The council at the centre of Britain's worst outbreak of Legionnaires' Disease says services may have to be cut if it is prosecuted.

Barrow in Furness Council is also warning taxes could rise if it has to defend any prosecution from the Health and Safety Executive.

Four people have so far died during the Cumbria outbreak, which has been blamed on an air-conditioning system at the town's Forum 28 arts complex.

Meanwhile an inquest has been opened and adjourned into the deaths of three women who died during the outbreak.

Higher bills

Andy McAdam, director of finance for Barrow in Furness Council, says any bill for compensation claims is likely to be negligible.

But he says if the authority is prosecuted by the Health and Safety Executive, the subsequent costs could lead to higher tax bills, or cuts in services.

He says the authority has already put cash aside to fight any court proceedings.

He said: "We have money set aside which I hope would meet quite a large amount of that.

"But I just don't know how much that is going to be if it comes about."

Funerals delayed

Meanwhile an inquest has been opened and adjourned into the deaths of Wendy Milburn, 56, Georgina Somerville, 54 and Harriet Low, 74, who died during the outbreak.

Coroner Ian Smith warned the families it would be several days before funerals could be held.

An 88-year-old man also died during the outbreak.

Experts have confirmed the source of the outbreak was "beyond all reasonable doubt" the air conditioning plant at Forum 28.

A council officer has been suspended as inquiries continue.