The merging of Braeview Academy and Craigie High School has been officially approved by Dundee City Council.
Creation of a new £60 million school to replace the two secondaries was approved by the children and families services committee on Monday night.
Work could start this August with the building opening its doors at Drumgeith Road in August 2025.
A four-year transition to the new school is to be planned through a project board including representatives of staff, pupils and parents from the existing Braeview Academy and Craigie High School.
A report which went before the committee outlined that that the new school campus would be funded through a combination of borrowing and Scottish Government funding.
Government funding for the new community campus had previously been secured in December.
However it was noted in the report that budget savings of approximately £1 million would still be needed.
This prompted concerns from the Labour group at Dundee City Council, who queried how these savings would be made.
Group leader, councillor Kevin Keenan said: “There is an additional million pound worth of savings that need to be made so that the capital financing costs are in place.
“Where do you envision these savings coming from? Do you see that being ring-fenced within education or do you think there is wider cast over other council departments to meet that?”
Sandy Flight, head of corporate finance at the council, outlined that the natural savings which result from merging two schools should cover the bulk of the savings required.
He said: “Interest rates have improved slightly so that the projection of one million pounds has reduced. It is now more likely £900,000.
“In terms of the merging of two schools, obviously two schools operating as one does generate natural savings in itself.
“At its peak, we estimate that savings from operating one school rather than two is around £750,000. So that natural saving covers a huge part of the saving needed.”
Responding to a further query from Mr Keenan, Mr Flight indicated that the £750,000 savings would be made from a combination of property and staffing costs.
Under the approved proposals, the catchment of the new school would consist of the current catchment area for Braeview and Craigie, with the exception of Craigiebarns Primary School.
To offset this, the catchment area for Grove Academy would be expanded to embrace Craigiebarns Primary School.
Councillor Craig Duncan, who represents the Ferry ward, welcomed the move but raised concerns about the potential impact on the future pupil roll of Grove Academy.
He said: “Given the number of new houses being built in the Ferry at the moment, how confident are officers that, as time unfolds, there is definitely going to be space for all these extra pupils?”
Paul Clancy, executive director of the children and families service, moved to reassure the committee that there is no immediate danger of pupils within the expanded catchment areas missing out on places.
He said: “We have projected capacity based on house building that we are aware of.
“The calculation we have on pupil population gives us confidence that by August 2027, there will still be space for 56 young people in S1.
“The reality of Grove Academy is that it will always run at nearly full because it receives significant placing requests from other parts of the city.
“I don’t anticipate that this will change if the report (on the merger) is approved and any surplus places will invariably be taken up by placing requests because that’s been the past experience.
“I can give you assurances, though, in terms of catchment pupils there is significant capacity in our projections right up to 2027.”