Twenty councillors from Broxtowe Borough Council have quit Labour in protest at the party's direction under Sir Keir Starmer.
The councillors claim the party has "abandoned traditional Labour values" and criticised policies such as cutting the winter fuel allowance for some pensioners.
A local Labour spokesperson said the decision by some councillors to sit as independent 18 months after they were elected was "incredibly disappointing".
Milan Radulovic, who has served as a Labour councillor for nearly 40 years and as Broxtowe Borough Council’s leader for 22 years, says Keir Starmer has abandoned the working class and is moving the country closer to being a "dictatorship".
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