PARTS of East Lancashire could escape a large hike in council tax bills if a controversial re-evaluation goes ahead in two years.

Council tax bands are to change on April 1, 2007, for the first time since 1991.

And homeowners in the country where house prices have risen most in that time are likely to move into a higher band as part of the review.

But despite increases in prices in many East Lancashire boroughs, the region has not witnessed rises of more than the national average of 175 per cent.

It means people living in towns like Blackburn and Nelson are far less likely to be placed in a higher council tax band than those in towns like Weybridge and Hove in the South East, which have consistently seen large increases.

Some analysts have even predicted Nelson would be the least affected in England as it has experienced the lowest property rises.

According to a house price survey by the Halifax, homeowners in East Lancashire saw the value of their properties rise by an average of 17 per cent last year, nine per cent above the national average but still below the average house price growth of 175 per cent since 1991.

Martin Ellis, chief economist for the Halifax, said: "It is a very complex issue but I'm sure areas in East Lancashire will be favourably affected by the changes to council tax bands.

"East Lancashire has seen lower house price increases since the bands were set in 1991. In other areas house prices have increased a lot more, which means their rate support grant from Government has got smaller.

"This leaves the authority to make the money up elsewhere, which will probably result in houses moving to a higher tax band."

But Blackburn estate agent, Andrew Ashton, believes the link between council tax and house prices is being overstated. He said: "People in band B in Blackburn, Hyndburn and the Ribble Valley all pay different amounts. I would suggest these changes will not be determined by house prices but by how much revenue the various authorities will have to raise."

Council tax bands in Wales will be revalued from Friday and the variations between areas have been huge.

In affluent Cardiff, 64 per cent of homes -- 87,000 out of 136,000 -- have gone up one band or more.

And in Wrexham, 53 per cent of homes have moved up, while at the other end of the scale, only seven per cent of homes have shifted up in Blaenau.

Experts are expecting a similar trend in England in two years' time.

It has not yet been revealed what the new bands will be or if there will be additional ones. The Government said it would review the results of a report due later this year before beginning consultations in early 2006.