Alternative Provision Academies (Consequential Amendments to Acts) (England) Order 2012

My Lords, as the Minister said, the regulations on alternative provision academies are consequential and therefore rather technical and limited. He described what they are seeking to do and I have no issues with either of those aspects. However, I would be grateful if the Minister took the opportunity to clarify three issues on the principle of alternative provision academies with regard to the implementation. I have questions in three areas. First, how will alternative provision academies work in practice in a local area? Secondly, what will the funding level be? Thirdly, how will accountability be applied, given that it cannot be applied in the same way as a mainstream school or academy? On the first point, which at this stage is the most important, how will an APA work in practice in a local area? As the Minister said, currently the local authority ensures that there is sufficient provision in an alternative setting, a pupil referral unit, and that there are sufficient places available for the local schools in that area to place a child when a child needs placement outside mainstream education, whether because of illness, exclusion, behavioural problems or whatever. The pupil referral unit is the resource for all the other schools locally and takes referrals from those schools; by definition, it does not have a normal admission process. The objective, one hopes, is to return the child to a mainstream school, either the one that they left or another one, as soon as possible. If a pupil referral unit becomes an alternative provision academy, it will, as the Minister said, have all the freedoms and independence that other academies have in law. I see the argument that those freedoms are necessary to raise standards in alternative provision, and it is certainly the case that in some of our alternative provision those standards are far too low, even taking into account the difficult circumstances of some of the children. However, if an alternative provision setting has all those freedoms, how will that work in practice? Who, for example, will commission the places in an alternative provision academy? Will it be other mainstream schools? Will it be the local authority? Will the APAs themselves be able to determine the level of provision—that is, the number of place—that they will provide in that academy? If so, will that necessarily match the level of need and demand from the other local schools? Under this new regime what obligation will the alternative provision academy have to accept children referred by other schools? Will they, as now, be obliged to accept them? Presumably the APAs—independent establishments—will be funded according to the number of pupils they have. I am concerned that as independent units, dependant on that funding, there may be the development of a perverse incentive for APAs to hold on to pupils because that is where their funding is coming from, rather than as now—where there is no such funding relationship—returning those children as quickly as possible to their mainstream education. How will a pupil actually get out of an APA, and who will be responsible for ensuring that the decisions taken about that child—whether they stay in the APA, for how long, when they leave and where they go—are in that child's best interests? What responsibility will the referring school have for monitoring that child's progress, looking to the eventual outcome for that child and whether it is the best that could be? What responsibility will the local authority have, if any, for monitoring the progress of the children collectively in the APAs in their areas? All of this, I am afraid, is still very unclear to me. I may have missed something, but it seems to me, and I am not against the principle, that we are changing very profoundly the dynamics of the relationship between alternative provision and mainstream schools, whether they are schools or academies. In making the alternative provision an academy, with all of those freedoms, it is not clear where the reciprocity will lie and who will be responsible for the children. Briefly, I have two other points. One concerns funding. I think the Government have said that the funding will follow pupils into APAs and that it will be set at a high need level. This level has yet to be announced. Can the Minister say when this will be announced and how the level of funding will compare to that in mainstream schools? The third point is also important. It is clear to me that the usual accountability measures for mainstream schools cannot apply in quite the same way here. How will APAs be held accountable for their children's progress or lack of it? Are the Government considering, for example, a payment-by-results model, as they are within the criminal justice system? By what yardstick will children's progress be measured? I agree with the Minister's comment that children's low levels of attainment in some alternative provision is lamentably low and we should not accept it. Equally, these children are often facing multiple problems, and they need significant amounts of help in overcoming the barriers to learning that those problems engender. I am not clear about how being in an independent academy will help children to access the level and quality of extra support they need, much of it from local authority children's services and health services. In becoming an independent academy, the relationship between that provision and the local authority and the other children's services will be changed quite fundamentally and will, necessarily, be more distant. Those are my three concerns. I know there are a lot of questions there, and if the Minister cannot deal with all of them in detail, I am quite happy for him to write to me. The issues which I raised in the first group of questions about the new relationship, how that will work locally and who will be responsible for the child, are particularly important. If he cannot give me answers today, then perhaps later.