298 Disposal of premises transferred under section 201.E+W
(1)This section applies where the governing body of a grant-maintained school apply to the Secretary of State for his consent to the disposal of—
(a)any premises transferred to the governing body under section 201(1)(a), or
(b)any premises acquired wholly or partly with the proceeds of the disposal of any premises so transferred or of any premises so acquired.
(2)Subject to subsection (3), the Secretary of State may—
(a)require the premises or any part of the premises to be transferred to such local authority as the Secretary of State may specify, subject to the payment by that authority of such sum by way of consideration (if any) as he determines to be appropriate, or
(b)where he does not impose a requirement under paragraph (a), require the governing body, when the premises are disposed of, to pay to such local authority as the Secretary of State may specify the whole or any part of the proceeds of disposal.
(3)Where the occasion of the disposal is a transfer of the school to a new site in respect of which the funding authority have paid capital grant—
(a)no requirement shall be imposed under subsection (2)(a), and
(b)the reference in subsection (2)(b) to the proceeds of disposal shall be read as a reference to such part (if any) of those proceeds as remains after repayment of the amount of that capital grant in accordance with section 297.