Education and Inspections Bill

House of Commons

Session 2005 - 06
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Other Bills before Parliament

Education and Inspections Bill

Education and Inspections Bill
Part 2 — Establishment, discontinuance or alteration of schools
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General
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Restriction on establishment, alteration or discontinuance of schools
(1)
Except in pursuance of proposals falling to be implemented under this Part or
Schedule 7 or 7A to the Learning and Skills Act 2000—
(a)
no maintained school may be established or discontinued;
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(b)
no prescribed alteration may be made to a maintained school.
(2)
In subsection (1)(b) “prescribed alteration”, in relation to a maintained school,
means an alteration prescribed under section 17.
(3)
Subsection (1) has effect subject to—
(a)
sections 16(5) and 55(4) (which relate to powers of the Secretary of State
10
to require a maintained school to be discontinued), and
(b)
section 30(9) of SSFA 1998 (notice by governing body to discontinue
foundation or voluntary school).
(4)
Except in pursuance of proposals falling to be implemented under section 25,
no alteration falling within section 23(2)(a) or (b) may be made to a foundation
15
or foundation special school.
27
Abolition of school organisation committees
Section 24 of, and Schedule 4 to, SSFA 1998 (which require local education
authorities in England to establish a school organisation committee for their
area) cease to have effect.
20
28
Amendments relating to school organisation
Schedule 3 contains amendments relating to school organisation.
29
Transitional provisions
(1)
The Secretary of State may by regulations make such transitional provision as
he considers appropriate in connection with the commencement of this Part.
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(2)
Regulations under this section may, in particular, make provision with respect
to—
(a)
the determination or implementation of proposals made under the
previous enactments,
(b)
references made to school organisation committees or adjudicators
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under the previous enactments.
(3)
This section does not limit the powers conferred by section 159.
(4)
In this section “the previous enactments” means—
(a)
sections 28, 28A, 29 and 31 of, and Schedules 6 and 7 to, SSFA 1998
(establishment, alteration or discontinuance of schools) so far as
35
applying to England, and
(b)
sections 66 and 67 of, and Schedules 10 and 11 to, EA 2005.
30
Interpretation of Part
(1)
In this Part, except where the contrary intention appears—

Education and Inspections Bill
Part 3 — Further provisions about maintained schools
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“adjudicator” is to be read in accordance with section 25(3) of SSFA 1998;
“discontinue”, in relation to a maintained school, is to be read in
accordance with section 14(8);
“foundation”, in relation to a foundation or voluntary school, has (subject
to sections 23(5) and 25(5)) the meaning given by section 21(3) of SSFA
5
1998;
“local education authority”, in relation to a school maintained (or
proposed to be maintained) by a local education authority, means that
authority;
“maintain”, in relation to a maintained school, has the same meaning as in
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SSFA 1998;
“maintained school” means any of the following schools in England—
(a)
a community, foundation or voluntary school,
(b)
a community or foundation special school, or
(c)
a maintained nursery school;
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“prescribed” means prescribed by regulations;
“regulations” means regulations made under this Part by the Secretary of
State.
(2)
For the purposes of this Part, a foundation or voluntary school has a religious
character if it is designated by order under section 69(3) of SSFA 1998 as a
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school having such a character.
Part 3
Further provisions about maintained schools
Foundation, voluntary and foundation special schools
31
Requirements as to foundations
25
(1)
After section 23 of SSFA 1998 insert—
“23A
Foundation and foundation special schools: requirements as to
foundations
(1)
This section applies to—
(a)
any foundation or foundation special school in England which,
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after the commencement of this section, is established with a
foundation or altered so as to acquire a foundation, and
(b)
any foundation or foundation special school in England which
does not fall within paragraph (a) but whose instrument of
government provides for the majority of governors to be
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foundation governors.
(2)
No institution may act as the foundation of a school to which this
section applies unless—
(a)
it is a body corporate of a prescribed description, and
(b)
it is a charity (whether by virtue of section 23(3) or otherwise).
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(3)
Where any members of the foundation are to be local authorities or
persons appointed by local authorities, the proportion of voting rights
exercisable by such members must not exceed 20 per cent. of the total
voting rights exercisable by members.

Education and Inspections Bill
Part 3 — Further provisions about maintained schools
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(4)
Where any of the charity trustees in relation to the foundation are to be
appointed by local authorities—
(a)
the proportion of the charity trustees who are appointed by
local authorities must not exceed 20 per cent. of the total
number of charity trustees, and
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(b)
the voting rights exercisable by the charity trustees who are
appointed by local authorities must not exceed 20 per cent. of
the total voting rights exercisable by charity trustees.
(5)
Regulations may prescribe other requirements to be met in relation to
the foundations of schools to which this section applies.
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(6)
Those requirements may include requirements as to—
(a)
the objects or purposes of the foundation, and
(b)
persons who are to be disqualified from acting as charity
trustee.
(7)
In this section and section 23B—
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“charity” has the same meaning as in the Charities Act 1993;
“charity trustee”, in relation to a school to which this section
applies, means any individual who is for the purposes of the
Charities Act 1993 a charity trustee in relation to the school’s
foundation;
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“foundation” means a foundation established otherwise than
under this Act;
“institution” has the same meaning as in the Charities Act 1993.
23B
Powers of Secretary of State in relation to charity trustees of
foundations.
25
(1)
Regulations may make provision enabling the Secretary of State in
prescribed cases by direction—
(a)
to remove any charity trustee of a school to which section 23A
applies, even though the person is not disqualified by virtue of
subsection (6)(b) of that section;
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(b)
to appoint a person to be a charity trustee of such a school
(whether in place of a trustee removed by him under paragraph
(a) or otherwise).
(2)
Regulations under subsection (1) may make provision as to the effect of
a direction given by the Secretary of State under the regulations, and
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may in particular provide for any such direction to have the same effect
as an order of the Charity Commission for England and Wales under
section 18 of the Charities Act 1993 for the removal or appointment of
a charity trustee.
(3)
Nothing in this section affects the powers of the Charity Commission
40
for England and Wales under any enactment.”
(2)
In relation to any time before the commencement of section 1A(1) of the
Charities Act 1993 (c. 10) (which provides for the establishment of the Charity
Commission for England and Wales as a body corporate), any reference in
section 23B of SSFA 1998 (as inserted by subsection (1) of this section) to the
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Charity Commission for England and Wales is to be read as a reference to the
Charity Commissioners for England and Wales.

