Private School Funds
The local authority defines a private school fund as:-
" Where an officer of the council has responsibility for any funds other than official funds then this shall be deemed as a private fund. "
The overall responsibility for all of the private funds held by the school lies with the Governing Body. The Headteacher has the responsibility for ensuring that the Governing Body is kept fully informed of all the private funds at the school.
The Governing Body may open any suitable bank account for any of the private school funds under their control.
The Headteacher is responsible for ensuring that accurate financial records are maintained and that there are adequate banking procedures in place for all of the private funds. (N.B. except in voluntary aided schools). The bank account should have three signatories; all should be current employees of the school, and two of whom must sign a chque before it is valid. Cheques should never be pre-signed by one signatory.
The Headteacher also holds the responsibility for ensuring that all private fund accounts are available for annual audt by a suitable and competent individual who is independent of the operation of the private funds. Ofsted guidelines specifically exclude governors of the school from acting as auditors.
The Headteacher should ensure that the audited accounts are presented annually to the Govening Body on completion of the audit and a minute number should signify that the audited accounts have been formally approved.
Internal Audit shall, where it is deemed necessary, have unrestricted access to the records of the private funds.
Grants from external bodies (e.g. Central Government) should not, under any circumstances, be paid into private funds. All such funds must be paid into the school budget.
VAT can be recovered on expenditure met from private school funds provided that it has been made on educational items to be used in school. In order for this to be worthwhile the amount of VAT should be at least £20 (which can be on a number of transactions incurred over a period of time). This does not apply to items purchased for fund raising activities. Contact the VAT Officer on 01629 538085 for further details.
Firfield Primary School currently has four Private School Fund accounts.
These are as follows :-
Yorkshire Bank - Private School Fund - (This account is soon to be closed following the closure of the Beeston branch)
- Lloyds Bank - School Fund
- Lloyds Bank - Trips & Activities
- Lloyds Bank - Breakfast Club