(1)This section applies where a local education authority, in pursuance of the duty imposed on them by section 118 of the School Standards and Framework Act 1998 (c. 31) (duty of LEA as respects availability of nursery education), makes arrangements with a person (other than the governing body of a maintained school) for the provision by that person of nursery education in consideration of financial assistance provided by the authority under the arrangements.
(2)The local education authority—
(a)must, in making the arrangements, have regard to any guidance given from time to time by the Secretary of State, or (as respects local education authorities in Wales) the National Assembly for Wales, as to provision to be made in such arrangements in respect of the requirements to be met by the provider of the nursery education, and
(b)must exercise their functions with a view to securing that the provider meets any requirements imposed on him by the arrangements.
(3)Subject to any guidance given under subsection (2)(a), the requirements imposed by the arrangements may, in particular, if any specified conditions are not satisfied, require the repayment of the whole or any part of any financial assistance provided by the local education authority under the arrangements.
(4)In this section—
“maintained school” means a community, foundation or voluntary school, a community or foundation special school or a maintained nursery school;
“nursery education” means full-time or part-time education suitable for children who have not attained compulsory school age (whether provided at schools or elsewhere).