Exclusive: 90% of UK schools will go bust next year, heads warn

Heads say they will run out of money over the next academic year, even without cuts Jeremy Hunt is planning

Nine out of 10 schools will have run out of money by the next school year as the enormous burden of increased energy and salary bills takes its toll, the Observer can reveal.

Early data from the National Association of Head Teachers - results of a survey of its members are due later this month - shows that 50% of heads say their school will be in deficit this year, with almost all expecting to be in the red by next September,when their reserve run out. This comes as Jeremy Hunt has made clear that all departments, including education, will be expected to make cuts as part of the government's debt reduction plan, to be announced on 31 October.