COUNCIL tax payers in Hyndburn face the lowest increase in bills in Lancashire and one of the lowest in the country.
At a heated meeting last night, councillors decided to set the rise at 2.74 per cent-- an extra 6p a week in most homes.
However, the ruling Tories were accused of practising "the politics of the madhouse" in advance of the May local elections.
Council leader Peter Britcliffe said that Conservative councillors had worked hard in the past week to reduce the rise from a recommended 7.7 per cent to what is believed to be lowest district council increase in the country.
"We have set it as low as possible while continuing to regenerate services," he told the meeting at Accrington Town Hall.
Labour leader Ian Ormerod, proposing a figure of three per cent, said: "This is the politics of the madhouse. And we have been dragged along with it.
"The elections are coming and we have had to set a budget to match yours. Between us I think we have failed."
The council voted for cash cuts across the board and is budgeting to spend £11,127,000 in the next financial year.
A Band A property in Hyndburn -- 70 per cent of homes -- will see a rise of £2.98 a week to £732 when Lancashire County Council and Police Authority precepts have been added.
Councillor Britcliffe said: "We live in an area which is economically deprived, with low wages and where people work hard for their money. They want good value. Our expenditure is modest, but expectations are high."
He said they had had to meet external costs over which they had no control, like new Government-set waste recycling targets. And in the aftermath of September 11 insurance charges to the council had risen by more than £30,000. However, in three years of Conservative control they had exercised prudent budgetary control which compared with the best in the country, he added.
Councillor Britcliffe said: "We have worked hard to put right the things that were obviously wrong and to keep our housekeeping under control."
Labour leader Ian Ormerod said: "I don't think we should be proud that we are setting the lowest rise in the country -- you only have to look around to see that.
"You are the Paul Daniels of the budget box," he told Councillor Britcliffe.
He asked what had changed since last year when a rise of 7.9 per cent had been introduced. "It couldn't be that there's an election in May?" he said.
"You are saving people 1p a day for the privilege of being the lowest in Lancashire. It's no good for the citizens of the borough , when they are going out and spending £1.80 on a pint.""
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