A NEWHAVEN company says it has cut salaries and made one person redundant after Lewes District Council stopped using it.
Arrow Tyres also cut pay by five per cent after council bosses moved its business to national company Michelin.
A spokesman for the company said: “Does it not seem bizarre to you that on the one hand the council are trying, at some expense to regenerate Newhaven and then on the other hand, they jeopardise the future of a company that has been based in Newhaven for over 40 years?”
Lib Dem cllr Steve Saunders said the action was ‘going against the council’s pledge to support and protect local businesses within the district.’
He said: “It’s an appalling double standard. The Tories say they want to support regeneration in Newhaven, while at the same time putting small businesses and jobs at risk.
“I suppose that we really shouldn’t be shocked to see the Tories leaving Newhaven in the lurch. You only have to ask what the town has gained from the incinerator looming over us to see what they think of our town.”
But cllr James Page, cabinet member for finance and resources said: “Cllr Saunders seems to have forgotten the increased costs of this service and the decision to move to a more competitive supplier were identified in 2009/10 during his administration.”
A spokeswoman for the district council said the administration published the council plan for 2011/12 which set out the key goals, including promoting growth and creating prosperous and vibrant communities. She stressed local companies would be given the opportunity to tender for future business from the council.