A FINANCIAL review has been ordered at a borough council after fears were raised that next year's council tax could rise by 12 per cent.

Senior councillor Glyn Nightingale of the new ruling coalition at Redcar and Cleveland Borough Council has asked council chief executive Colin Moore to undertake the review.

Coun Nightingale said the previous Labour administration, which lost control in last month's local elections, had deliberately put off spending money ahead of the election to keep council tax low.

Coun Nightingale, a Liberal Democrat and lead member for corporate resources, said Labour had left an appalling legacy and any council tax increase would be the Labour group's fault.

He said the previous Labour council had put off increasing the salaries of senior staff and had also delayed spending money on schools and sorting out payments for home care provision.

The statement is the latest in a series of recriminations between Labour, still the largest single part on the council, and the ruling three-party coalition of Liberal Democrats, Conservatives and Independents.

Coun Nightingale said: "In a vain attempt to prevent electoral defeat Labour effectively tried to bribe the voters with a zero council tax increase last time.

"This could only be done by putting off spending hundreds of thousands of pounds that they knew would still have to be spent.

"They have tried to leave us with no option but to cut back on vital services or to increase the council tax which they claim will have to rise by about 12 per cent."

Leader of the previous council, Dave Walsh, who lost his seat in the May 1 elections, said the authority's council tax, which was once the second worst in the UK, was now average.

Mr Walsh said: "Glyn's argument is easy to demolish. On senior staff salaries, it was Labour which began the review but we were determined to have value for money.

"On schools, I fail to see what he's talking about. The extra money from the Labour Government was passed on to schools and the heads were very appreciative.

"On home care we had to battle with his own Liberal group to put through proposals which meant we had, perhaps regrettably, to use private providers to sustain the service."