TWO local authorities in the region have reacted angrily to government threats to cap planned council tax rises of more than five per cent.

North Yorkshire County Council said the "shot across the bows" took no account of either the level of its council tax or the value for money it provided.

And Northumberland County Council pointed out that it was already faced with making cuts of £7.5m - even before any council tax cap.

North Yorkshire is planning a rise of 5.75 per cent - half last year's increase - while Northumberland expects bills to rise by about six per cent.

The two local authorities are among 31 proposing above-inflation tax rises, which have been sent a letter by Nick Raynsford, the local government minister.

It says: "We will be looking very closely at final budgets and council tax rises for next year and we will not hesitate to use our capping powers if that proves necessary."

But Councillor John Weighell, the Conservative leader of North Yorkshire County Council, said only four shire counties in England had a lower level of council tax.

Coun Weighell said that, with the Government insisting there should be no education cuts, the axe would fall on "social care, roads and transport".

Mr Raynsford said: "I have got capping powers. We will use those powers if necessary.

"But this is just a preliminary letter and I hope as a result of it councils that are considering a large increase in council tax will moderate their proposals."