ROSSENDALE Borough Council has been told it needs to work more closely with businesses to tackle litter problems.

But the council has also won praise from inspectors at the Audit Commission.

They say the borough's recycling rates are on the increase.

The commission's report looked at the council's waste management service before rating it "fair with promising prospects" -- an improvement on the 2001 inspection which rated the service "fair but unlikely to improve".

Inspectors concluded that households in Rossendale were putting out less rubbish for collection, with recycling and composting on the increase, and the town centres and main roads being cleaner.

The report also said the management of the service has improved.

It also found the following strengths:

The service is generally accessible and responsive to users.

Targets for waste minimisation and recycling are challenging and are now more realistic.

The council is exceeding its statutory target in recycling and composting.

A range of activities is undertaken to promote waste awareness, education and recycling and recognising the diversity of the community.

Town centres and main roads are predominantly kept litter-free.

The service is able to respond promptly to notified incidents of fly-tipping, graffiti and abandoned vehicles.

Council leader David Hancock said: "We are on target to exceed the government recycling targets for Rossendale 12 months ahead of schedule. With residents' continuing help we will continue to be an innovative recycling authority and with the continuing support of voluntary groups the area will be green, clean and safe."

Audit Commission relationship manager Mike Thomas, said: "Realistic targets have been set for reducing waste and the council has introduced a range of activities to promote waste awareness and to encourage recycling.

"Despite its success, further challenges need to be addressed such as working with local businesses to tackle littering and minimise waste. In addition, the council must reduce or recycle the waste it produces."