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2(1)Subject to the provisions of this paragraph, the GMS grants provisions shall continue to have effect on and after the appointed day in relation to—
(a)any payments of maintenance grant under section 244 or 250 of the 1996 Act in respect of any financial year (or part of such a year) beginning before that day; and
(b)any payments of capital or special purpose grants under section 245, 246, 251 or 252 of that Act made before that day.
(2)Regulations may provide—
(a)for any functions of the funding authority under the GMS grants provisions—
(i)to be discharged instead by the Secretary of State as from a date specified in the regulations, or
(ii)to be discharged instead by local education authorities as from the appointed day (either subject to obtaining the Secretary of State’s consent or otherwise); and
(b)for any of those provisions to have effect, for any purposes specified in the regulations, with such modifications as are so specified.
(3)Regulations under sub-paragraph (2) shall not authorise a local education authority to impose any requirement under section 247(1) of that Act (as it has effect by virtue of sub-paragraph (1)); but the Secretary of State may by order—
(a)impose such a requirement; or
(b)waive or remove such a requirement even though a local education authority is by such regulations also authorised to do so.
(4)In this paragraph “the GMS grants provisions” means sections 244 to 254 and 256 to 258 of the 1996 Act and any regulations in force under any of those provisions immediately before the appointed day.
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