NEXT year's council tax increases will be discussed by Stockton Borough Council next week.

The council's cabinet committee will debate a potential rise caused by a nationwide employment agreement.

It is thought the equal pay agreement for council staff will lead to an increase in council tax of about three per cent.

The new deal for workers, called the Single Status Agreement, is designed to harmonise employment conditions for blue-collar and office workers.

It is expected that many of the lowest-paid council workers will receive significant rises.

Julie Danks, the council's director of finance, said the new deal will add about three per cent to the council tax bill.

The council has identified a potential budget requirement of £203m.

A total of £9.1m will be passed directly from the Government to education (£4.7m) and social services (£4.4m).

The cabinet committee will meet at 4.30pm, in Stockton Central Library, on Thursday, and a final decision on the council tax will be made at a later date