Cherwell District Council has offered to lead negotiations on the future of The Horton Hospital in Banbury.

Last week's report from the Independent Reconfiguration Panel, which rejected proposals by the Oxford Radcliffe Hospitals NHS Trust to downgrade maternity and children's services, recommended that Oxfordshire NHS Primary Care Trust should produce a timetable for developing the services within a month.

Barry Wood, leader of the council, said: "We're pleased the IRP has sidelined the downgrading proposals, but we recognise that the PCT will need our help to marshal the views of all local groups on how best to expand and improve the services provided at The Horton. We have already offered our services in that regard."

Talking about the IRP decision, Mr Wood said: "We are pleased that the panel gave weight to the submission this council made. From our point of view, the research we did in putting that together was worth it."

The panel, whose view was endorsed by Health Secretary Alan Johnson, said the proposals by the ORH would mean more people travelling to Oxford for treatment, which was not in the best interests of patients.