share in the preceding financial year under the 1995 Regulations (thereby allowing the funding authority to deduct over a number of years amounts representing the total amount of such deficits) (regulation 42(6));
the existing provision regarding the calculation of a minimum figure (its CFF floor) below which a school’s maintenance grant may not fall is modified and allows the Secretary of State to determine the amount of the floor (regulation 43);
provision is made for increases in funding for schools in the London Borough of Brent which have increases in pupil numbers and whose maintenance grant falls to be determined under Part 3 (regulation 52 and paragraph 16D of Schedule 4).
Part 4 of the Regulations provides for the payment of capital and special purpose grants on a similar basis to that provided for under Part 4 of the 1995 Regulations save that special purpose grants may also be paid to meet expenditure in respect of expenses incurred or to be incurred by the governing bodies of primary schools with fewer than 150 registered pupils for or in connection with staff absences and the procurement of professional advice.
The funding authority may also impose requirements as to the repayment of the amount of capital grant or as to the payment of the value of any premises or equipment in respect of which capital grant was paid, if conditions specified in those requirements are satisfied. The funding authority already has this power in relation to special purpose grants.
Consequent on section 93 of the 1993 Act, Part 5 of the Regulations, as did Part 5 of the 1995 Regulations, prescribes the total amount of maintenance grant which may be recovered by the Secretary of State from the local education authority named in a determination under that section.