A HIGH Street bank has agreed a loan of almost £2 million with deaf charity Sign to save Penn School.

The school for disabled and deaf children, belongs to Camden Borough Council who gave Sign until March 31, to come up with the cash.

After that, the council intended to sell the school on the open market.

Last month, the school's future looked bleak because Sign could not get planning permission from Wycombe District Council to develop part of the 21-acre green belt site, in order to finance the purchase of the school.

Councillors on the planning, environment and transportation (PET) committee said they would consider new plans but time was running out.

This loan buys the charity more time to get a scheme right.

Steve Powell, chief executive of Sign, said: "We had to buy by March 31 or the school would close."

But there was no way planning permission could be sorted by then, so Sign approached four High Street banks for a bridging loan.

The future of Penn School now rests with Sign and council officers working out a viable scheme that satisfies planning rules and brings in money for Sign.

The hoped for development includes a doctors' surgery, pharmacy, post office, old people's complex with a day centre, improved sports facilities, two five-bedroom homes and an office block for Sign.

The PET committee of Wycombe District Council turned it down on green belt, archaeological and highways grounds.

Mr Powell has already met district and county officers and given them the outline of a revised scheme.

He said it had to be established that there was a need for the surgery, pharmacy and old people's complex that could not be satisfied anywhere else.

The two homes should not be a problem because they would just replace what was there.

As for the offices, he said there would be covenants to restrict the use to Sign.

The highways problem involves the junction between Hammersley Lane and School Road. Mr Powell said Sign would be expected to make a financial contribution towards the Wycombe Transport Strategy.

He said: "The district council is showing goodwill and looking to find a way to continue."

He added that he had lots of support from residents, including promises of money some running into several thousand pounds.

District and county councillor for Tylers Green, Betty Lay, said: "This has bought time but it all depends on the new plans."

Councillors had to be convinced that what was suggested overcame the green belt objections, she said.

Cllr Lay added: "If they think it out properly with the officers, I can't see any reason why it can't be an exceptional community need. We need a new surgery and we want to save that school."