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Lewes,
East Sussex,
BN7 2LJ.
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Local Lib Dem MP Norman Baker has today warned that Government plans to impose a 5% ‘tax’ on school cash balances will damage local schools and is calling for the proposal to be abandoned. Nationally 90% of schools would be hit by the proposed change, which would even affect monies already committed to major building projects.
Commenting, Norman said:
"The Government is proposing to penalise the prudent with this £250 million tax-swipe. How can ministers defend raiding school funds in this Sheriff of Nottingham way, funds which in many cases have already been set aside for major capital projects?
"Schools in my constituency have in some cases saved for years for new facilities and the government is now proposing to snatch this money, hitting the schools that plan ahead to bail out the ones that don’t.
"“Even worse, the Government is planning its raid based on cash balances held by schools in March this year, when many such reserves would now have been spent. This will inevitably force schools in the area into making cuts for next year to cover money lost, even to their staffing budgets."
Norman Baker has added his name to an Early Day Motion, tabled by the Lib Dems, asking the Government to think again. The consultation period officially ends this Friday.