RESIDENTS in Hounslow will be forced to pay a 6.9 per cent increase in Council Tax next year, with the average property facing a bill of over £1,250.

Taxpayers in a typical Band D home face an increase to £1262.17, which is £82.17 higher than last year, after councillors agreed on their 2004/5 budget on Tuesday night (March 9).

This was broken down as a 6.824 per cent rise (£1020.84) for Hounslow services and a 7.5 per cent rise (£241.33) for the Mayor for London precept.

The rise could have been much worse, with residents braced for a 9.9 per cent rise - or 12 per cent with the GLA precept, but a last-minute £1.4 million of funds was granted by Chancellor Gordon Brown.

Commenting on the Council Tax budget, Cllr John Chatt, Leader of the Council, said: "It is clear that the future of Council Tax is a topic of hot debate at the moment and we support government moves to look at alternatives.

"We are very well aware of the impact it can have for groups, such as pensioners or families on low incomes, but until an alternative is found, this is the system we have to operate."

Seventy one per cent of the cost of services, such as schools, roads, lighting, parks, libraries and help for vulnerable children and the elderly comes from the government, with the remainder being made up by Council Tax.

Cllr Chatt added: "Residents told us they wanted to protect the services they value. This was one of our key priorities along with balancing the need to keep the Council Tax increase down as far as possible.

"Hounslow has good schools that continue to improve, as well as excellent libraries and recycling rates.

"Residents have told us that they want to see improvements to road repairs and street cleaning and we are working hard to improve those specific areas."

However, Cllr Ray Fincher, of Hounslow Liberal Democrats, criticised Labour for setting one of the highest taxes in London.

He said: "Hounslow's Labour-led Council has once again stunned residents by announcing a seven per cent increase in Council Tax, three times the rate of inflation.

"This is one of the highest increases in London, but it has been another year of diminishing council services, such as the closure of residential homes for the elderly and the proposed closure of two schools in the West area of the borough.

"The Mayor of London, Ken Livingstone's GLA precept of 7.5 per cent has also added to the burden shouldered by local taxpayers.

"Who can Hounslow's Labour Party blame now for lack of funding?

"Every year it is always someone else's fault but, after thirty-four years of Labour rule, Hounslow has £250 million pounds worth of debt, declining services and one of the highest levels of Council Tax in London"

His views were echoed by Cllr Peter Thompson, Conservative group leader, who said: "We have yet another year of front line cuts from Labour and an adamant refusal to consider any cuts in central administrative costs.

"Conservatives have identified close to £2 million in savings, in bureaucracy, which would not have affected service delivery one bit."