A LAST-DITCH Labour move to save the "Mayor's fiver" Christmas payment to Pendle's over-80s was defeated last night despite support from Tory councillors.

Councillors voted 26-20 to throw out an amendment to save the £5 gift and to ask officers to look at alternative ways to saving cash. The decision to scrap the annual payment is part of a cost-cutting programme aimed at saving almost £850,000 over the next two years.

Councillor Tony Greaves told the meeting of the full council: "I think sadness is a word to use when this council has no alternative but to stop this payment."

He added: "The time has come to make some choices. It's the honest thing to do."

But Conservative group leader Councillor Roy Clarkson argued: "I sometimes wonder just where we are going. I think this money can be found.

"We've been unique in the country giving this gift. Why shouldn't we stay unique?"

Pendle Council's management team provoked a storm of protest when it recommended the gift be axed to save £36,500 over the next two years. The move led to a bitter war of words between the Liberal administration and Pendle's Labour MP Gordon Prentice.

Converted for the new archive on 14 July 2000. Some images and formatting may have been lost in the conversion.