Regulation 3

the definition of “expenditure incurred by an authority” shall be amended by the substitution for the words “maintenance of a further education establishment”, of the words “maintenance of a special school not maintained by an authority or of an institution of further education”;

the definition of “further education establishment” shall be deleted and there shall be inserted after the definition of “higher rate” the following definition —

• ““institution of further education”, means an institution providing further education or both further and higher education and either —

  1. (a)

     maintained by an authority, or

  2. (b)

     designated by or under regulations^f1 for the time being in force under section 218 of the Education Reform Act 1988^f2 as an institution substantially dependent for its maintenance on assistance from local education authorities or on grants under section 100(1)(b) of the Education Act 1944^f3;”;

for the definition of “higher rate” there shall be substituted the following definition —

• ““higher rate” means, in relation to expenditure incurred before 1st April 1990, 70 per cent., and in relation to expenditure incurred on or after that date, 65 per cent.;”;

for the definition of “qualified teacher” there shall be substituted the following definition —

• ““qualified teacher” means a person who, by virtue of the regulations relating to the employment of teachers for the time being in force under section 218 of the Education Reform Act 1988, is qualified to be employed as a teacher at a school of the kind described in subsection (12) of that section;”.