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Legal Concerns
The school governing body has ultimate responsibility for deciding what form the additional activities to meet the full core offer of extended services should take. Governors need to be made aware of any additional responsibilities that may result from providing additional services through the school. (Read more…)

Section 27 of the Education Act 2002 gives governing bodies of all maintained schools the enabling power to provide, or enter into contract to provide, facilities and services that ‘further any charitable purpose for the benefit of pupils at the school, their families or people who live or work in the locality in which the school is situated’.  

Charitable purposes are grouped under four headings:

  • the relief of financial hardship
  • the advancement of education
  • the advancement of religion
  • certain other purposes for the benefit of the community.

This will cover the vast majority of services and activities that schools may want to provide. Section 28 of the Act puts in place a number of safeguards which include a duty on the governing body to consult before establishing extended services and a duty to abide by provisions that may be contained in the LEA’s scheme for financing schools.  

Additionally, the Local Authority has the power to suspend a school’s delegated budget in certain circumstances where the governing body is not managing in a satisfactory manner any expenditure or sums received in the exercise of the section 27 powers.

Governors Powers & responsibilities 

The governing body must: 

  • ensure that extended services benefit the public and any profits made are reinvested in the service or in the school;
  • ensure that extended services help to promote high standards of education;
  • consult with the Local Authority (LA), school staff, parents of its school’sregistered pupils, registered pupils themselves and any other persons thatthe governing body considers appropriate;
  • have regard to any advice given to it by the LA and to guidance that has been issued by the Department for Children, Schools and Families (DCSF);
  • ensure that childcare for children under the age of three provided directly bythe school is registered with Ofsted .   

The “Charitable purpose” requirement 

The governing body has the power to provide, or enter into contracts to provide, any facilities or services that will further any “charitable purpose” for the benefit of pupils at its school, families of pupils and people who live and work in the local community. This power is in addition to governing bodies’ pre-existing powers and responsibilities regarding the control and community use of school premises  

The phrase “charitable purpose” has a particular legal meaning that does not coincide with its popular meaning. To be “charitable” in this sense, the activity must benefit the public or a section of it and either: 

  • relieve poverty;
  • advance education;
  • advance religion; or
  • be for another purpose that the law recognises as charitable.

Most services and activities that schools want to provide, for example, childcare, adult and family learning, co-located health and social services, parenting support and other facilities of benefit to the local community, such as credit unions or information and communication technology (ICT) access, are charitable in this sense. Any profits that a school may make from providing such services must be reinvested in the service or in the school.

To further such activities a governing body may incur expenditure, provide services, commission others to provide services, enter into legal agreements and charge for services or facilities subject to certain limitations.  

Restrictions on extended services 

A governing body cannot engage in any activity that might interfere with its duty to conduct the school with a view to promoting high standards of educational achievement at the school. The governing body’s use of the power is also subject to any limits or restrictions contained in the school’s instrument of government or in its trust deed (if it has one) and to any local directions issued by the LA regarding the control of school premises. 

Before implementing any plans to provide facilities or services using the power, the governing body must consult the LA, school staff, parents of its registered pupils, registered pupils themselves (where this is appropriate) and any other persons that the governing body considers appropriate. The governing body must also have regard to any advice given to it by the LA and to guidance that has been issued by the DCSF.