Plaid Cymru AM Lindsay Whittle has warned a decision to axe financial support for two major events could damage efforts to attract visitors to Caerphilly.
The lack of funding means neither event will return to Caerphilly this year.
Lindsay Whittle backed the bids to bring the events to Caerphilly when he was leader of the council. He said: “These decisions are penny wise but pound foolish. While the council may have to make cuts, this could really backfire.
“The Tour of Britain cycle race really put Caerphilly on the UK map with cycling enthusiasts travelling from all over the UK to watch the event. That resulted in money being brought into Caerphilly, benefiting businesses in the town.
“The BBC event was another attempt to raise the profile of the county borough. Viewers could see what a fantastic background the castle was and might then decide to spend some time in the town. That will now be lost to Labour-run Swansea council.
“This looks like an exercise which will save money but end up being counter-productive.”
Labour council leader Cllr Keith Reynolds defended to decision to scrap funding for the events.
Cllr Reynolds said: “Our Labour-led council’s top priority is protecting jobs and services. Events such as these, while nice to have, cannot take priority over the protection of the vital services so valued by Caerphilly County Borough residents”.
Lindsay Whittle added that up to £40,000 could be saved if the council cut the number of cabinet members by one.
Labour raised the number of cabinet members to ten when coming to power, with the number standing at nine during the last Plaid Cymru administration.
Mr Whittle said: “Clearly Labour think an additional Cabinet member, who will also act as a second deputy leader, is much more important than promoting the county borough. It shows how out of touch they are.”
Labour refuted the suggestion that cutting the cabinet would save money.
A Labour group spokesperson said: “Plaid’s maths are as muddled as their principles.
“Although there have been changes to cabinet and committee structures between the last, Plaid Cymru-controlled council and our Labour-led administration, costs overall are lower now than then.
“And we’ll take no lectures from the Nationalists on our Council’s budget, when Plaid councillors abdicated their responsibility to residents by walking out of Council and refusing to set a 2014/15 budget”.
A Caerphilly County Borough Council spokesman said: “Caerphilly has provided the spectacular backdrop for the ‘BBC Proms in the Park’ and a section of the Tour of Britain for the last three years, and the whole area has enjoyed the many benefits of hosting these popular events.
“Unfortunately, due to the severe financial constraints facing the council, we were not in a position to offer to host these events again this year. We maintain excellent links with the organisers of both events and hope to work with them again in the future.”