Education (No. 2) Act 1986

55 Compensation payable by governing body on change from controlled to aided status. E+W

(1) Where a controlled school becomes an aided school by virtue of an order made under section 54 of this Act, the governing body shall pay to the local education authority (in accordance with the order) such sum, by way of compensation for capital expenditure on the school—

(a) as may be agreed by that body and the authority; or

(b) failing such agreement, as the Secretary of State thinks fit having regard to the current value of the property in question.

(2) In subsection (1) above “capital expenditure” means any expenditure incurred by the local education authority, or by any predecessor of theirs, in respect of the school under—

(a) section 2 of the M1 Education (Miscellaneous Provisions) Act 1953 (power of Secretary of State, in certain circumstances, to require local education authority to defray expenses of establishing a controlled school);

(b) section 1 of the M2 Education Act 1946 (power of Secretary of State, in certain circumstances, to require expenses incurred in enlarging controlled school to be paid by local education authority); or

(c) paragraph 1 of Schedule 1 to the Act of 1946 (provision of buildings etc. for voluntary schools);

other than expenditure which could have been so incurred in respect of the school if it had always been an aided school.

(3) The Secretary of State may, for the purpose of assisting him in any determination which he is required to make under subsection (1) above, appoint such person as he thinks competent to advise him on the valuation of property.

(4) No contribution, grant or loan shall be paid, or other payment made, by the Secretary of State to the governing body of any controlled school in respect of any compensation payable by them under this section.

Marginal Citations

M1 1953 c. 33.

M2 1946 c. 50.