WINDFALL cash generated by the sale of 3C Waste has affected Warrington's handouts from central government, Town Hall bosses have confessed.

The cash injection from the sale of the waste company, which Warrington partly owned, has helped to finance major initiatives in Warrington such as the Pyramid Arts Centre and town centre improvements.

But Lymm Liberal Democrat Clr Ian Marks questioned whether the "net effect" of the multi-million pound development had left the council at a disadvantage in other regards.

"Have we lost out elsewhere financially because of the benefits of this windfall," questioned Clr Marks at a meeting of Warrington Council.

Council leader John Gartside confirmed that the cash boost had dented their funding from Whitehall for major infrastructure initiatives.

"The short answer is yes," said Clr Gartside, "this is clearly a gift and we hope we will get more of them.

"But it is not quite the windfall that people thought because it has affected our capital allocations."

It was important that the council had mechanisms for dealing with large capital receipts, for example if the housing stock was transferred, said Clr Gartside, and lessons had been learned from the 3C Waste experience.

The issue would be fully addressed by the council's policy and scrutiny committee, responded Clr Mike Hughes.

Converted for the new archive on 13 March 2001. Some images and formatting may have been lost in the conversion.