HC Deb 25 January 1996 vol 270 cc392-5W
Mr. Win Griffiths

To ask the Secretary of State for Wales if he will list(a) the grant-maintained and (b) the locally-managed schools which had deficit budgets in the last financial year for which information is available, indicating in each case the number of years deficits have been carried over, the measures each school has been asked to take to get rid of the deficits and the legal obligations on school governors if the deficits arc not removed. [9475]

Mr. Richards

[holding answer 15 January 19961: The information requested is as follows:

The audited accounts for 1994–95 show that two grant-maintained schools—Cwmcarn in Gwent and Bishop Vaughan Catholic comprehensive in West Glamorgan—had deficits at the end of March 1995. This is the first year in which Bishop Vaughan had a deficit; that for Cwmcarn was carried over from 1993–94.

The financial memorandum agreed between the Welsh Office and grant-maintained schools says that governing bodies must plan and conduct their affairs so as to remain solvent. If it becomes apparent to its governors that their school is in overall deficit, they must inform the Welsh Office. Officials then discuss with the school a strategy to extinguish the deficit. The Department is currently in discussion with both schools on action appropriate to eliminate the deficits.

Should the governing body fail to implement the agreed strategy, then it is open to the Secretary of State to appoint additional governors to the governing body in accordance with section 67 of the Education Act 1993. If, however, it is his opinion that the governing body's actions are prejudicial to the provision of education at the school then, under section 64 of the 1993 Act, he can replace all or any of the first governors. In extreme cases, where the Secretary of State is of the view that the school is unsuitable to continue, he can, under section 109 of the Act, give the school notice of his proposed date for cessation of his duty to maintain the school.

As regards LEA-maintained schools, the position as detailed in the section 42 outturn statements for the period 1990–91 to 1994–95 is as follows:

Local Education Authority Number of years in which school has had a deficit
CLWYD
Primary schools
St. Ethelwood's, Shotton 2
Llanarmon-yn-Ial 3
Secondary schools
Denbigh High School 2
Special schools
Gwersyllt 1
DYFED
Primary schools
Gorslas 1
Ffarmers 1
Llanboidy 1
Llangennech Infants 1
Crymych 1
Llanarth 1
Blaenporth 1
Fishguard Juniors 2
Mynachlogddu 2
Narberth 2
Tregaron 2
Mathry 2
Bwlchygroes 3
Llangeitho 3
Llandyfaelog 3
Llangynin 4
Ffairfach 4
Coedmor 4
Alltwalis 4
New Inn 4
Pencader 4
Llansaint 4
Moylegrove 4
Llannon 4
Ysbyty Ystwyth 4
Angle 4
Llangwm 4
Secondary schools
Ysgol Dewi Sant 1
Lampeter 1
Glanymor 1
St. John Lloyd RC 2
Ysgol Pantycelyn 2
Fishguard 2
Graig 2
GWENT
Primary schools
Brynglas J and I 1
Bryngwyn J and I 1
Cefn Fforest Junior 1
Hillside J and I 1
Ringland Junior 1
Varteg J and I 1
Llanyravon J and I 2
GWYNEDD
Primary schools
Nebo 1

Local Education Authority Number of years in which school has had a deficit
Trefriw 1
Brynsiencyn 1
Pencarnisiog 1
Faenol 2
Llangoed 3
Secondary schools
Friars 2
Special schools
Y Gogarth 1
MID GLAMORGAN
Primary schools
Cwmaman Infants 1
YGG Abercynon 1
Cwmbach Church Primary 1
Blaen-y-Cwm 1
Cymer Infants 1
Dunraven 1
Llwynpia 1
Pentre 1
Penyrenglyn Infants 1
YGG Ynyswen 1
Coed yr Esgob 1
Gellideg Infants 1
Gellifaelog 1
Goetre Infants 1
Ynysowen 1
YG Rhyd y Grug 1
St. Illtyd's 1
St. Brides C in W 1
Bargoed Infants 1
Hengoed Primary 1
Nant y Parc 1
Abertaf 2
Blaenrhondda 2
Llangewydd 4
Pencoed Juniors 4
Trallwng Infants 5
Secondary schools
YG Rhydfelen 1
Cardinal Newman RC 1
Vaynor and Penderyn 1
POWYS
Primary schools
Archdeacon Griffiths 1
Builth Wells 1
Gungrog C in W 1
Llandinam 1
Llanfaes 1
Llangynidr 1
Oldford Infants 1
Rhayader C in W 1
Talgarth 1
Tregynon 1
Whitton (Aided) 1
Castle Caereinion C in W 2
Hay-on-Wye 2
Ladywell Green N and I 2
Llangorse C in W 2
Nantmel C in W 2
Ysgol Maesydre 2
Cwmdu C in W 3
Cwmtwrch 3
Guilsfield 3
Montgomery C in W 3
Mount St. Juniors 3
Trecastle 3
Trefonnen C in W 1 3
Forden C in W 4

Local Education Authority Number of years in which school has had a deficit
Llangurig 4
Manafon C in W 4
Radnor Valley 4
Banw 5
Clyro 5
Maesyrhandir 5
Sarn C in W (Aided) 5
Secondary schools
Gwernyfed 1
Ysgol Bro Ddyfi 1
Maesydderwen 1
Crickhowell 2
South Glamorgan
Primary schools
Pendoylan C in W 1
St. David's (Vale) 1
Ysgol Sant Curig 1
Fairfield 3
Secondary schools
Radyr 2
Llanedeyrn 4

Local management of schools schemes in general prohibit governing bodies from planning deliberately for deficits, except to the extent that the LEA may think it reasonable to make provision in its scheme to allow schools, in certain specified circumstances, to anticipate their budget shares for the following year in order to finance some major planned item of expenditure for which the full cost cannot readily be accommodated within the current year's budget share. Where deficits nevertheless arise, LMS schemes must make appropriate provision for their recovery, normally from the following year's budget share, except where clear practical considerations preclude recovery on this timescale. It is for LEAs to pursue any appropriate action in respect of deficits incurred by LEA maintained schools.

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