Council finds extra schools cash

Cambridgeshire councillors have compromised with the government over education funding.

Last month the Education Secretary, Charles Clarke, told Cambridgeshire it was not giving schools enough money.

The Conservative-controlled council has now agreed to raise a further �2.25m from its taxpayers and is getting a �1.75m advance from central government.

So schools will get more money, but the council's funding allocation will drop in future years to repay the advance.

Cambridgeshire was alone among all the education authorities in England in falling foul of the government's demand to pass on increased funds to schools.

Councillors had argued that Mr Clarke's order to hand over �15m of extra funding would increase council tax by an unacceptable 9%.

They blamed the problem on a �4m shortfall in government grant.

But now, after weeks of negotiations between the council and officials from the Department for Education and Skills, a compromise has been reached.

'Disappointed'

The government will advance a further �1.75m, while the council will raise a further �2.25m from its taxpayers.

The solution was approved on Friday by the council's cabinet.

It will mean a council tax increase of 6.9% - still above the "low single figure" increases being demanded by the government.

The council has asked for guarantees that it will not be capped as a result.

"This is not an agreement or a deal," said a spokesperson for the department.

"While this improvement is welcome, the secretary of state remains very disappointed that the council proposes not to pass on the full increase in school funding despite an increase in formula grant of 8%."

He added: "There are extra conditions attached to this, and the council's DfES grant allocations in future years will be reduced accordingly."