Whitney Institute Middle School will remain open after all, it was announced last night.

Following weeks of arguing during which the school's registration seemed likely to be withdrawn, the Ministry of Education and the Whitney Educational Trust finally came to a verbal agreement yesterday evening.

The Ministry had previously refused to provide cash for repairs to the ageing plant unless the board of trustees committed to staying in the public education system for five years. The trustees had said they would not sign up to the education system unless the Ministry signed an agreement to provide cash for repairs, with consequences if it did not live up to its terms.

A statement released last night said both sides would get what they wanted, with the board saying it would stay in the education system until 2013, and the Ministry committing its resources to ensure Whitney will be maintained in a "fit and proper manner" for that time.

"The Ministry of Education and the Whitney Institute board of trustees are pleased to announce that the Whitney Institute Middle School will remain open," said the Ministry press release.

"The Government and the Whitney Trustees have listened to the concerns expressed by parents, students and teachers.

"Following a brief and productive meeting, an agreement was reached. The Ministry of Education and the Whitney Institute board of trustees will forthwith commence negotiations to secure a detailed written agreement confirming the oral agreement that has been reached."

The school building is said to be riddled with rats, termites and slippery floors, as well as a host of other problems. Trustees say their pleas for cash to fix the plant have fallen on deaf ears; the Ministry argued it had responded positively to every request for a grant since 2005.

Education Minister Randolph Horton last week threatened to withdraw the school's registration, claiming the board would not commit itself to the education system. Board chairman Tom Davis described this as a "galling inaccuracy".