MORE council services in Darlington could be shared with other local authorities or public sector bodies to beat the economic crisis.

Leading councillors in the town will hold a review next week of the authority's budget and come up with a new business model.

The cabinet report is as a result of both an update before next spring's final annual budget is set and in response to the increased global financial challenge.

The report sets out three strands to the business model, one of which is to identity services which could be delivered in other ways to save money.

Darlington already has a partnership with its counterparts in Stockton through Xentrall to provide all personnel, computer and financial services. It is predicted to save both councils £7.4m during the next decade.

The council also runs some children's and adult services with the NHS.

Council leader John Williams said: "We are determined that we will continue to cut out waste wherever we find it, and I am proud of the fact that the recent community survey showed that over two-thirds of Darlington citizens are satisfied with the way we are running services.

"We have also achieved the highest rating from the Audit Commission for providing value for money whilst also maintaining the lowest council tax in the North-East.

"But we face unprecedented challenges and that demands a fresh look at all of our services to see if there is another way of delivering them that can maintain quality whilst making savings."

Paul Wildsmith, director of corporate services, said at this stage it was not known what Government grants the council would receive this year, and how much less they would be than previous years.

He and Ada Burns, chief executive of Darlington Borough Council, said it was prudent for the council to start planning now.

Ms Burns said: "As an organisation, we remain fully committed to first-class public services; by taking early action.

"In being open about our plans and sharing our proposals for the longer term, we hope we can reassure residents that we have a purpose and a strategy."

Councillor Heather Scott, leader of the opposition Conservative group, said: "It is evident that local authorities are going to have major financial difficulties in the future.

"The decision is very sensible at this moment. Bringing it into the public domain demonstrates how difficult the next few years are going to be."