North's schools 'squandering public money'

Schools in Northern Ireland are failing to manage large amounts of public money, a Commons Committee warned today.

Schools in Northern Ireland are failing to manage large amounts of public money, a Commons Committee warned today.

MPs claimed scarce resources were being squandered and many schools were not being held accountable for their performance.

The Committee of Public Accounts said unspent revenue balances and deficits were both substantial and increasing. Its report said that in 2002/03 210 schools (18 per cent) were in deficit by 5 per cent or more, involving a total of £11 million.

It also said 422 schools (37 per cent) were holding surpluses of more than 5 per cent, totalling £31 million, and that 38 schools had deficits greater than 20 per cent.

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Committee chairman Edward Leigh said schools should have their budgetary autonomy removed by the Education and Library Boards if they fail to improve their performance.

Mr Leigh said: "Under Local Management of Schools arrangements, schools in Northern Ireland are coping well with the challenge of controlling a large amount of public money, but my committee still has concerns over how the money is managed.

"In particular, without changes, increasing school budget deficits and unspent balances will continue to represent an inefficient use of scarce resources."

Mr Leigh added: "Another downside we identified was a general lack of accountability for performance.

"Responsibility for resources should be devolved to schools but there cannot be autonomy without accountability," he said.