MASSIVE council tax rises could be on the way unless local authorities chop millions from their budgets.

The news is sure to fuel protests from those who complain the tax is far outstripping rises in people's incomes.

Councils have written to the government to warn that average bills could rise by 10 per cent unless the government plugs a "black hole" in their finances.

In Dorset and the New Forest, council tax bills have more than doubled since the tax was introduced - topping £1,000 for many households.

Bournemouth Borough Council's deputy leader, Cllr Adrian Fudge, said there could be a 17 per cent rise in bills if the council did not cut its budget and resist pressure to spend more.

That meant the authority would have to find savings of £7 million on its possible spending just to keep next year's increase to five per cent.

"We've cut £6.5 million off various budgets over the past two years," he said.

"I've said we are going to do a similar process this year. It's going to mean a fundamental look at the services we're providing."

Bournemouth council tax payers in band D - taken by the government as the average - currently pay £1,239. In 1993, the year the council tax was introduced, the band D bill was £504.

In Poole, the current figure is £1,189, and in Christchurch £1,285.

Poole council's leader, Cllr Brian Leverett, said the area was one of the worst-funded by government in the country.

"There's no doubt there's going to be enormous pressure but I'm doing all I can in Poole because we're mindful of people's ability to pay," he said.

"We will do all we can this year to keep rises as low as possible but there comes a stage where we've cut virtually all of the significant fat.

"I feel the government is being totally unreasonable with the burden that they're quite prepared to load on council tax payers."

Cllr Alan Havelock, Dorset County Council's cabinet member in charge of finance, said the county's tax rise would be 10 per cent if it met all its officers' top-priority requests for more spending.

But he said officers were being told to find savings.

"It's going to be extremely difficult, very tough, and we're between a rock and a hard place," he said.

"We are treated extremely badly by this government."

Councils claim the government has been constantly adding to their costs without giving them the money to cope.

But the Office of the Deputy Prime Minister dismissed the Local Government Association's claims of 10 per cent tax rises.

"Sadly, the LGA cries wolf every year. The LGA's claim of a 'huge funding shortfall' has now become an annual event - and this is neither helpful nor constructive," a spokesman said.

"They made similar claims last year and predicted council tax increases of up to 12.5 per cent. In reality, council tax rose by 4.1 per cent - the lowest increase in 10 years."

First published: November 3, 2005