CASH strapped council chiefs face being plunged deeper into the financial mire because of a dispute with an ancient charity over repair bills for the Medway Tunnel.

The Rochester Bridge Trust has for centuries been responsible for all crossings of the River Medway. It has a funding arrangement with Medway Council for any maintenance that takes place.

Officials had hoped trustees would agree to a new funding plan with the council paid a £16million lump sum to maintain the tunnel up to 2021.

An alternative phased payout over four years was also suggested but neither plan has won the backing of trustees.

The decision comes against a backdrop of ill-feeling between the Trust and Medway council.

And to add to the council's woes the Bridgewardens are also refusing to pay the council's last maintenance bill for the tunnel.

Medway Council billed the trust £710,545 for tunnel repairs last year (2006/7), but the trust has questioned civic centre sums and want to slash the payout to just over £505,000.

Robin Cooper, Medway regeneration director, said auditors Price Waterhouse Coopers have backed the council's claim.

READ THE FULL STORY IN MONDAY'S MEDWAY MESSENGER.