Labour have criticised Swidon Council for failing to spend large sums of money received from government for spending on new homes.

Each year, the council is given the New Homes Bonus, which equates to several million pounds and is not ring-fenced.

The money received this year will largely go towards offsetting the budget deficit but there remains just over £4.2 million in the pot from previous years.

Labour say it should have been spent on many pressing issues rather than sitting in the bank, especially when budgets are so tight.

But the Conservatives have said that while they will be bringing proposals forward in due course, it would be unwise to spend the cash for the sake of spending it.

At the next full council meeting, Labour leader Jim Grant (Lab, Rodbourne Cheney) will say his party will bring forward a motion calling for at least a sum of the cash to be spent.

He said: “Given the many challenges Swindon faces presently and the Tory Cabinet’s refusal to meet those challenges because they say there is not enough, it is rather shocking that they are sitting on £4.2m of New Homes Bonus money.

“I would like to see some of this money spent on areas that most need it.

"For example, there’s a big problem in Swindon with the state of many roads which are in need of resurfacing. It has been shown that a poor state of roads can lead to damaged cars and added costs for motorists. That is why we think added investment in road resurfacing can make an impact.

“The state of many of Swindon’s grass verges, is another area we believe new investment is vital.

“So what the Labour group will be proposing at the council budget meeting is for some of the £4.2m to be used to reduce potholes and to address the messy grass verges in our town.”

Council leader David Renard said that with funds being so tight, it was important that any money spent would have a long-term benefit to Swindon.

He said: “We will be bringing a series of proposals on our plans in due time. I think first and foremost to spend your savings just because it's sitting there is not wise.

"When the money is spent it should be to reduce to balance the deficit or create an investment in the town and infrastructure.

“We brought forward a number of proposals last year to spend the money and will do so again but it needs be spent correctly rather than just for the sake of it.”