Dundee City Council has denied letting £1 million to help some of the city’s poorest youngsters slip through its fingers.
The local authority received £2.145m from the Scottish Government for 2015/16 as part of its Scottish Attainment Challenge funding programme.
Labour group education spokesman Laurie Bidwell claims that because the council did not spend the entire sum last year, the unspent cash will be returned to the Scottish Government.
But education convener Stewart Hunter said the money will be coming to Dundee because the council has already reached an agreement with the Scottish Government over how the money will be spent.
Dundee was one of only seven local authorities given a share of £20m to improve the education outcomes of children and young people living in its most deprived areas.
Mr Bidwell said: “At the education committee on Monday evening I will be welcoming the beginning of the Attainment Challenge in Dundee. This is focused on 11 of our primary schools, two early years centres, two stand alone nursery schools and six nursery classes and it is right that we should be focusing on early intervention.
“As many of the additional staff are now appointed, it is good to know that we are moving from the plan towards action to help close the attainment gap in Dundee.
“As the council is still to appoint all the new staff to the target nursery and primary schools, I have been informed that as much as half of the £2.145m funding available in year one of the four-year Challenge programme may be unspent in the 2015/16 financial year.
“More disappointing is that the unspent £1m plus will not be available to be carried forward but will be retained by the Scottish Government.
“Unfortunately, this is another example of the Scottish Government giving with one hand while taking with the other.”
However, Mr Hunter said: “I think Mr Bidwell has misunderstood the figures.”
More than 2,600 primary school children and 985 nursery pupils are expected to benefit from the Scottish Attainment Challenge funding.
The council has already used some of the money to appoint speech therapists, early years, educators, early intervention teachers, and health and wellbeing assistants.
A Scottish Government spokesman said: “£2.14m funding is available to Dundee City Council from the Attainment Scotland Fund.
“We are working closely with them to ensure any funding claimed has maximum impact on closing the attainment gap.
“The Attainment Scotland Fund is a four-year programme and they will be invited to put forward proposals for future years.”