Furious restaurant bosses are demanding that Babergh District Council scraps its own cut-price canteen which they claim is putting them out of business.
They are angry that ratepayers are subsidising the cafe at a cost of £650 a week to provide a rival meals service that is undercutting local pubs and restaurants by as much as 60%.
The 54-seater canteen at the council's HQ at Hadleigh is open to t
he public – and charges as little as £3.75p for a three-course lunch.
But the catering operation is supported by £32,000 a year from the council's budget.
The menu boasts dishes such as roast stuffed shoulder of pork with home-made stuffing, roast potatoes and vegetables, fried fillet of haddock with tartare sauce, chips and peas or steak and kidney pie with potatoes and vegetables – all at a bargain £2.95p each.
Soups including slow-roasted peppers, watercress or sweetcorn chowder all with home made sun-dried tomato bread – are £1 and puddings – from fruit strudel and custard to apple and frangipane tart and marmalade bread and butter pudding, again with custard, cost 85p.
Steak pie
One local said: "It would be different if the cheap meals were for pensioners or people on benefits. But anyone can just turn up and get a three-course meal for a few quid – and we ratepayers are subsidising it."
Less than 100 metres from the council's offices is the White Hart pub, which also serves lunch-time food.
Landlady Anne-Marie Rothwell said: "I think it's disgusting the council is offering people subsidised food.
"It's terrible for us because we just can't compete with their prices. – our steak pie is £7.95p, like our fish and chips – which is double what they are charging."
And at Crabtrees Restaurant in the High Street, owner Sharon Leech said: "It's galling to see that we pay our rates to a council that then uses the money to compete with us.
"Their prices are just ridiculous and they are completely out of order. The canteen uses up thousands of pounds a year in subsidy – and that would pay for dealing with the homeless, keeping the streets clean and helping the disabled."
A spokesman for the council, which contracts out the canteen to Midlands-based Olive Catering, said: "We operate the facility – and have done for many years – for the use of staff and business visitors and it is open to members of the public.
"We are unaware of any concerns being expressed by local restaurants or food catering businesses. The income from the canteen helps to keep the costs of running the operation down."
Olive Catering spokesman Andy Wright refused to discuss details of the contract and would not reveal how many meals were served up a week at the council headquarters
