THE head of one of the region's largest councils confirmed he will spark a leadership contest in an attempt to face down rebels in the ruling Labour group.

Earlier, Durham County Council leader Ken Manton had made no comment over a leaked internal e-mail in which he issued a "back me or sack me" challenge to colleagues who went against controversial plans to close care homes for elderly people.

Last night, he broke his silence and confirmed he is asking group officials to start nomination and election procedures, potentially sparking a scramble for the leadership.

He said: "I will be putting my name forward and if the group want me to continue as leader, I will be more than happy to do that."

He said he was unaware yet of possible leadership challenges, or of rumours of a potential vote of no confidence in him at a meeting of the Labour group later today.

Last month, a number of Labour councillors went against the wishes of the leadership when they defeated an attempt to shut care homes across the county by one vote.

The closures would have saved the authority millions of pounds.

The issue has created division within the Labour group, with several councillors understood to be unhappy with Coun Manton, who favoured the closures.

There is now disagreement over whether the plans were part of a phased process, with the cabinet and senior council officers saying the vote only blocked moves to shut nine care homes and did not affect an earlier decision to shut four.

A new deputy leader will also have to be elected after the death of veteran councillor Don Ross.

Meanwhile, Labour councillors on the authority are being urged to reverse a recent decision which the Unison and GMB unions said would result in a vital service being cut.

Welfare rights staff have been told that more than £130,000 will be cut from their budget and that nine jobs will go as a result.

The service helps families, older people, and sick and disabled people claiming benefits, as well as young people leaving care and those trying to get back into work.

Welfare rights officer Phillip Allen said: "These cuts do not make sense.

"As a frontline service, we have a vital role to play in helping people out of poverty. We have a proven track record. Last year, the council reviewed our work and said that we were doing a good job."