BIN collections in Worcester could be merged with the likes of north Gloucestershire, Telford, Hereford and Warwickshire in a daring bid to create one money-saving spin-off.

Worcester City Council wants to put plans to hand rubbish rounds to a private company into fifth gear by exploring a massive deal which could implicate tens of thousands of people across the region.

As your Worcester News first revealed last month, the council is aiming to outsource most of its 'cleaner and greener' function, which includes bins, to one or more private sector operators to save an estimated £500,000 a year from 2017.

But we can reveal how thoughts have now moved towards pushing for a huge bins 'tie-in' with councils covering a very large area.

The city's Conservative leadership and managing director Duncan Sharkey believe great savings could be made under ever-larger economies of scale, and that it would prove a more attractive prospect for a potential private firm.

Mr Sharkey says the idea is not about trying to bring together "apples and pears" but insists a bigger potential deal could bring greater benefits.

"Three years ago we looked at the waste service (for outsourcing), and at the time the savings we would have made just weren't worth it once you look at the costs," he said.

"But this is now a much a bigger project in terms of the footprint - we've written to councils that are not just our neighbouring ones in Worcestershire to say what we're looking to do. That's a piece of work which is ongoing."

So far letters have gone to councils in Warwickshire, Shropshire, Telford, Hereford, every other authority in Worcestershire and north Gloucestershire, taking in the likes of Tewkesbury.

The move raises the prospect of one private firm taking over bin collections for a whole region, with each council paying a limited amount into the pot.

Another company could then take over the other Worcester cleaner and greener functions up for grabs including street cleaning and maintenance for parks and play areas.

The development comes amid an angry campaign by Worcester Labour Party, which has labelled it "privatisation" and is concerned about the scale of change, which takes in 120 jobs.

Councillor Adrian Gregson, Labour group leader, said: "Putting all of this into the private sector just cannot be right."

Councillor Simon Geraghty, city council leader, said: "We are giving ourselves three years to look at this, it is not something we are rushing."