Local authorities are making millions of pounds by selling off primary schools with surplus school places. An investigation by Channel 4 News online revealed almost 300 primary schools had been sold in the past decade, netting councils £230m. But the LGA defended the figures, saying all surplus money was ploughed back into raising standards in schools. ‘Government guidance issued last month clearly states that ministers expect local authorities to close schools with surplus places so that funds can be used to raise standards in more popular primary schools,' an LGA spokesman said. ‘It's a hard balancing act, but councils have a duty to provide value for money and the best education for children.' The Quirk report, released last year, estimated urban authorities across England had around £750m in land and buildings, with a fair share not being used to full potential. Oxfordshire and Hertfordshire CCs and Leeds City Council were named in the top 10 of councils allegedly ‘profiting' from the sales with £39.75m, £25.6m and £13.7m respectively. But all three said the figures failed to show the true picture. ‘Every single pound and millions more of the money received from the sale of these disused sites has been spent on creating modern, inspiring learning environments for the city's children,' said Cllr Richard Harker, executive member for learning at Leeds. All three councils revealed they had built new state-of-the-art schools with the funds. ‘In a number of cases, schools have been replaced, merged or amalgamated, and in one instance, a new £10m sustainable school has been purpose-built to replace an old building,' a Hertfordshire spokeswoman explained. All three were adamant any capital receipts were ploughed back into the education capital budget.