Search Legislation

Education Act 2002

 Help about what version

What Version

 Help about advanced features

Advanced Features

Changes to legislation:

Education Act 2002, Chapter 3 is up to date with all changes known to be in force on or before 29 March 2024. There are changes that may be brought into force at a future date. Changes that have been made appear in the content and are referenced with annotations. Help about Changes to Legislation

Close

Changes to Legislation

Revised legislation carried on this site may not be fully up to date. Changes and effects are recorded by our editorial team in lists which can be found in the ‘Changes to Legislation’ area. Where those effects have yet to be applied to the text of the legislation by the editorial team they are also listed alongside the legislation in the affected provisions. Use the ‘more’ link to open the changes and effects relevant to the provision you are viewing.

View outstanding changes

Changes and effects yet to be applied to Part 1 Chapter 3:

  • specified provision(s) amendment to earlier commencing SI 2003/1667 Sch. para. 1 by S.I. 2004/571 Sch.
  • specified provision(s) amendment to earlier commencing SI 2003/1667 Sch. para. 1A and 2 by S.I. 2005/2570 art. 2

Changes and effects yet to be applied to the whole Act associated Parts and Chapters:

Whole provisions yet to be inserted into this Act (including any effects on those provisions):

Chapter 3E+WPowers to form companies etc

11 Powers of governing bodies to form or invest in companies to provide services etc.E+W

(1)The governing body of a maintained school may form, or participate in forming, companies—

(a)to provide services or facilities for any schools,

(b)to exercise relevant [F1local authority] functions, or

(c)to make, or facilitate the making of, arrangements under which facilities or services are provided for any schools by other persons.

(2)The governing body of a maintained school may, with a view to securing or facilitating—

(a)the provision by a company of services or facilities for any schools,

(b)the exercise by a company of relevant [F1local authority] functions, or

(c)the making by any person of arrangements of the kind referred to in subsection (1)(c),

invest in the company which is to provide the services or facilities or exercise the functions or by which the arrangements are to be made or facilitated.

(3)The governing body of a maintained school may form, or participate in forming, companies to purchase services or facilities for that school and other participating schools.

(4)The governing body of a maintained school may, with a view to securing or facilitating the purchase by a company of services or facilities for that school and other participating schools, become a member of the company.

(5)The governing body of a maintained school may provide staff to any company in relation to which they have exercised a power conferred by any of subsections (1) to (4).

(6)Subsections (1) to (4) have effect subject to section 12.

(7)In exercising the power conferred by subsection (5) the governing body of a maintained school shall have regard to any guidance given from time to time (in relation to England) by the Secretary of State or (in relation to Wales) by the National Assembly for Wales.

(8)This section is without prejudice to any powers of the governing body of a maintained school exercisable otherwise than by virtue of this section.

(9)In this section and section 12—

  • company” means a company registered under [F2the Companies Act 2006] as a company limited by shares or a company limited by guarantee;

  • relevant [F1local authority] functions”, in relation to a company, means [F3the education functions] of any [F1local authority] [F4that are or may become] exercisable by the company in accordance with an authorisation given or direction made by virtue of any enactment;

  • facilities” includes the provision of (or of the use of) premises, goods, materials, vehicles, plant or apparatus;

  • maintained school” means a community, foundation or voluntary school, a community or foundation special school or a maintained nursery school;

  • participating school”, in relation to a company, means a school whose governing body is, or is to be, a member of the company.

(10)References in this section and section 12 to investing in a company include references to becoming a member of the company and to investing in it by the acquisition of any assets, securities or rights or otherwise.

Textual Amendments

Commencement Information

I1S. 11 partly in force; s. 11 not in force at Royal Assent, see s. 216; s. 11 in force for E. at 20.1.2003 by S.I. 2002/2952, art. 2 (with savings and transitional provisions in Sch.)

I2S. 11 in force at 20.1.2003 except in relation to W. by S.I. 2002/2952, art. 2

12 Limits on powers conferred by section 11E+W

(1)The governing body of a maintained school may not exercise any power conferred by any of subsections (1) to (4) of section 11 except—

(a)with the consent of the [F1local authority], and

(b)at a time when the school has a delegated budget (within the meaning of Part 2 of the School Standards and Framework Act 1998 (c. 31)).

(2)A governing body—

(a)may not exercise any of those powers in relation to a company unless the company satisfies any applicable requirements of regulations under subsection (3), and

(b)may not, by virtue of section 11, remain a member of a company at any time when the company fails to satisfy any such requirements.

