Click here to see a council map of the sites which could be opened up for development

Politicians are preparing to commit an extra £9 million of council cash – and ditch around £8 million of bus improvements – to save a controversial transport programme.

Council chiefs, who are already likely to spend £8.7 million on paving the way for the work, have gone back to the drawing board in their latest efforts to ensure a package of schemes which includes a new park and ride site at Bathampton and a dedicated bus route through Newbridge survives the public sector spending squeeze.

In moves that have angered opposition councillors and will also infuriate opponents of these schemes, Bath and North East Somerset Council is now planning to:

Reduce the overall cost of the Bath Transportation Package by £7.9 million, shelving new bus lanes on the A36 and on the A4 at Lambridge, and cutting the number of flashing message signs and upgraded bus stops;

Inject an extra £9.1 million of its own money into paying for some of the work, on top of £8.7 million it is putting in for preparation costs – a higher figure than it envisaged because the Department for Transport is no longer making a contribution to this spending;

Keep in the three most contentious aspects of the package – the new park and ride site, the Bus Rapid Transit scheme and the extension of Newbridge Park and Ride.

It had been asked by the Government to take a fresh look at its plans as ministers whittle down the number of transport projects that can be funded in the light of the public sector spending reductions.

B&NES will now be asking the DfT for £36 million towards what is likely to end up as a £59 million package – a reduction from the £50.7 million of Government funding originally suggested.

There would be £5.2 million coming from the private sector, partly from the developers of the Western Riverside and partly in the shape of public transport vehicles.

The extra council cash is likely to come from the Tory-run council's long-term plans to get the private sector more involved in its property holdings – a vision of releasing £100 million for improvements to public areas.

The council argues that its transport plans – particularly the BRT – are key to unlocking the economic potential of key areas close to its route in a move it says could inject an extra £700 million into the local economy every year.

It has stressed that it is "an initial proposal" with no final commitment yet agreed, although its plans are set out in a ten-page document which will be sent to the DfT confirming it is still interested in funding.

The increase in the council's extra contribution – and the sources of it – will have to be approved when the authority's overall budget for the next financial year is set at a meeting on February 15.

A statement from the council said: "The improvement of transport infrastructure is crucial to delivering plans for the public realm in Bath.

"These plans are designed to give pedestrians, cyclists and public transport vehicles priority over cars, and deliver a network of improved streets and public spaces that will benefit local people, stimulate further economic investment and business growth, and enhance Bath's status as an international visitor destination.

"The council has always intended to release capital resources to invest in the public realm through the joint venture partnering of our commercial estate with a view to raising substantial funds to invest in a range of projects, including public realm, infrastructure, world heritage site management, leisure, and cultural facilities.

"The council will follow up its expression of interest, with a full and final offer to Government. At that stage it is acknowledged that an additional contribution will be required and would be subject to approval by full council. Sources of funding include finance raised through private sector investment and council capital funding."

And leader Councillor Francine Haeberling said: "Significant improvements to transport infrastructure are required to improve access to key employment sites.

"It is essential transport improvements are made if inward investment is to be attracted into the city."

The council said it had been told by the Government there should be no "total redesign" of the scheme and there would be no funding for programmes "substantially changed" until 2015/16 at the earliest.

Opposition councillor Andy Furse (Lib Dem, Kingsmead) said: "I think it's appalling that the Conservative cabinet has prepared a secret deal with Government to spend £18million of local taxpayers' money without even delivering some of the most useful aspects of the Bath Transportation Package."

Councillor Loraine Morgan-Brinkhurst (Lib Dem, Newbridge) said: "The Conservatives are coming at this from the wrong direction, insisting on keeping the BRT which is the most expensive element of the package and the least popular. I am very upset as others are that they want to spend an additional £9 million getting this scheme accepted."

But Ian Bell, executive director of Bath Chamber of Commerce, backed the council's new approach.

"We have consistently supported the council's efforts to win Government funding to help deliver much-needed improvements to our transport infrastructure because, without it our economy will continue to be held back," he said.

"The revised plan looks like a very sensible approach and we must hope that it will get the backing of the Department for Transport."