Portsmouth's schools are set to benefit from more than £7m investment as part of new city council plans.
The proposal is part of an updated capital expenditure programme which outlines plans for over £170m of investment by the council.
Money will be spent on extra places for secondary schools and pupils with special education needs.
Currently the council spends around £1.75m a year on school placements outside the city for children with special needs, while an increase in secondary school places follows on from recent similar investment in primary schools and will be vital for the coming years.
Cllr Donna Jones, Leader of the council, said: "With these capital budget proposals we are once again showing that education and the future of children in Portsmouth is the council's number one priority. It is vital that we continue to improve the facilities we have in the city, particularly for those with special needs. Our plans will not only make improvements for those living in the city but also represent investments that will benefit the council financially in the long run."
Spending plans are focused on areas the council has a statutory responsibility for, such as education, and investments likely to reduce the council's costs and drive economic growth in the city.
The council's plans also include contributing an initial £1.25m, potentially rising to £6m, towards the £87m Southsea coastal flood defence scheme; spending £3.5m on the city's traffic infrastructure to improve journey times on key routes; and continuing investment in Portsmouth International Port with £9.7m set to further increase its potential to generate income.
Another income generating proposal is to more than double the council's fund for property investment to £110m, with an extra £60m. This would enable further expansion of a property portfolio which makes money through rental income, this extra money could then be used to avoid future cuts to services.
Cllr Luke Stubbs, Deputy Leader of the council, said: "With government grants decreasing every year it is important that we become more self-sufficient and generate our own income. Investing in assets like the port and property makes profits for the council and this money could be what saves services in future years."
The spending plans are for council funds that can only be spent on capital projects like buildings and facilities, rather than the day-to-day running of council services.
The proposed capital programme for 2016-17 will go before the council's cabinet for approval on 8 February and should that be successful will be presented to full council for final signoff the following day.