THE leader of Worcester City Council has reiterated his desire to freeze council tax - despite the fact it will result in £150,000 'lost' income within three years.

The Conservative leadership at the Guildhall wants to freeze rates for householders this year, and take advantage of a Government sweetener worth the equivalent of a one per cent rise as a reward.

The policy was debated in a council meeting this week, where corporate finance director Lesley Meagher revealed the reality behind a freeze.

A hike of two per cent, the maximum rise allowed without having to stage a costly referendum first, is worth £100,000 to the council's coffers.

Ms Meagher said by taking the £50,000 cash 'freeze offer' from the Government, within three years it would therefore result in a shortfall of £150,000.

It led to questioning from Councillor Richard Boorn, Labour's finance spokesman, who said he "would question the logic behind it" given the pressures on budgets.

Councillor Simon Geraghty, the leader, replied: "It's a difference in political view - I genuinely believe we should not put up council tax if we can avoid it.

"If we can manage a freeze I absolutely believe that's what we should do."

Cllr Geraghty is also the deputy leader at Worcestershire County Council, where its portion of the bill, which tops 72 per cent, is expected to rise two per cent from April.

He said the two were "different organisations with different budgets", citing the plan at County Hall to use the rise to pump £3.5 million into children's social care.

During the debate Green Councillor Neil Laurenson also got involved, claiming councils are in "crisis".

"Councils up and down the country seem to be lurching from one crisis to another," he said.

"The cuts being imposed on them are driving privatisation."

The debate took place at a meeting of the performance, management and budget scrutiny committee.

Because the city council only controls 11 per cent of the rates, a two per cent rise adds less than £4 a year to the average band D Bill.

The county council's proposal for a rise, the second one in succession, would add £20.54 to it, and is subject to a vote on Thursday, February 12.