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The education IT buying organisation BECTA is to likely to be scrapped as part of the government's plans to claw back £6bn from the deficit.
The announcement being made later today could kill off BECTA as the Chancellor George Osborne details of the cuts aimed to help bring the public debts under control.
BECTA is responsible for running the educational buying schemes and appointing those resellers that are allowed to sell to schools and has an annual budget of £65m and employs 250 people.
Critics have warned that cutting jobs and government spending now could damage the fragile recovery.
More to follow