AN OLDBURY school which has asked for a £125,000 bailout after running up debts of nearly £300,000 is waiting to hear if its application will be successful.

Rounds Green Primary, which is paying for two headteachers, applied for the financial lifeline after it reported an estimated £298,000 deficit in April.

The 438-pupil school in Rounds Green has been forced to shed eight members of staff but still needs financial support as it struggles to improve after being put in special measures by Ofsted.

The education watchdog has since upgraded its performance but still says it ‘requires improvement.’

The primary is also hampered by having 18 pupils above its official capacity of 420 students and at present is paying for two headteachers, after an interim principal was appointed when the principal went on extended sick leave.

In a report to the borough’s Schools Forum, which met last week, the school asked for a licensed deficit agreement which will allow it to set a balanced budget over three years, saying: “When looking at our increasing budget deficit, it would be easy to assume that this has been caused by financial mismanagement; although this is not the case.

“(The) school has taken action to reduce expenditure that is within its control, whilst doing this at a rate that has been appropriate to not de-stabilise and further compromise a school that has been in significant difficulty.

"The main cause of school being in deficit is not in the control of the interim headteacher.”

Chris Ward, chief education officer for Sandwell Council, told the forum a recent Ofsted inspection showed the school was making progress.

Speaking after the meeting, he said a final decision on financial support will be made on the basis of proposed budget which has been drawn up by Rounds Green.

Mr Ward said: “What we would like to see now is how the school will restructure.

"For a period of time it has had to operate with two head teachers while one was off sick and that has caused double expenditure.  

“We would like to see the school back in credit, before the three year period so we will be encouraging them as much as possible.”

He added an agreed plan will now be drawn up between the school and Sandwell Council.

The forum agreed to set up a sub committee to look at Round Green’s application, before making a recommendation on support.