Paragraph 1 I1

in subsection (1), for “Every maintained school” substitute “Subject to subsection (2B), every federated school”;

in subsection (2), for “A new school” substitute “Subject to subsection (2B), a new school that is a federated school”;

after subsection (2A), insert—

“(2B)

Subsections (1) and (2) do not apply to a federated school if the local authority by which the school is maintained treat the federation which includes the school as a single school in accordance with regulations.

In such a case, the federation shall have a delegated budget.”;

in subsection (4)(a), after “school” insert “or federation”;

in subsections (4) and (5), for “maintained school” substitute “federation”;

in subsection (5)(a), after “head teacher” insert “of the federation or any school within the federation”; and

for subsection (7), substitute—

“(7)

In this Part—

(a)

references to a federation or federated school having a delegated budget are references to the governing body of the federation being entitled to manage the federation’s budget share or the federated school’s budget share, as the case may be; and

(b)

where a federation or federated school has a delegated budget the governing body of the federation are accordingly said to have a right to a delegated budget in respect of the federation or the federated school, as the case may be.”.