In the mid-year financial report released on Wednesday, the budget papers show that the department is on track to meet its savings strategies, despite the need to defer plans to close some schools.

This year's mid-year report is a different picture from 2010-11 where the department had already blown its budget by $27 million.

Department deputy secretary Andrew Finch said it had met its 2011-12 budget savings of $45.9 million and 2012-13 requirements of $56 million in light of closures not going ahead.

Mr Finch said the department would achieve its budget savings for the next two financial years by:

Reducing operational and corporate structures including cutting one service from Learning Services.

Withdrawing a budgeted $2 million from the Raising the Bar Closing the Gap 7 Up program.

Withholding indexation of the School Resource Package, retaining the interest from bank accounts and withdrawing funding that supports small class sizes to be applied this year.

Applying a 5 per cent reduction to the non-government general education grant.

Deferring $17.1 million in capital works that included the rollout of child and family centres, the construction of Bridgewater Pool and the Sorell LINC.

Mr Finch said the department also had recurrent department savings of $28.7 million.

He said that despite the department taking schools' interest, bank accounts had not been affected and the schools could continue to support their operations while dealing with budget efficiencies.

Cutting the non-government grant equates to a saving of about $100 a student.