Governors are generally not permitted to set a deficit budget. However, it may be allowed in exceptional circumstances by applying to the Local Authority for a licensed deficit. Governing bodies who apply for a licensed deficit will receive the appropriate support from the Local Authority to recover their financial position quickly. It also enables the governing body to:
Where can I get more information about Governors and Finance?
Use the “following link”: http://www.governors.wales/publications/2014/02/20/governor-guide-governors-and-finance/ to download the Governors Wales Governor Guide on Governors and Finance.