Part 3Protection for learners
Chapter 1Regulation of post-16 education or training providers
Funding arrangements with post-16 education or training providers
I119List of relevant providers
1
The Secretary of State may by regulations make provision—
a
for the Secretary of State to keep a list of relevant providers in respect of relevant education or training who meet conditions specified in the regulations for being on the list in respect of that education or training;
b
in connection with the keeping of the list.
2
“Relevant provider” means a post-16 education or training provider who is not—
a
a school;
b
a 16 to 19 Academy;
c
an institution within the further education sector;
d
a registered higher education provider who provides only higher education;
e
f
a local authority in England;
g
a combined authority;
h
the Greater London Authority.
3
“Relevant education or training” means education or training that falls within one or more of the following paragraphs—
a
further education;
b
education or training provided by means of a further education course, or a module of a further education course, designated for the purposes of section 22 of the Teaching and Higher Education Act 1998;
c
training for persons over compulsory school age which is funded by the Secretary of State under section 2 of the Employment and Training Act 1973;
d
education or training for persons over compulsory school age provided as part of an approved technical education qualification or approved steps towards occupational competence;
e
training for persons over compulsory school age provided in connection with an English statutory apprenticeship.
4
The Secretary of State may by regulations amend subsection (3) so as to add, vary or remove a category of education or training.
5
A condition may be specified in regulations under subsection (1)(a) only where the Secretary of State considers that specifying the condition in relation to a relevant provider may assist in preventing, or mitigating the adverse effects of, a disorderly cessation in the provision of education or training by the relevant provider.
6
Regulations under subsection (1) may—
a
specify different conditions in relation to different descriptions of relevant education or training;
b
provide for a relevant provider to be on the list only in respect of one or more descriptions of relevant education or training;
c
confer functions (including functions involving the exercise of a discretion) on the Secretary of State or any other person.
7
The conditions that may be specified include conditions—
a
relating to the relevant provider having a student support plan and making it available;
b
relating to the relevant provider having insurance cover;
c
for ensuring that persons having general control and management of, or legal responsibility and accountability for, the relevant provider are fit and proper persons to be involved in that activity;
d
relating to the relevant provider giving access to, or providing, information (including information about persons for whom the relevant provider is, or has been, providing relevant education or training) to the Secretary of State;
e
relating to the relevant provider taking action specified in directions given by the Secretary of State.
8
9
Different conditions may be specified—
a
for being added to, or remaining on, the list;
b
for different descriptions of relevant provider.
10
a
for the charging of fees in connection with entries on the list;
b
about the procedure for applications to be added to, or remain on, the list;
c
about the removal of entries from, or the restoration of entries to, the list;
d
about appeals against decisions relating to the list;
e
permitting or requiring the disclosure of information;
f
about publication of the list.
11
a
persons for whom relevant education or training is or has been provided;
b
persons having general control and management of, or legal responsibility and accountability for, a relevant provider.
I220Prohibitions on entering into funding arrangements with providers
1
If the Secretary of State makes regulations under section 19(1)(a) for the keeping of a list, the following provisions apply in relation to the making of funding arrangements while the regulations are in force.
2
A funding authority must not enter into relevant funding arrangements with a relevant provider unless—
a
the relevant provider is on the list in respect of the education or training to which the funding arrangements relate, and
b
the funding arrangements include provision allowing the funding authority to terminate the funding arrangements if the relevant provider ceases to be on the list in respect of that education or training.
3
A funding authority must not enter into relevant funding arrangements with a post-16 education or training provider (“P1”) unless the funding arrangements include the provision in subsection (4).
4
The provision in this subsection is—
a
in the case of relevant funding arrangements that prohibit P1 from entering into a relevant sub-contract, provision allowing the funding authority to terminate the funding arrangements if P1 enters into a relevant sub-contract in breach of that prohibition, and
b
in the case of relevant funding arrangements that allow P1 to enter into a relevant sub-contract, provision allowing the funding authority to terminate the funding arrangements if P1 enters into a relevant sub-contract with a relevant provider (“P2”) unless—
i
P2 is on the list in respect of the education or training to which the relevant sub-contract relates, and
ii
the relevant sub-contract includes provision allowing P1 to terminate the sub-contract if P2 ceases to be on the list in respect of that education or training.
