The Scottish Qualifications Authority could be left with a huge debt if there was to be a repeat of the summer 2000 exam crisis.

Education authorities and further education colleges are understood to be taking legal advice on their requirement to pay the SQA if there are problems with the exams.

A report in Scotland on Sunday said the move means the beleaguered quango could effectively be facing a performance-related pay regime.

The SQA is already about �3m in debt and the withholding of as much as �20m - should there be another debacle - could cause the body considerable difficulties.

'They should get it right'

Highland Council is said to be leading the action and is looking for support for its stance from other Scottish local authorities.

Andy Anderson, an SNP councillor and Highland education convener quoted in the paper, said: "We pay them an awful lot of money and we should get a level of service that matches the size of our payment.

"They should be getting it right, and if they don't we shouldn't have to pay the full fee."

Danny McCafferty, Cosla's education spokesman, said he was supportive of the move.

Precedent

He told the paper: "This is an innovative concept that would show we are working hard to get value for money for council taxpayers."

Highland Council set a precedent for the action last year when it withheld a payment of �200,000 in protest at the exam mix-up.

However, it was forced to settle the debt when it became clear it would not be able to register candidates for this year's exams if the bill remained unpaid.