Hillingdon Council has applied to take the government to judicial review over the alleged underfunding of services for unaccompanied asylum-seeking children.
The council said the lack of government funding had left it up to 5m out of pocket this financial year and this would continue unless it received more money.
It said the Department for Education and Skills had guaranteed the funding but a policy change had left the council with a budget gap and put up to 250 jobs at risk.
A DfES spokesperson said it was reviewing the costs of supporting unaccompanied minors.
Hillingdon seeks ruling on shortfall
April 13, 2006 in Asylum and refugees, Child safeguarding
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