West Sussex schools are to lose up to 180 teachers and other staff in a cash crisis.

County education bosses yesterday announced that schools would be £16 million worse off than those in the average local education authority under a new government funding formula.

Headteachers have already complained they are having to drop more diverse subjects from the curriculum because they cannot spare the teachers.

Littlehampton Community School has told its staff GCSE classes of fewer than 20 pupils and A-level classes of fewer than ten are no longer viable.

The school has been forced to ferry pupils on an eight-mile round trip to and from Angmering School to go to classes for some subjects.

Headteacher Jayne Wilson said: "We didn't make any member of staff redundant last year but we didn't replace all our staff that had left.

"If we stay on the current rate of funding we may just be able to survive but we will have to look very carefully at the options we offer students and they will have a limited choice.

"Some very hard-nosed decisions will have to be made."

West Sussex education and arts director Robert Back announced in a report to the council's education select committee schools expected to lose the equivalent of 43 full time teaching posts and 28 non-teaching posts this year.

The same number of teachers will be lost the following year but non-teaching staff cuts will rocket by more than 230 per cent - to 66.

The Government announced plans for the formula last year and said it would be scrapping grants to schools and education authorities under the standards fund.

The county council believes schools in West Sussex were among the worst-hit by the changes.

Mr Back, who prepared the report with resources director Helen Kilpatrick, said: "Although some schools appear to be coping with these changes more comfortably, others have found it very difficult.

"There have been particular problems for schools with falling pupil numbers and schools that used the standards fund to support additional teaching and non-teaching posts."

Headteachers' budgets have been further hit by a one per cent increase in employers' National Insurance contributions, a 4.6 per cent increase in their contributions to teachers' pensions and teacher shortages increasing recruitment and retention costs.

Mr Back said classroom improvements and workforce reforms had been postponed as a result while schools across the county were transferring almost £9million in savings, meant for building projects and other improvements, to pay for day-to-day running costs.

Mr Back said: "The figures for 2004 to 2005 are a serious concern at a time when school workforce reforms would suggest enhanced roles for staff."

In July, a delegation of headteachers from Bognor met schools minister David Milliband to explain concerns over the budget.