Croydon's education funding crisis looks set to deepen as Hugh Malyan, the leader of Croydon Council, warned parents and teachers of "difficult times".

The funding crisis which is being blamed on a poor financial settlement from central government could cause misery for teachers and severely damage pupils' future opportunities.

There is also concern that were Croydon to receive an equally poor settlement in future years, the council could once again be forced to increase council tax.

Despite a meeting between education chiefs, Croydon headteachers, and David Miliband, Secretary of State for Schools, no extra funds has been announced to save the cash strapped borough.

Many schools will have to make serious cutbacks in order to operate throughout the next year, which could seriously damage children's education and future employment prospects.

Dr Martin, headteacher of St Andrew's Church of England High School, warned of many of the measures she may be forced to make to see the school through this financial drought.

Although no redundancies will be made at the school, two teachers who have left will no-longer be replaced.

The curriculum will have to be cut, with less time being taken on some subjects, and Dr Martin is considering dropping some subjects altogether.

The school week could be decreased by about one hour a week, and class sizes increased for pupils who about to take their GCSEs examinations.

Morale among teachers and pupils alike is said to be very low, particularly as the school may be looking at ending school trips, as there is no-longer money to provide teacher cover. Teacher training may be halted because of a shortage of cash.

Dr Martin said: "We are looking at running in a deficit of £187,514. We had hoped to apply for specialist status as a music school, which would grant us a lot more money, but you can't apply if you are in deficit."

Similar radical methods are being reported by schools across the borough.

Jonothan Parker, head teacher of Edenham High School, Shirley, also said he would no-longer be able to operate a balanced budget, and was unsure how the school would be able recoup the money lost this year.

Class sizes at Edenham are set to rise from 24 pupils to 30 pupils, and eight teachers may have to be made redundant.

The funding crisis will also hit children at the beginning of their education.

Pupils at Waddon Infants could also see class sizes increase, and less money available to spend on essential materials such as books and stationery.

The best Croydon Council can hope for the future is to assist the school in the best use of their resources, and hope next year's settlement is not as disastrous as this one.

More problems could be caused if threats from Teacher's Unions are carried out.

The National Association of Schoolmasters and Women Teachers (NASUWT) have warned of industrial action if there is any move to increase teachers workloads.

Eamonn O'Kane, General Secretary of NASUWT said: "The National Executive will most certainly organise appropriate ballots for industrial action in any school where it proposed that the workload of teachers is to be increased."