EDUCATION bosses in Burnley are celebrating today after being told the town's bid for £150 million to transform schools has finally been accepted.

The news comes just weeks after senior councillors in the town claimed the plans to overhaul secondary education in Burnley and Pendle would reinforce social and racial divisions.

Teaching union also expressed concern about the plans during a consultation carried out by county education bosses.

Burnley MP Peter Pike confirmed the news after receiving a letter from education minister David Milliband that stated Burnley's bid was now part of phase one of the government's Building Schools for the

Future programme.

Earlier this year headteachers had reacted with dismay when the Department of Education announced that Burnley's bid had failed to be included in a list of ten areas to receive a share of £2.2billion.

It was placed on a reserve list for the first phase of plans to rejuvenate schools across the UK but told it would be promoted if another area failed to implement its plans. It has now been taken off that list and work is due to start next year.

Burnley MP Peter Pike hailed the news as a major boost for the town. He said: "This is first class news - just the type of injection we need and clearly crucial to the future of the town.

"This means we are no longer on the reserve list and will receive funding through the first phase. I have just received confirmation about this from education minister David Milliband."

Leader of Burnley Council Stuart Caddy expressed his delight at the news.

He said: "This is tremendous news for Burnley. I'm glad we are off the reserve list and can now move forward with the plans. We need to make sure that adequate plans are put in place for the transition period between the existing system and the new schools."

He said recent concerns that the plans would reinforce social and racial divisions - highlighted at a council meeting last month - had been eased by news that one of the five new schools would no longer be built on the Barden site, beset by negative images, but at the current Walshaw High School site.

County Councillor Alan Whittaker said: "We are absolutely delighted to be included in the first wave.

"It is a reflection of the strengths of our bid for our schools in Burnley and Pendle.

"This comes at the end of the consultation period which we have had and we are now considering all the responses and it will enable us to progress the scheme in the sure knowledge we have the support of the department of education and schools.

"All my colleagues on the county council from Burnley will be absolutely thrilled at this good news."

Leader of Pendle Council Alan Davies said: "Obviously we are very pleased about it. It is a significant investment that will only do good for the area as a whole and the kids development.

"Having better facilities where kids can be better educated in better facilities has got to help."