Westminster City Council has announced the post of chief operating officer is being abolished in order to streamline the senior management of the council.

Following the announcement that chief executive, Mike More, is retiring, the council has decided the post held by Barbara Moorhouse is no longer required.

A Westminster City Council spokesman said: ‘Following this report the City Council has decided to streamline the senior management of the authority and has concluded that the post of COO is no longer required going forward.

‘Ms Moorhouse has made a significant contribution to future operations of the council and leaves us with a strong financial foundation, an innovative managed service contract and a successful operating model for our Tri-Borough programme.'

Westminster's Labour Group has called the decision 'crazy' and has warned it will be writing to communities secretary Eric Pickles to scrutinise any redundancy payment.

Leader of the Labour Group, Cllr Paul Dimoldenberg, said: ‘This is a crazy decision by a council in melt-down. How can it make sense for the outgoing chief executive to make his most senior colleague redundant?

‘At a time of acute financial uncertainty and more Government cuts, residents have every right to ask why the council's chief financial officer is being ousted. Mr More has not given councillors any reason for making Ms Moorhouse redundant. Heaven knows how big the redundancy payment to Ms Moorhouse council tax payers will now be expected to pay.'