The Government has announced that it will not intervene in the running of a Derbyshire council.
A report earlier this year heavily criticised Erewash Borough Council saying it had serious failings.
The Audit Commission carried out an inspection into the authority the results of which were published earlier this year.
It found that the authority was poorly run and it criticised the conduct of its former leader Cyril Stevens as well as some of its senior officers.
The commission has now decided not to refer the council to the Secretary of State, who has the ultimate power of taking direct control.
Instead a follow-up inspection will be carried out in January next year.
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