Why are Wolverhampton's schools hoarding more than £8m?
Wolverhampton council is set to investigate 22 of its schools for stockpiling millions of pounds in surplus cash.
The authority's latest school accounts show that in the last academic year, 48 schools across the city held excess funds of £8.2 million.
Last year, the council vowed to clamp down on schools hoarding cash - money which is supposed to be earmarked for improvement projects. At that point, the surplus figure was around £8m for 46 schools, but this year the figure has risen by around £200,000.
Education chiefs at the authority have vowed to investigate 22 of the schools in a bid find out what plans they have to use the cash.
If the authority disagrees with a school's proposals, it can take part of its budget away and re-distribute it to other schools in the city.
The schools under the microscope include 10 that have held balances of greater than 15 per cent for more than five years, 11 that have held surpluses for two consecutive years and one that is judged inadequate by Ofsted.
A report to the authority's cabinet resources panel noted that although schools have control over their own budgets, the council has responsibility to ensure they are making the best use of resources.
It said that 38 schools had underspent on building projects in 2014/15.
Some primary schools were said to have delayed work to tie in with the city's primary expansion plan, while a special school had stalled on building an extension as it had not been granted planning permission.
A pupils referral unit was said to have held fire on work to build a sports barn as it had not received planning permission.
Seven schools in the Ofsted categories of 'inadequate' or 'requires improvement', were said to have balances greater than £100,000.
Wolverhampton council's education chief Councillor Claire Darke said that some schools in the city were holding onto cash 'for no good reason'.
"We need to establish why this is happening and find out what plans these schools have for spending the money," she said.
"Some schools have retained funds due to delays with building projects, but we know this is not the case with others.
"Schools are given this money to improve children now. It is supposed to have an immediate benefit. They are not meant to be holding onto this money for the future."
The report also noted that at the end of 2014/15 schools' total cash reserves across the city stood at £15.721 million - an increase of £1.456m on the previous year.
