Cheshire councils will seek a judicial review over the decision to withdraw £100m of PFI credits in the comprehensive spending review.
Legal advisors for Cheshire West and Chester and Cheshire East will apply to the High Court for permission to issue review proceedings over Defra’s decision to withdraw funding for a joint waste PFI project in the region.
Cheshire West and Chester Council leader Mike Jones said: “We have decided to take this joint action because we believe that the methodology used by Defra to assess the merit of our scheme was seriously flawed.”
The withdrawal of PFI credits followed a £4.5m procurement process, which saw Viridor appointed as a provisional preferred bidder for a proposed mechanical biological treatment plant on a site on Griffiths Road, Northwich.
Cheshire West and Chester and Cheshire East Councils took legal advice from Leading Counsel and met with Defra officials prior to the decision to pursue a judicial review.