Northumberland County Council executive member for corporate services Andrew Tebbutt told the authority's north area committee that there will be difficult challenges in setting out future budgets as central government looks for savings.

However, he said the authority was already planning ahead and he praised members from other political groups for their understanding of the situation.

"There are forthcoming issues about the three-year medium term financial plan and the financial challenges that face this council and every council," he said.

"All three political parties are making it very clear that retrenchment in public services means very significant challenges for every local authority.

"I'm pleased to say that last week the leaders of the four political groups in the County came together and had constructive discussions about the financial challenges ahead. Whilst we are going to have to make some very tough decisions everybody understands that.

"We are all going to be involved in trying to face up to the challenges over the next three years, but particularly over the next six months."