LIBERAL Democrats in Gateshead have warned that a proposal by the government to take away cash reserves that local schools have built up will damage children’s education.
The government have put out for consultation a proposal to siphon off 5% of the cash held in reserve in school budgets. Many schools build up reserves to invest in new equipment or as cover for a rainy day.
Dunston Hill and Whickham East Councillor, Peter Maughan, said, “Frankly, I am amazed the government can even think of doing this. Taking money from school budgets in this way is little more than a smash and grab on careful schools that have planned for the future. The effect could be felt by many school children in Gateshead.
“The government claims the money will be given back to councils to spend on education. My fear is that all they want to do is claim they are spending lots of new money on education when the reality is the government is spending the same money twice.
“This proposal by the government should be dropped immediately. The money built up by schools in Gateshead should stay with the schools for the benefit of children.”
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