HUNDREDS of council jobs are safe after a nail-biting fight to win one of the local authority's most lucrative contracts.

The council's in-house team pipped private sector rivals for the tasty school meals and catering contract.

The deal is worth around £2.4 million over the next five years, and covers more than 100 municipal buildings including local primary and secondary schools as well as civic halls.

Town hall bosses are jubilant with their success, which they say will safeguard 500 local authority jobs for years to come.

Coun Kevin Scarlett, chairman of competitive services which awarded the contract, said: "We have been able to do this without compromising food quality or hygiene standards and the cost of the service has been dramatically reduced, resulting in savings of more than £150,000 a year. That is good news for everyone in the borough."

Although competition was intense, the in-house team beat rivals both on price and quality.

Coun Wayne Campbell, chairman of contract services, said: "In the five years we have held this contract, we have embarked on a programme of massive capital investment in upgrading kitchens and modernising many school dining areas to cash cafeteria systems."

Coun Campbell was also delighted that more pupils were taking school meals in Bury, compared to falling numbers nationally.

"This is testimony to the improvements in food quality and presentation," he said, "and all staff are to be congratulated, including the many head teachers, without whose co-operation this successful partnership could not continue."

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