PENDLE Council's services could soon be taken over by private companies in a bid to capitalise on similar successful partnerships in neighbouring Blackburn.

Council bosses have revealed a potential partnership with the private sector - of which Capita is one of the interested parties - to deliver a range of council services.

The move, if given the go-ahead, is expected to create 200 new jobs in Nelson town centre and reduce council tax by around ten per cent.

Up to 130 council staff would become employees of the private sector company and council officers say there would be no job losses as a result of the move.

Stephen Barnes, the council's chief executive, said: "We want to make sure they are changes that support the councils key priorities which include delivering high quality services and regenerating the borough.

"This proposal could have the effect of dramatically improving services for the people of Pendle in terms of public accessibility, quality and cost.

"There could be the creation of a major office building in Nelson. There are many opportunities in Nelson for a major business centre and an increase in spending for shops and businesses. The impact would be substantial for a town like Nelson.

"We think we would be able to reduce the cost to the tax payer by ten per cent, which is a very important advantage, with the guarantees we would increase the quality and performance of our services.

"We are only at the start of the process and we need to debate the issue as it is a major change in policy. Council staff were sent letters on Friday informing about the proposals and we have consulted with Unison."

Council services under consideration are revenues, benefits, personnel, property management, information technology, technical services, engineering and quality surveying services.

The authority is now planning to agree the scope of any agreement before starting a formal tendering process later this summer to select the best private sector partner.

An executive committee meeting on Thursday, July 24, will discuss the plans and it is hoped an agreement will be finalised by April 2004.

The agreement would also mean a new office and retail complex being built in Nelson town centre with the run-down former Grand Cinema site as one of several site options.

David Lambert, Pendle's Unison representative, said: "Staff have been kept informed and for those living and working in Nelson it would bring vital jobs and services into the town. Unison is the only trade union to have recognition with Capita and through our contacts with Blackburn we would be going into this with our eyes open."

Pendle Council leader, Coun Alan Davies said: "Discussions about this have been going for nine months. We are modelling this on what is happening in Blackburn with Capita where they created 700 additional jobs.

"This development could be a major catalyst in the regeneration of the town centre through the creation of 200 plus new well-paid permanent jobs. These jobs would provide a huge spending boost in town centre shops and businesses."