Services set for squeeze

Council services in Gateshead are set to come under pressure, claim Labour in the North East, as a result of their own government's decisions on spending.

And to add insult to injury, council tax could end up rising above inflation to pay for extra duties heaped on councils by government ministers.

With the government set to squeeze the amount of cash given to Gateshead to pay towards council services, Labour run Gateshead Council could turn to council tax payers to fill the spending gap.

Concessionary fares for the over 60s, increasing demand for social services for older people and a rise in the number of looked after children has left Gateshead Council with bigger bills to pay.

"The government is expecting councils to do more," said Councillor Peter Maughan, "but ministers are not giving Gateshead sufficient money to pay for these additional services.

"Even Labour councillors say their own government needs to change the way ministers share out cash to local councils."

"The Labour government's spending plans for the next 3 years however are likely to make matters worse here in Gateshead," said Dunston and Teams campaigner Michael Ruddy.

"Liberal Democrats have called for a review of the way money is shared out to ensure there is a fairer allocation when the government forces councils to run more services."