# The Education (New Grant-maintained Schools) (Finance) Regulations 1997, Note: Explanatory note


(This note is not part of the Regulations)
These Regulations apply to new grant-maintained schools situated in England established pursuant to proposals published by the Funding Agency for Schools (“the FAS”) under section 211, or by promoters under section 212, of the Education Act 1996 in relation to the financial year commencing on 1st April 1997 (“the financial year in question”). The Regulations do not apply to such schools established in place of an existing independent school or in connection with proposals for the discontinuance of another grant-maintained school. The Regulations do not apply to grant-maintained special schools.
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 schools to which the Regulations apply (regulation 3). Maintenance grant is made up of a number of elements.
Where a new grant-maintained school is established on 1st April in the financial year in question, or is deemed by regulation 2(3) (b) to have been so established, the FAS determine an amount for Direct AMG under regulation 4 in accordance with the local education authority’s scheme for the local management of their schools or, if it would produce a larger amount, under regulation 5. Where a new school is established in September in the financial year in question, an apportionment of the amount that would have been determined under regulation 4 or 5, if the school had been established on 1st April, takes place under regulation 10.
The FAS determine an amount for Central AMG in accordance with regulation 7 and Schedule 1 on the basis of the amount of Direct AMG calculated in accordance with regulation 4 (whether or not Direct AMG for the school was determined under that regulation). Regulation 11 provides for an apportionment of the amount that would have been calculated under regulation 4 had the school been established on 1st April in the financial year in question. Central AMG is the 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.
The FAS determine an amount in respect of funding for the employment of teaching staff to make special provision for pupils belonging to ethnic minorities (regulation 8), school meals (regulation 9 with apportionment under regulation 12), contingencies (regulation 13) and nursery education (regulation 14).
The FAS may revise and redetermine maintenance grant in accordance with regulations 16, 19 and 20. The relevant date for these purposes are determined in accordance with regulations 15 and 22. The Regulations make special provision for redetermination of maintenance grant where it would otherwise be insufficient to enable the governing body of the school adequately to carry out their functions with respect to the conduct of the school (regulation 17), redetermination of grant to reflect local authority capital expenditure from the revenue account (regulation 18) and transfers of site (regulation 21).
The FAS may impose requirements under regulation 23 on governing bodies to whom payments of maintenance grant are or have been made.
Part 3 of the Regulations provides for the payment of capital and special purpose grants and the FAS may also impose requirements on governing bodies to whom payments of capital or special purpose grants are or have been made.
Consequent on section 256 of the Education Act 1996, Part 4 of the Regulations, prescribes the total amount of maintenance grant in respect of a new grant-maintained school which may be recovered by the Secretary of State from the local education authority named in a determination under that section. This does not include grant paid under regulation 18 (capital expenditure from the revenue account).

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Source: https://www.legislation.gov.uk/uksi/1997/956/note (the official version)
Page: https://openlegislation.uk/education-new-grant-maintained-schools-finance-regulations-1997/note
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.