Leicester City Council has awarded its largest contract in a bid to meet new waste management targets.

The �300m contract has gone to Biffa Waste Services which will be responsible for the collection, recycling and disposal of Leicester's waste for the next 25 years

The council wants to recycle 40% of the city's waste by 2005

Achieving this target would make Leicester one of the most efficient waste management councils in the country.

Annual fee

The contract was awarded after an 18 month tendering process which attracted bids from seven major companies.

Biffa's proposals include a �30m recycling and composting centre, a weekly recycling and wheelie bin collection and a purpose built composting facility at Wanlip.

The government will provide �30m Private Finance Initiative (PFI) funding to cover the council's capital costs and Biffa will develop the facilities at its own expense.

In exchange, the council will pay them an annual fee.