A pilot academy for east London, which would serve nine boroughs, is currently in the planning stages with a proposal due to go before ministers by July.
It would provide services on a single campus for young people exhibiting troubled behaviour, including a pupil referral unit, facilities to deliver community sentences, and training and employment opportunities, as well as a 75-place custodial facility.
However a ministerial letter, written in response to concerns expressed by the Howard League for Penal Reform, suggests funding may be difficult to achieve. The letter, signed by justice minister David Hanson and children's minister Beverley Hughes, states the proposal "would have to take full account of availability of resources which are of course increasingly tight".
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