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(1)In the Education Act 1996 (c. 56), for section 482 (city technology colleges, city colleges for the technology of the arts and city academies) there is substituted—
(1)The Secretary of State may enter into an agreement with any person under which—
(a)that person undertakes to establish and maintain, and to carry on or provide for the carrying on of, an independent school in England with the characteristics mentioned in subsection (2) and such other characteristics as are specified in the agreement, and
(b)the Secretary of State agrees to make payments to that person in consideration of those undertakings.
(2)The characteristics mentioned above are that the school—
(a)has a curriculum satisfying the requirements of section 78 of the Education Act 2002, but with an emphasis on a particular subject area, or particular subject areas, specified in the agreement, and
(b)provides education for pupils of different abilities who are wholly or mainly drawn from the area in which the school is situated.
(3)Before entering into an agreement under this section, the Secretary of State must consult the following about the establishment of the school—
(a)the local education authority in whose area the school is to be situated; and
(b)if the Secretary of State thinks a significant proportion of the pupils at the school is likely to be resident within the area of another local education authority, that authority.
(4)An agreement under this section shall make any payments by the Secretary of State dependent on the fulfilment of—
(a)conditions and requirements imposed for the purpose of securing that no charge is made in respect of admission to (or attendance at) the school or, subject to such exceptions as may be specified in the agreement, in respect of education provided at the school, and
(b)such other conditions and requirements in relation to the school as are specified in the agreement.
(5)A school to which an agreement under this section relates shall be known as an Academy.
(6)Schedule 35A (which makes provision about land in relation to Academies) has effect.”
(2)In section 483 of that Act (financial provisions), in subsection (3) (agreements shall include provision for capital repayment), for “shall” there is substituted “may”.
(3)Schedule 7 (which inserts a new Schedule into the Education Act 1996 (c. 56) to make provision about land in relation to Academies, and makes other supplementary provision about Academies) shall have effect.
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