Pre-school playgroup provision on school sites

Recently we have had a number of requests from schools to move/develop pre-school playgroup provision on school sites. If a school wishes this to happen it will need to consider the options open to them. First and foremost it is important that if the intention is to move a current pre-school playgroup onto a school site that there is an understanding of all of the issues by both parties and a formal agreement is in place between the school governing body and the playgroup committee.

Options open to the schools and pre-school playgroups:

1. Independent tenant arrangement

• The school invites a pre-school playgroup on site into a vacant space/class


• The pre-school playgroup would have a tenancy/rental agreement with the school and remain independent


• The status of the pre-school playgroup would not change. For example the committee would remain responsible for staffing, policies and all other aspects of running the group.

2. Formation of a charity to run the pre-school playgroup with the Governors or Friends of the school as trustees/committee members.

3. Pre-school playgroup provision run by school governors.

4. Formation of a company if agreed with Norfolk County Council.

The only situation where a school can be directly responsible for pre-school provision (option 3) is where it is an extended activity to services already provided within the school such as for example a designated nursery extends its hours to provide integrated early learning and care for 3 and 4 year olds. Where a school does not have an admissions criteria, which include this age range of children, and the activity is not an extension to services already provided within the school the pre-school playgroup will be classified as a community activity and should therefore not be run through the school and its budget.

Attached is a copy of a decision tree provided by the DCSF ( formerly DfES) to determine whether an activity is a community function or an extended schools activity.

If the governors decide to run these groups as community activities they must make separate personnel arrangements, as the Local Authority is not in a position to take on the responsibility as the employer. Any group setting up and using the NCC payroll will be doing so purely as a payroll provider and the employees must have separate terms and conditions of service. Service benefits such as maternity leave, annual leave and continuous service with NCC will not apply. Schools will not be eligible for support with redundancy or pensions for premature retirement. The pre-school playgroup committee members/trustees would decide the rates of pay and conditions of the employees in line with current employment law.

Where schools decide to employ school staff for use in the playgroup they are acting as an agency and may therefore have to charge VAT on any salary recharged to the playgroup. Where a person has been employed by the school on behalf of or transferred to the pre-school playgroup then NCC will not be liable for any resulting redundancy, early retirement, maternity leave that may accrue for that member of staff.

Schools contemplating setting up and operating pre-school provision should contact their Personnel Consultants for advice on employment of these members of staff.

Decision tree