COUNCIL managers in Darlington are proposing an 8.4 per cent increase in council tax this year.

The proposed rise comes despite the borough council benefiting from a £7.7m cash windfall following a legal wrangle with Durham County Council and a £900,000 rate refund from the Dolphin Centre.

Borough council chief executive Barry Keel insisted that the rise was necessary in order for the authority to spend at recommended government levels.

The suggested rise will go before the authority's cabinet next Tuesday, before a final decision is made by the full council on March 10.

If the rise is approved it will mean householders in Band A pay an extra 94p a week and will provide the authority with an extra £1.8m.

Mr Keel said the money would be spent on services for vulnerable people, community wardens, schools, street cleaning and improvements to roads, footpaths and parks.

Paul Wildsmith, the council's director of corporate services, said the windfalls from the arbitration settlement with Durham and the rate refund on the Dolphin Centre were 'one-off' payments which had been used to pay debts and replenish revenue balances.