Local authority shortfall to increase household charges

HOUSEHOLDERS face a significant rise in charges next year as local authorities struggle to fund the 80 million benchmarking bill.

Although an additional once-off Budget payment of 30m was yesterday added to the 38m already allocated to fund the pay hikes, local authorities are still facing a 12m shortfall next year.

City and county managers have warned that staff will be laid offof staff lay-offs and increased charges as a direct consequence.