A SECOND North-East college has announced cuts following a change in the way funding for further education is calculated.

Last month, Darlington College of Technology announced it was to axe 41 jobs and cut a range of courses from its prospectus after having £600,000 cut from its annual budget.

The move followed a Government decision to channel funding towards courses geared to producing a skilled workforce.

Yesterday, Gateshead College announced it was suspending recruitment to adult courses for the current academic year to July 2006 following a £900,000 cut in its income and was increasing fees for other courses.

While he insisted that students on existing adult courses would not be affected by the decision, college principal David Cheetham described the loss of funding as "a massive blow to the college".

He added: "The college has had to review adult provision in line with Government priorities and make reductions accordingly.

"We will continue to provide high-quality education for people across Gateshead within the restricted funding we have been given.

"We will also work with Gateshead Lifelong Learning Partnership to deliver an adult learning strategy for the borough, and to explore ways of easing the impact of these changes."