(3)Regulations—

(a)shall provide that, except in such cases as may be prescribed, the company must be prohibited by its constitution from admitting to its membership any person who is not of a prescribed description, and

(b)may impose requirements with respect to—

(i)the constitution of the company, and

(ii)any other matter connected with the company’s affairs.

(4)Without prejudice to the generality of paragraph (b) of subsection (3), regulations under that paragraph may require that the company be prohibited by its constitution from borrowing money, except with the consent of a prescribed person.

(5)Regulations shall—

(a)provide that where one or more governing bodies have invested in a company by virtue of section 11, a [F1local authority] shall be designated as the supervising authority for the company,

(b)specify the persons by whom and the manner in which the power of designation is, or is in specified circumstances, exercisable,

(c)make provision about the duties of a [F1local authority] who are for the time being designated as the supervising authority for a company.

(6)Regulations may also—

(a)require that where a [F1local authority] are for the time being designated as the supervising authority for a company the company shall provide prescribed information relating to its financial affairs to them at such times and in such manner as may be prescribed,

(b)provide that in prescribed circumstances a [F1local authority] who are for the time being so designated may direct any participating governing body to cease to be a member of the company or to take any other prescribed action in relation to the company, and

(c)prescribe the procedure for making such a direction.

(7)In subsection (6)(b) “participating governing body”, in relation to a company, means any governing body of a maintained school who are a member of the company.

(8)Regulations may restrict the circumstances in which a [F1local authority] may refuse to give any consent applied for under subsection (1).

Textual Amendments

Commencement Information

I3S. 12 partly in force; s. 12 not in force at Royal Assent, see s. 216; s. 12 in force for E. at 20.1.2003 by S.I. 2002/2952, art. 2 (with savings and transitional provisions in Sch.)

I4S. 12 in force at 20.1.2003 except in relation to W. by S.I. 2002/2952, art. 2

13 General powers of Secretary of State in relation to companiesE+W

(1)The Secretary of State may, if he considers it expedient to do so for purposes connected with any function of his relating to education—

(a)form, or participate in forming, companies to carry on any activities which he considers likely to secure or facilitate the achievement of those purposes, or

(b)invest in any company which is to carry on such activities.

(2)In this section “education” includes—

(a)vocational training (including the preparation of young people for employment in general), and

(b)social and physical training (including the promotion of the development of young children),

but does not include higher education.

(3)In this section “company” means a company [F5as defined in section 1(1) of the Companies Act 2006].

(4)The reference in subsection (1) to investing in a company includes a reference to becoming a member of the company and to investing in it by the acquisition of any assets, securities or rights or otherwise.

(5)This section is without prejudice to any powers of the Secretary of State exercisable otherwise than by virtue of this section.

Back to top

Options/Help

Print Options

You have chosen to open The Whole Act

The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open The Whole Act as a PDF

The Whole Act you have selected contains over 200 provisions and might take some time to download.

Would you like to continue?

You have chosen to open The Whole Act without Schedules

The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open The Whole Act without Schedules as a PDF

The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download.

Would you like to continue?

You have chosen to open the Whole Act

The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open the Whole Act without Schedules

The Whole Act without Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open Schedules only

The Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

Close

Legislation is available in different versions:

Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.

Original (As Enacted or Made): The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.

Close

See additional information alongside the content

Geographical Extent: Indicates the geographical area that this provision applies to. For further information see ‘Frequently Asked Questions’.

Show Timeline of Changes: See how this legislation has or could change over time. Turning this feature on will show extra navigation options to go to these specific points in time. Return to the latest available version by using the controls above in the What Version box.

Close

Opening Options

Different options to open legislation in order to view more content on screen at once

Close

Explanatory Notes

Text created by the government department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. Explanatory Notes were introduced in 1999 and accompany all Public Acts except Appropriation, Consolidated Fund, Finance and Consolidation Acts.

Close

More Resources

Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • correction slips
  • links to related legislation and further information resources
Close

Timeline of Changes

This timeline shows the different points in time where a change occurred. The dates will coincide with the earliest date on which the change (e.g an insertion, a repeal or a substitution) that was applied came into force. The first date in the timeline will usually be the earliest date when the provision came into force. In some cases the first date is 01/02/1991 (or for Northern Ireland legislation 01/01/2006). This date is our basedate. No versions before this date are available. For further information see the Editorial Practice Guide and Glossary under Help.

Close

More Resources

Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • correction slips

Click 'View More' or select 'More Resources' tab for additional information including:

  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • links to related legislation and further information resources