PENDLE'S council leader launched a scathing attack on the Government last night, as he announced a smaller-than-expected hike in council tax.

Councillor Alan Davies blamed the need for a 5.33 per cent rise in the borough on a shortfall in funding from the Government.

But he also attacked Labour leaders for "cynical" use of the council tax, mentioning the case of Elizabeth Winkfield, the 83-year-old from Devon who has pledged to face jail rather than pay.

Last year Labour and Conservative councillors defeated a resolution calling for the borough to campaign for the tax to be abolished.

This year's increase in Pendle, which will take the price for a Band D property to £1,285.40, is smaller than the expected 5.94 per cent rise. That's down to smaller increases in precepts for the Police and Fire Brigade than were originally budgeted for.

The Labour group proposed an alternative budget with an increase of 4.78 per cent and the Conservative group proposed a 4.08 per cent rise.

Thirteen parish and town councils will also levy precepts on top of the basic tax.

Coun Davies said: "Since the 1997 election the Labour Government has raised taxes by 50 per cent, not through the usual route of income tax but by stealth taxes and the cynical use of the council tax.

"Councils in Britain have been instructed by the Government to increase spending by several times the rate of inflation. Yet this has not been matched with similar grant increases from the centre - leaving the council tax payer to pick up the bill.

"I believe it is important Pendle people are told that this council is not profligate but is really struggling to keep its head above water. And all the while the Government is making that water as turbulent as it can.

"I believe the current review of funding being carried out by the Government should decide that Council Tax has had its day.

"I also believe, despite the recent vote in this chamber, that a local income tax or some similar form of progressive taxation is needed to fund local government.

"That way we can all see the back of 82-year-old ladies with pensions of only £77 a week being taken to court."