Education and Inspections Bill
Part 3 — Further provisions about maintained schools
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Parent councils for certain foundation or foundation special schools
After section 23 of EA 2002 insert—
“23A
Parent councils
(1)
A school is for the purposes of this section a “qualifying school” if—
(a)
it is a foundation or foundation special school in England,
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(b)
it has a foundation established otherwise than under the School
Standards and Framework Act 1998, and
(c)
the instrument of government for the school provides that the
majority of governors are to be foundation governors.
(2)
The governing body of any qualifying school must establish in
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accordance with regulations a body (to be known as a parent council)
whose members are parents of registered pupils at the school.
(3)
The purpose of a parent council is to advise the governing body on
matters relating to the conduct of the school and the exercise by the
governing body of their powers under section 27.
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(4)
Regulations may make provision as to—
(a)
the person or persons by whom, and the manner in which,
members are to be elected or appointed,
(b)
eligibility for election or appointment,
(c)
the duration of membership, and
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(d)
meetings and proceedings of a parent council.
(5)
Regulations may confer or impose functions relating to parent councils
on the governing bodies of qualifying schools.
(6)
The governing body of a qualifying school must, in exercising their
functions under this section with respect to the school’s parent council,
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have regard to any guidance given from time to time by the Secretary
of State.
(7)
The reference in subsection (1)(b) to a foundation is to be read in
accordance with section 21 of the School Standards and Framework Act
1998.”
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Funding of voluntary aided schools: meaning of “capital expenditure”
(1)
Part 2 of Schedule 3 to SSFA 1998 (funding of voluntary aided schools) is
amended as follows.
(2)
In paragraph 3, as it applies in relation to England, omit sub-paragraph (3) (the
definition of “capital expenditure” for the purposes of the Schedule).
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(3)
After paragraph 9 insert—
“Meaning of “capital expenditure”
9A    (1)
This paragraph applies for the purposes of this Schedule as it applies
in relation to England.
      (2)
Subject to sub-paragraphs (3) and (4), references in this Schedule to
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capital expenditure, in relation to an appropriate body or the

Education and Inspections Bill
Part 3 — Further provisions about maintained schools
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promoters, in the case of a voluntary aided school, are references
to—
(a)
expenditure of the body or, as the case may be, the promoters
which falls to be capitalised in accordance with proper
accounting practices, or
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(b)
expenditure which would fall to be so capitalised were it to
be incurred by the body or, as the case may be, the promoters.
      (3)
The Secretary of State may by regulations prescribe classes or
descriptions of expenditure which are to be treated for the purposes
of this Schedule as being, or as not being, capital expenditure in
10
relation to—
(a)
any appropriate body, or any prescribed class or description
of appropriate body;
(b)
any promoters, or any prescribed class or description of
promoters.
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      (4)
The Secretary of State may by direction provide that, in the case of a
particular voluntary aided school—
(a)
expenditure of a particular appropriate body which is
expenditure of a particular class or description;
(b)
expenditure of particular promoters which is expenditure of
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a particular class or description,

is to be treated for the purposes of this Schedule as being, or as not
being, capital expenditure in relation to that body, or as the case may
be, those promoters.
      (5)
Directions under sub-paragraph (4) may be expressed to have effect
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in specified circumstances or subject to specified conditions.
      (6)
In this paragraph an “appropriate body”, in the case of a voluntary
aided school, means—
(a)
the governing body of the school, or
(b)
a relevant body in relation to the school (within the meaning
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of paragraph 5).
9B    (1)
For the purposes of paragraph 9A, “proper accounting practices”, in
relation to an appropriate body or the promoters, in the case of a
voluntary aided school, means those accounting practices—
(a)
which, whether by virtue of any enactment or by reference to
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any generally recognised published code or otherwise, are
regarded as proper accounting practices to be followed in the
keeping of accounts by the appropriate body, or as the case
may be, the promoters, or
(b)
which, whether by virtue of any enactment or by reference to
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any generally recognised published code or otherwise, are
regarded as proper accounting practices to be followed in the
keeping of accounts by the local education authority.
      (2)
In the event of conflict between the accounting practices falling
within paragraph (a) of sub-paragraph (1) and those falling within
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paragraph (b) of that sub-paragraph, only those falling within
paragraph (a) are to be regarded as proper accounting practices.
      (3)
In this paragraph an “appropriate body”, in the case of a voluntary
aided school, has the same meaning as in paragraph 9A.”