Darlington'S council tax is set to rise by at least £110 for the majority of residents over the next two years.

This year a band A taxpayer is likely to stump up about £59 extra as bills increase by 12.5pc to £552.79. Next year there will be a 9.5pc rise up to £603.45. Rises of 4.5pc are forecast for 2003 and 2004.

The council will also be cutting services by £1.2m, but no job losses are involved. Car parking charges are set to go up by 10p an hour to bring in more revenue.

A report to Monday's resources committee spells out a three to five year plan to bring in an extra £1.1m to give the authority the cash it says it needs to fund changes.

It also wants to boost its balances to at least £2m to cope with any unforeseen expenditure.

Mr Barry Keel, chief executive, said that this year, an extra £1.9m would be put into education and £1m into the previously under-funded social services department.

£400,000 would go directly into schools while child care and services for the elderly would benefit through the social services cash.

He said that since 1998 the district auditor and a review team had said the council should consider whether it could sustain a low council tax and still deliver high quality services.

Mr Alan Docherty, the Unison town hall union secretary, said: "We are pleased the council now recognises the need to put up council tax. But it is a shame it took three years to do so, because a lot hurt could have been avoided."

Mr Keel said: "This council tax increase means we are still the lowest council tax authority in the North-East and within the bottom 10pc in the country.

"The community wants good services and generally recognises they have to be paid for."

"At the moment we have the ninth lowest tax out of 354 authorities. The vast majority of band A residents will pay an extra £1.10 a week - the equivalent of half a pint of beer."

Defending the decision to increase car parking charges, he said: " We spend £400,000 on running our CCTV centre. Our crime statistics are probably 30 incidents a year in Darlington, while Middlesbrough has the same number in a day.

"We could drop charges if we didn't pay for CCTV. People don't want that, they want the protection."

Coun Tony Richmond, council Tory leader, said that there had been a 41.9pc increase in Darlington's council tax since Labour came into power in 1997.

"That is in addition to huge job losses and £8m cuts in services."

l Spectator's Notes: page 16