COUNCILLORS fear Stourport faces gridlock following news that a bid for £500,000 for a medium-term solution to the town's traffic problems is dead in the water.

Leading Stourport councillor, John Gordon, has described as "a major catastrophe" for the town news that the bid, made as part of the Market Towns Transport Initiative had been turned down by the government. The initiative would have included works worth £2.7 million for Bewdley and Stourport.

At the same time, Stourport councillors' worst fears have been confirmed following the announcement that - in line with earlier expectations - the £47 million relief road scheme is now definitely on the back-burner until at least 2011 because the Government will not now consider funding any major schemes.

Mr Gordon, leader of Independent Health Concern on Worcestershire County Council, said: "This has confirmed our worst fears but it has been compounded ten-fold by the news about the Market Towns Transport Initiative bid.

Mr Gordon, also a member of the county council cabinet, said the money would have been used for short to medium-term measures to ease the problems in Gilgal and Vale Road but also for a section of the relief road to be built in the Worcester Road area.

Mr Gordon said: "This bid was very, very important because it was seen as more likely to succeed than the full relief road."

A decision had been due in December, he said, but it was not until he probed officers at Thursday's county cabinet meeting that he was told the bid had been turned down.

"Work could have gone ahead in the next two years - as it is, Stourport gets nothing. We have no other proposals. This is a major transport catastrophe for Stourport. We are rapidly approaching gridlock and I was disgusted that I was not told and had to ask the question."

He has now called for a public meeting in January so county council officers and the portfolio holder could explain to the public what the way forward was.

Meanwhile, district councillor Jill Fairbrother-Millis said the cross-party campaign she had mounted along with fellow councillor, June Salter was now on hold.

"We cannot see the point in misleading Stourport people if there is no hope. We will take a steer from the meeting in January."

A spokesman for Worcestershire County Council said that in spite of the government's decision the relief road would still be put forward in the draft local plan for 2006 to 2011, in July 2005.