Memorandum by the Department for Education and Employment
EDUCATION (GRANTS FOR EDUCATION SUPPORT AND TRAINING)
(ENGLAND) REGULATIONS 1997 (S.I. 1997/514)
1. The Joint Committee requested a memorandum on the following
"Ought not regulation 5(2) to have applied to approved
expenditure incurred on (as well as after) 1 April 1997?"
2. The Department agrees that regulation 5(2) ought indeed
to have applied to such expenditure incurred on 1 April 1997 and
regrets this error.
3. Regulation 5(1) provides that "except as provided
in paragraph (2) below" grants in respect of approved expenditure
incurred "on or after 1 April 1997" shall be payable
at the rate of 60% of such expenditure. Paragraph (2) provides
that grants in respect of approved expenditure incurred "after
1 April 1997" in respect of various specific items referred
to in regulation 5(2) shall be paid at higher percentage rates.
The percentage rates are specified in a table in regulation 5(2).
The position therefore would seem to be that where expenditure
was incurred on 1 April by a local education authority
in respect of the items referred to in regulation 5(2) grant could
only be paid at the rate of 60% because regulation 5(2) would
not apply, although the intention was that grants should be paid
at a higher rate.
4. If this proves a problem in practice the Department will
make amending regulations to come into force before the first
payments of grants are made, which occurs in July. However it
is thought unlikely that expenditure would be incurred on 1 April
since this year 1 April falls immediately after Easter and will
almost certainly be in the school holidays.
21st March 1997