COUNCIL taxes in a North-East town are set to rise by more than 12 per cent this year.

Darlington Borough Council has stressed that despite the inflation-busting rise, householders in the town will still be paying the lowest council tax in the region.

But the Labour-controlled authority has been criticised by opposition councillors for increasing council tax as well as slashing services.

Plans to increase spending on education and social services, while also making budget cuts of £1.2m, will require an increase of 12.5 per cent for the 2001/02 financial year.

The planned increases will mean the majority of tax payers, who pay the lowest Band A tax, will have to pay an extra £1.10 a week or £57.20 a year.