Schools will be bust in

SCHOOLS in Wales “will be bust within two years” unless action is taken, a head teachers’ leader has warned as one county announced a major review of school finances.

Association of School and College Leaders Cymru director Tim Pratt said most schools were either in deficit or heading for deficit.

The National Association of Head Teachers Cymru echoed his fears, saying “school budgets are at breakingpoint” and a national debate is needed.

The Welsh Government insisted funding had gone up but its comments came as Powys County Council warned its school deficits are now so high they could put the entire council at “severe financial risk”.

Powys said the way school budgets are run is “unsustainable” as it announced a review of school finances.

Nearly twice as many schools in Powys are in the red compared to last year, with 34 schools totalling a deficit of £2.48m.

A council joint working group will now review how schools are financed and audit and scrutiny committees will review their financial viability.

“The majority of money in the schools budget goes directly to schools. Heads and school governors have delegated authority to manage and balance their budgets, however, across Powys as at 31st March 2017 there were 34 schools with a cumulative deficit balance totalling £2.48m, this compares with 18 as at 31st March 2016 with deficits of £0.94m,” the council said in a statement.