SCHOOLS have been told they should tighten their belts in the face of major budget cuts.

Sir Michael Wilshaw, the former head of Ofsted, said yesterday there has been “largesse” in the education system over the last 20 years.

Sir Michael said schools have been well-funded for the last two decades - with many building up large balances and headteachers receiving large salaries.

But times are different now, he argued, and school leaders need to adjust.

Southend is one of four areas in the country which will see every school’s budget cut.

James Courtenay, councillor responsible for children and leaning, and council leader John Lamb put forward a motion calling for the council to lobby the Government to rethink the plans to overhaul school funding.

Mr Courtenay said: “It is true that some schools have good balances, but in Southend we keep a close eye on that to see why and that it is for something like building work or say a new science block.

“It is also true that central Government has provided better funding but schools are expected to deliver improvements and we have - particularly in areas like Key Stage 2 - but if you take the funding away that could change. We are asking schools to deliver a lot more now and we have seen the benefits of that. Schools have also benefited from having more support staff than they did 20 years ago and we’ve also benefited from that.”

Last week, the Association of Headteachers in Essex warned parents of a growing funding crisis over the new National Funding Formula - which will see many schools end up worse off.

A spokesman for the association said: “Headteachers in all Essex schools are dismayed that our financial situation looks so bleak. “School leaders are united in their belief that the current situation is both unfair and unsustainable.