Voluntary groups challenge cuts

Voluntary groups protested against the cutbacks

A group of voluntary organisations in Leicester has won the right to mount a challenge against funding cuts.

The High Court has ruled there should be a judicial hearing into the cuts by Leicester City Council.

The London court also said the funding should be maintained until the case is decided.

The challenge was brought by six groups, including the Chinese Community Centre and the Ajani Women and Girl's Centre.

Full hearing

Michael Fordham, solicitor for the groups, told the court on Tuesday they had been denied a "fair crack of the whip" in the consultation process.

If we have to restore the funding, we will have to take it away from somewhere else Councillor Peter Coley

He claimed the council had not provided "cogent reasons" for the cutbacks in funding.

The council's barrister argued the process had been fair and adequate - and that the council was entitled to make its own budget decisions without the interference of courts.

Councillor Peter Coley told BBC Radio Leicester that the challenge is "a small setback" but added the council will wait for the full case to be heard before making any adjustments.

"If we have to restore the funding, we will have to take it away from somewhere else - there would be knock-on effects," he said.

A full judicial hearing into the challenge is expected to take place next week.

Leicester City Council reduced funding to voluntary groups in the city by almost £2m in its budget for 2004.

The Liberal Democrat-Conservative coalition at the council said cuts were necessary because of a £10m shortfall handed to it by the outgoing Labour administration.