Shrewsbury Councillors said they would not lead a challenge
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Councillors are not to lead an appeal after their judicial review against the government plans for unitary authority councils failed in the High Court.
Shrewsbury and Atcham Borough Council claimed the government acted unlawfully by inviting bids for unitary status.
The legal challenge was a joint effort with Congleton Borough Council.
On Monday night, Shrewsbury councillors said they would not lead any appeal but did agree that if Congleton appealed they would add their name in support.
It was made clear that Shrewsbury council was not prepared to incur any more costs involving further judicial hearings although the judge had given permission to challenge his ruling in the court of appeal.
The council faces court costs of more than �400,000.
Labour and Liberal Democrat Councillors voted against the Tory group's proposal to continue with the legal action.
The Conservative Leader, Peter Nutting said that every effort should now be put into ensuring that unitary government worked in the best interests of the people of Shropshire.
He added that this did not mean the council would abandon support for any moves by others in the protest group of councils to mount an appeal.
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