ROCHERLEA and Mayfield primary schools will merge in 2014.
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Education Minister Nick McKim made the official announcement as part of the school transition fund yesterday.
At the same time he also announced the Southern Support School at Howrah and the Timsbury School at Glenorchy have agreed to amalgamate.
Pupils at Rocherlea Primary School will move to the larger Mayfield site and the government expects to save $500,000 over three years, after an initial outlay of $157,000 plus a uniform allowance.
Mayfield Primary School Association representative Phil Dean said it was a welcome announcement.
``I'm happy to hear it and I'm hoping most other parents will be too,'' Mr Dean said.
``It's a fresh start for all the kids from next year.''
However, Mr Dean said that if the government had tightened school boundaries earlier, it may not have come to this for both schools.
He said a lot of parents sent their children to other schools outside the area based on the old reputation of the areas but the place had changed for the better.
It is expected the Rocherlea site will become part of Brooks High School, which is located next door.
The Southern Support School and Timsbury School will remain at two separate locations but operate as one.
The government expects to save $309,000 over three years by streamlining the administration, after an initial outlay of $25,000 for modifications at the Timsbury School.
``I would like to congratulate both school communities for considering their students' learning needs into the future and exploring new ways of delivering high quality education in Launceston's Northern suburbs,'' Mr McKim said.
These mergers and those at Maydena and Westerway, Geeveston, Wesley Vale and Moriarty, are expected to save the government around $2.46 million.
The state government reduced the school transition fund from $3.5 million to $2.9 million in this year's budget.