That was despite the Scottish Government claiming improving children’s services in the city was not about spending more — a view echoed by Dundee’s two SNP MSPs, Shona Robison and Joe FitzPatrick.

But speaking to the Tele today, Mr Guild said he agreed that money was not the solution to the problem and that the £500,000 had only been “put aside” in the event it was needed.

“I would absolutely agree (with the government),” he said.

“We are looking at ways of improving how the system works. What we have said now is that if we need to spend money rapidly it will be there. But the solution is not to throw money at it — we need to ensure the existing service is mobilised so it works properly.

“But I know there has been considerable pressure from the opposition politicians to throw money at it. If we do find we need to spend money to improve the service it will be there on standby.”

The money has been set aside as part of an improvement plan for child protection in light of this week’s damning report into child protection services in the city.

Inspectors found major deficiencies and said they were not confident children at risk were not being identified or receiving the protection they needed.

The report sparked calls from Labour and Tories for a review of Scotland’s child protection services and an increase in funding.

Rory Malone, Dundee branch secretary of the union Unison, also claimed a lack of government funding was behind the poor performance.

But in a joint statement, Ms Robison and Mr FitzPatrick said, “It is always tempting to call for more resources but the facts suggest that the problem is far more about how Dundee City Council and its partners have been deploying and managing the resources they have.

“The HMIE report did not identify financial constraints as the root of the problem but rather the failure of services to work jointly together and to give child protection the focus and priority it required.

“The key task for the council and others is to better manage and deploy the resources they have more effectively.”

They added that Dundee’s performance was “way short” of other councils that were spending less.

“This suggests to us that the problem is more about how those resources are deployed, how the services are managed and how well local services communicate and co-ordinate with each other,” they said.

“In all these respects Dundee has been found wanting and this is where the focus of improvement must be.”

Dundee employs 1257 social workers, 304 of them working in child protection services.

The improvement plan will go before the policy and resources committee meeting next Wednesday.

Meanwhile, First Minister Alex Salmond faced demands today for a national inquiry into child protection.

The calls came from Labour leader Iain Gray after a critical report into child protection services in Dundee.

Mr Gray also urged faster action to remove vulnerable children at risk from their parents’ addictions.

“I think the time has come to challenge and change the orthodoxy which underpins our system, and to be quicker to remove and protect,” he told Mr Salmond, during First Minister’s Questions.

“That needs a national debate — and it needs leadership to start it.”

Mr Salmond defended the child protection services and said a rigorous inspection system had identified five areas, including Dundee, where there had been “serious deficiencies”.

He told Mr Gray, “We have a very good child protection system in Scotland which is identifying deficiencies authority by authority, and remedying these deficiencies.”

Mr Salmond said any lessons from an inquiry into the case of Dundee toddler Brandon Muir would be learnt.