5
Nothing in this section—
a
may be relied on by a provider with whom a funding authority has entered into relevant funding arrangements as a reason for not carrying out the provider’s obligations under those arrangements, or
b
limits the discretion of a funding authority not to enter into funding arrangements with a person where that person does not meet conditions of a scheme created by the funding authority in connection with the making of funding arrangements.
6
The following provisions apply for the interpretation of this section.
7
“Funding authority” means—
a
the Secretary of State;
b
a local authority in England;
c
a combined authority;
d
the Greater London Authority.
8
“Funding arrangements” in relation to a funding authority and a provider are—
a
arrangements for a grant to be given by the funding authority to the provider for the provision of education or training wholly or mainly in England;
b
an agreement for the funding authority to provide funding to the provider for the provision of education or training wholly or mainly in England.
9
The reference in subsection (8)(b) to an agreement for the funding authority to provide funding to the provider includes a reference to an agreement or arrangements between the funding authority and the provider by virtue of which amounts can or must be paid directly to the provider in accordance with provision in regulations made under section 22(1) of the Teaching and Higher Education Act 1998 (financial support for students) by virtue of section 22(2)(h) or (i) of that Act.
10
Funding arrangements are “relevant funding arrangements” if—
a
the education or training to which the arrangements relate is relevant education or training, and
b
the arrangements have any other characteristics specified in regulations made by the Secretary of State.
11
A “relevant sub-contract”, in relation to relevant funding arrangements, is a contract—
a
for the provision of all or part of the education or training to which the relevant funding arrangements relate, and
b
that has any other characteristics specified in regulations made by the Secretary of State.
I321Funding arrangements: interpretation
1
2
In those sections—
“approved technical education qualification” and “approved steps towards occupational competence” have the same meanings as in section 100 of the Apprenticeships, Skills, Children and Learning Act 2009;
“combined authority” means a combined authority established under section 103 of the Local Democracy, Economic Development and Construction Act 2009;
“English statutory apprenticeship” has the meaning given by section 40A(3) of the Apprenticeships, Skills, Children and Learning Act 2009;
“further education” has the same meaning as in the Education Act 1996 (see section 2 of that Act);
“higher education” has the meaning given by section 579(1) of the Education Act 1996;
“institution within the further education sector” has the same meaning as in the Further and Higher Education Act 1992 (see section 91(3) of that Act);
“local authority in England” has the same meaning as in the Education Act 1996 (see sections 579(1) and 581 of that Act);
“post-16 education or training provider” means an institution or person who provides or intends to provide relevant education or training for persons over compulsory school age;
“registered higher education provider” has the same meaning as in Part 1 of the Higher Education and Research Act 2017 (see section 3(10) of that Act);
“relevant education or training” has the meaning given by section 19(3);
“responsible body” means—
- a
in relation to a school or a 16 to 19 Academy, the proprietor (within the meaning given by section 579(1) of the Education Act 1996);
- b
in relation to an institution within the further education sector, the governing body (within the meaning given by section 90(1) of the Further and Higher Education Act 1992);
- c
in relation to a registered higher education provider, the governing body (within the meaning given by section 85(1) of the Higher Education and Research Act 2017);
- a
“school” has the same meaning as in the Education Act 1996 (see section 4 of that Act).
3
In the following provisions, references to a provider include references to a person having general control and management of, or legal responsibility and accountability for, a provider—
b
section 20(2) to (4) where the reference is to entering into relevant funding arrangements, or a relevant sub-contract, with a provider;
I422Regulations under section 19 or 20
1
2
The provision that may be made in regulations by virtue of subsection (1) includes provision amending an Act (including this Act).
3
Before making the first regulations under section 19(1) the Secretary of State must consult such persons as the Secretary of State considers appropriate.
4
5
A statutory instrument containing the following (whether alone or with other provision) may not be made unless a draft of the instrument has been laid before, and approved by a resolution of, each House of Parliament—
b
regulations under section 19(4);