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National secretary Bob Griffith confirmed that Socitm met Microsoft last week but was unable to say when an agreement is likely to be signed. "There was a meaningful discussion but we have not come to any firm conclusion," he said.
The public sector user group estimates that Microsoft's licensing arrangements, announced in May, could cost town halls as much as £80m over the next two years.
Griffith remains hopeful that agreement can be reached. "There seems to be willingness on both sides so we are optimistic," he said.