A YORK education chief has said she was optimistic about the future of learning in the city - despite facing a year blighted by funding cuts.

Carol Runciman, City of York Council's executive member for education, said improved response to bullying, massive private building schemes and the advent of quality-assured systems were all things to look forward to in York, as another school year began.

But Coun Runciman conceded that the question of funding was casting a huge shadow over the future of education services in the city.

She revealed that the Government has still to tell the city council how it plans to meet the shortfall in funding for schools revealed in this year's authority budget. Coun Runciman said: "We have had an indication that the Government realises there is a problem, but they haven't told us how they see the problem and how they will tackle it.

"It's going to be the biggest threat of the year. Schools have taken money out of their reserves this year to meet the shortfall but they can't keep doing that.

"It is essential we are given adequate funding. Education is the bedrock of society. It is absolutely critical the funding is there."

Coun Runciman's funding fears are shared at North Yorkshire County Council, where director of education Cynthia Welbourn recently wrote to Education Secretary Charles Clarke saying more funding was needed to avoid a cash crisis in schools in the county.

On the brighter side, Coun Runciman said the development of Private Finance Initiative schemes to transform Hob Moor, St Barnabas's and St Oswald's Schools were exciting proposals.

She said: "We are attending a presentation on the plans in about a fortnight. These are areas and schools which really deserve some investment. We are determined to make sure there is more investment and infrastructure and these schemes are an indication of that."

Updated: 12:40 Wednesday, September 10, 2003