Speaking at a school in south London, the Prime Minister said he wanted to empower parents to get involved with their children's education.
If enough parents in an area are dissatisfied with the choice of schools, local authorities will be forced to provide alternatives.
This could mean new school federations, which is when the governing bodies of two or more schools merge, additional places at top performing schools, and entirely new schools in some cases.
Schools will also be required to make it easier for parents to track their child's education. By 2010 all secondary schools will use online reporting to talk to parents about a range of issues. The same will happen in primaries from 2012.
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