Finance and General Purposes Committee

Terms of Reference

(approved at a meeting of the Corporation on 6 July 2023)

1. Membership

   The membership of the Committee shall consist of up to eight members, including the Chair/Vice Chair of the Governing Body and the Principal; at least four members to be other than staff or student members

2. Meetings

   • 2.1 The Committee shall meet at least four times each year.

   • 2.2 Quorum: Three members, two of whom must be other than staff or student members.

   • 2.3 In line with the Senior Post Holder Remuneration Code, in fulfilling the remuneration function, the Committee must be independent of the College’s management. Membership for items of remuneration must include the Chair, but not the Principal and Chief Executive. The Chair of Corporation should not chair the Committee when remuneration issues are discussed.

3. Role

   To advise the Governing Body on:

   • 3.1. The effective and efficient use of resources, the solvency of the institution and safeguarding of assets

   • 3.2. Annual estimates of income and expenditure

   • 3.3. Financial information to enable it to manage the business

   • 3.4. The framework for the development of the human resource strategy including pay, benefits and conditions of service and human resource policies

   • 3.5. Compliance with the Senior Post Holder Remuneration Code. The Committee will fulfil the role of Remuneration Committee in relation to senior postholders

   • 3.6. Compensation payable in the event of early termination of the employment of Senior Post Holders

   • 3.7. The starting salary of newly appointed Senior Post Holders within the relevant pre-determined salary range

   • 3.8. Such matters as the Governing Body may from time to time remit.

4. Responsibilities

   To approve:

   • 4.1. Capital expenditure not included in the budget

   • 4.2. Any loans, financing and investments in line with the Financial Regulations

   • 4.3. Major variations of expenditure

   • 4.4. Severance payments in excess of £50k or more than 3 month’s salary*

   • 4.5. Severance payments linked to an NDA*

   • 4.6. Ex gratia payments*

   • 4.7. Compensation payments over £50k.

   • 4.8. An annual remuneration report to the governing body

   • 4.9. A code of conduct for staff

   • 4.10. Parameters for the annual pay review

   • 4.11. Financial Regulations

   • 4.12. Student Union Accounts

   • 4.13. The following strategies:

     • HR

     • Marketing

     • Digital

     • Sustainability

   • 4.14. Tuition Fee Policy

     *Subject to final approval by the Department for Education

   To recommend for approval by the Corporation:

   • 4.15. The annual Budget and Financial Plan

   • 4.16. Management accounts and reforecasts

   • 4.17. The Statutory Accounts for the College and any subsidiary companies including accounting policies

   • 4.18. The pay, benefits and conditions of service for Senior Postholders and the framework by which these are to be determined in line with the Senior Post Holder Remuneration Code

   • 4.19. Human Resource policies and procedures required by the Governing Body in order to comply with employment legislation and to meet obligations under health and safety legislation.

   To monitor:

   • 4.20. Treasury management and the financial performance of the College against budget and advise the Governing Body accordingly

   • 4.21. The College’s Capital (Estates) Strategy including capital expenditure

   • 4.22. The College’s Marketing Strategy

   • 4.23. The College’s HR Strategy

   • 4.24. The College’s Digital Strategy

   • 4.25. The College’s Sustainability Strategy

   • 4.26. Key performance indicators as agreed with the Principal

   • 4.27. Staff development annual report

   • 4.28. Health and safety annual report

   • 4.29. Foreign trips by governors, Principal and Executive Leadership Team annual report

   • 4.30. All matters referred to an industrial tribunal, and the determination of those tribunals.