THE leader of Hammersmith and Fulham council has sensationally announced that he is stepping down next year.

Stephen Greenhalgh made the unexpected announcement this morning, just after it was revealed that residents would be facing a fifth year of council tax cuts.

Navigating the council through some of its toughest years he has cut the borough's debt in half and has helped to increase resident satisfaction to a record level.

After five years at the top, Mr Greenhalgh will be standing down from the role in six months time but will continue to be a councillor for the Town ward.

During his tenure, Mr Greenhalgh has overseen some radical and sometimes controversial decisions, including the creation of the country's first tri-borough council, the 'open for business' mantra which invited developers into the borough and the selling off of council buildings.

However, reflecting on his time in charge, Mr Greenhalgh believes that Hammersmith and Fulham is in a much better state now than when he first took office.

"When we came in we had some of the scrappiest streets in London and the parks were neglected," said Mr Greenhalgh, "In six short years we've improved council services. We've now got some of the cleanest streets in the capital, our parks are beautiful and we've reduced the tax burden year on year to have one of the lowest council taxes in the country. I think that is a tremendous achievement. We can be so proud of what we have achieved in becoming such an influential, trail blazing council. From cutting tax to paying off debt, to widening choice in schools and housing, from fighting crime to a cleaner environment we have blazed the trail. We have been the guiding star by which other councils seek to navigate. I am confident that our course is firmly established for the future."

He will now be spending his time focusing on how to decentralise power from the town hall and Whitehall to the neighbourhood, so that public services are more accountable to residents.

This includes working on plans for a neighbourhood budget for the White City opportunity area so that taxpayers' money is correctly spent on improving the lives of residents in the area.

Mr Greenhalgh, said: "I do not think the people of White City are getting value for money, nor do I think are wider taxpayers. I want to focus that money on getting much better outcomes for people living there and ensuring that the neighbourhood is fully involved in how that money is spent. I've given my heart and soul to this job, and next year I will have been leader for six years. It's the right time for the next person."

The new leader will be elected when Mr Greenhalgh leaves his role.

Following his announcement, rumours began to circulate that he was being offered a peerage.

Talking to the Chronicle, he said: "I have absolutely no idea, there are a lot of rumours in the ether. I've decided to step down to focus on neighbourhood needs, not to sit on a red bench."