YORK'S roads could become some of the best in the world, if a bid for Government funding is successful, the city's council boss has said.

But his opposition counterpart said the city risked facing major cuts in other services, and "third world" social care if the authority committed to the scheme.

City of York Council has been left waiting for a Government decision on its bid to revolutionise the way the city's roads are maintained.

The council's ruling executive wants to embark on a 25-year Private Finance Initiative (PFI), using credits from the Department for Transport (DfT).

At a meeting of the full council, leader Steve Galloway said: "That project would see an additional £500 million being made in the council's roads, footways, street lights, drainage and bridges over a 25-year period.

"This would fund a dramatic improvement in the highways standards, raising them to among the best in the world."

Coun Galloway said the majority of funding would come from Government credits - effectively an annual grant to the council.

The remainder, he said, would be met from the £8 million revenue and capital funding the council already spends each year on roads and footways.

The council had expected to hear around now whether its bid had been successful.

But Coun Galloway said: "Despite repeated requests, DfT have yet to come to a decision about which local authorities they will invite to prepare an outline business case."

While the Lib Dems claim embracing the scheme is the only way to bring the city's highways up to standard, opposition parties are critical.

Labour leader Dave Merrett said: "The council cannot afford both the waste and highways PFIs as Labour has been pointing out all along. However, we still have no clear answer from Coun Galloway in terms of what other services they will cut if they are determined to proceed with both PFIs.

"We, and I think most York residents, will be extremely concerned that we will end up with a third world emergency-only social services, and/or further major cuts in other discretionary services like leisure, because the Lib Dems are so unwisely continuing to commit to both these major PFIs."