NEARLY every school in Newport is expected to spend more than their available funding by the end of the financial year.

A report reveals that all but five of the local authority’s 55 schools will collectively overspend by £2.1 million during 2018/2019.

As of July, Newport County Council predict that nine schools will be in the red, with a cumulative deficit of £1.6 million.

The revenue budget report reads: “The likelihood is that the vast majority or all schools will have negative balances in 2019/2020 unless action to reduce spend, or increase funding, is taken.”

Five of the nine schools most under pressure are secondaries, with three schools – Lliswerry High, Caerleon Comprehensive and St Julian’s School – expecting six-figure deficits by March 31, 2019.

St Woolos and High Cross primary schools are preparing for overspends of £20,214 and £9,208 respectively, with Kimberley Nursey also forecasting an overspend of £34,061.

The Maes Ebbw Special school is also forecasting an overspend of £108,285.

Closing school balances are expected to be £1.72 million come March 31 – a 55 per cent drop from figures for 2017/18 and 64 per cent less than 2016/17.

READ MORE: Newport schools overspend by nearly £1 million

The collective overspends for 2018/19 includes an assumption of additional income from Welsh Government grants at the end of the year.

Despite other pressures within the revenue budget, the council is forecasting an overall underspend of £876,000 without dipping into contingency funds.

But the report warns that if the council had not received one-off income to the tune of £1.6 million, the underspend would be lower.

The report says: “The use of both revenue contingency budgets to balance the budget, if it were not for the unexpected income, is a concern and shows the scale of the council’s financial management challenge both this current year and in planning for 2019/20 and beyond.

“Given the uncertainty on funding for next year’s budget from Welsh Government and the significant budget challenge the council faces, it is recommended that most of the current forecast underspend is kept back in case it is needed to contribute towards that budget.”