RIVAL political groups avoided a battle over town council leadership last night by agreeing a compromise.

Labour and independent councillors had been expected to clash at the annual meeting of Great Aycliffe Town Council.

The authority, which covers Newton Aycliffe, Woodham and Aycliffe Village, was left with 15 Labour and 15 independent members after last Thursday's election.

Both groups had said they had intended to nominate a member to be elected council leader for 2007-08.

The two parties could have faced deadlock and the casting vote would have gone to the mayor.

But senior members held talks before the meeting and agreed that Labour councillor Bob Fleming should take the top post, with Independent Bill Blenkinsopp as his deputy.

The nominations were approved unanimously last night, along with other senior positions which see the parties share power.

Coun Fleming, of Shafto St Mary's ward, was leader of Sedgefield Borough Council until last week when he lost his seat by two votes.

Coun Fleming said: "We are prepared to share power - although there could be disagreements in the future with votes won and lost in both directions.

"I want to keep up the council's work to create a nice, natural environment, to engage young people, provide good recreational services - and we must address the progress of town centre redevelopment."

Independent members aim to improve community safety and make savings to reduce council tax.

The two groups also avoided a battle over the mayoral chains when members agreed to hand them to Coun Brian Hall.

He has been on the council for 20 years - first as an Independent member and now as Labour member.

He had been in line to take over as Sedgefield borough mayor before losing his seat last week.

Proposing Coun Hall as mayor, Coun John Clare said: "Brian Hall is a straight man, an honest man and a man of honour who can represent this town council very well."

He replaced Coun Mary Dalton, who raised £5,200 for the Great North Air Ambulance and £500 each for six local charities during her term in office.

Independent Coun Dorothy Bowman was elected deputy mayor.