DA MP Annette Lovemore said the treasury had allocated R7.2 billion for the rebuilding of Eastern Cape schools but the money was not spent.

The treasury had allegedly reallocated the cash in the form of a general infrastructure grant to provinces.

"There are 400 mud schools in the Eastern Cape alone... The failure to spend this money for the purpose allocated is a national disgrace," said Lovemore.

According to the DA, the funds were made available following a court settlement concluded by the Legal Resources Centre in February last year, on behalf of seven mud schools in the Eastern Cape.

"The DBE made a commitment that 49 mud schools would be replaced with new buildings by August. They missed this deadline and extended it to November," said Lovemore.

She said the delays and the reallocation of this money would delay plans to replace even more schools next year.

Education Department spokeswoman Hope Mokgatlhe denied the claims.

"The department of basic education will not comment on the statement released by the DA... [We have] not yet received the treasury's final letter of allocation for this period, and will therefore treat the report as a fabrication," she said.