Shrewsbury and Atcham Borough Council now faces huge legal costs
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Borough councillors are to discuss their next move after their High Court challenge to stop Shropshire becoming a unitary authority was dismissed.
Shrewsbury and Atcham Borough Council lost a judicial review of plans to scrap five district or borough councils for a single authority in Shropshire.
The council had claimed the secretary of state was acting beyond her powers. North Shropshire District Council has agreed to give �8m to a community trust since the court decision on Wednesday.
Council leader David Minnery said the move, thought to be the first of its kind in the country, was the best way of ensuring assets were used for the benefit of people in north Shropshire.
Shrewsbury and Atcham, along with Congleton Borough Council which jointly led the legal challenge, now face court costs of more than �400,000.
But the judge granted them permission to challenge his ruling in the Court of Appeal.
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