A charity providing free transport for the elderly has been accused of scaremongering over claims cuts to its budget would leave hundreds of pensioners stranded in their homes.

The East Sussex Disability Association (ESDA) yesterday raised the prospect it would have to end its coach service taking pensioners on day trips and holidays under proposals by East Sussex County Council to cut its £124,000 annual funding by two-thirds.

But the council today said the charity had already been told its service would be safeguarded as part of a cost-cutting review.

Keith Hinkley, director of adult social care at East Sussex County Council, said: "We are looking to deliver the same services more efficiently for less resources. It may not be ESDA that delivers the service - it could be another voluntary organisation or even a commercial company."

ESDA provides coaches for outings and holidays for about 1,000 members and says it is the only means of contact for many pensioners with the outside world. It claims that without council funding for maintenance and drivers the service would have to be stopped.

Mr Hinkley said: "We have worries about the ESDA service as the agreement is they provide the vehicles and we run them. There were three buses and now there are only two and they are getting old and costing a lot to maintain and there are no plans to replace those vehicles."

ESDA deputy chief executive Nick Tapp said: "They want to cut £78,000 from the service. If you take that amount out of a £124,000 budget, that is effectively cutting the service.

"We have never said we wouldn't replace the third bus. However, we don't want to spend £85,000 on a bus when this threat is hanging over us."