FOLLOWING last week's announcement that the Welsh Assembly Government are cutting funds to all post-16 education in Wales a dramatic U turn took place yesterday.

Deputy Minister for Skills John Griffiths announced an additional 8.93 million for Further Education Institutions (FEIs) and sixth forms.

The announcement comes as Coleg Gwent said that The Hill Education and Conference Centre in Abergavenny would close and 74 staff would face redundancy due to college's budget being cut.

Making the announcement John Griffiths said, "We have listened to the concerns of the sector and the issues they face in light of the recession. The government has responded swiftly and positively and remains committed to supporting FE so that they can deliver the necessary training in readiness for the upturn when it comes."

However it is still unclear whether The Hill will be saved as a spokesperson for Coleg Gwent said they have not received formal notification from the Welsh Assembly Government of the revised allocation.

The announcement has come under some fire from a local Assembly Member saying that what was announced today was "not new money".

Michael German, local Assembly Member and former Liberal Democrat Leader in Wales said that the announcement by John Griffiths, AM for Newport East and Deputy Minister for Skills, was a "poor attempt at spin to get Labour and Plaid out of a lot of trouble."

"We've seen Coleg Gwent being put through severe pain: threats of campus closures, lecturers facing the sack, courses to be axed and students messed around with. All for nothing now that Labour-Plaid have announced they will now replace the money they took away from sixth form colleges", said Mr German.

He added: "For the Labour-Plaid Government to say they are announcing extra money for further education is breathtaking: this isn't new money, it's only replacing what they took away from colleges and students in the first place."

Phil Hobson, leader of the Lib Dems on Monmouthshire County Council, said, "The recent cuts were a fatal error of judgement. No serious person would cut education and training in a time of recession. We need investment in skills ready to fight our way out of the economic downturn, not to throw teachers out onto the dole queue."

Mr Hobson also said he hoped now The Hill's work  would continue, "There's been a lot of investment there by the Assembly Government, Europe and the County Council. I really do hope the The Hill's future can be secured."