PEOPLE in Gloucestershire are facing a tax hike but will see no benefit thanks to central government cuts, the Liberal Democrats have warned.

Gloucestershire County Council’s (GCC) cabinet yesterday agreed a 3.99 per cent tax rise – the biggest increase a local authority can make without holding a county-wide referendum.

Under the plans a taxpayer in a band D property would see their bill rise £43.51 from £1,090.50 to £1,134.01.

The proposal, which would be the first increase in five years, will now go to full council meeting for approval on February 17.

But the leader of the opposition, Lib Dem Jeremy Hilton, has claimed council spending will actually drop by £2million due to severe central government cuts totalling £18million.

“Looking at the council's finances it seems inevitable that the bill to local taxpayers will go up. It is clear the Conservatives are 100 per cent culpable for the financial position the council is in. Despite this tax rise, spending will still drop by £2million next year," he said.

"The government has slashed the council's core funding by £18m (9.5%), leaving the council short of funds to maintain services, whilst the Coalition's 'council tax freeze grant' has also been scrapped. In order to make up the shortfall in funding for adult care the government has introduced a social care levy, the "Osborne Tax", which encourages a two per cent increase in the council tax to prop up these important services.

"The Tories are placing the burden on local council taxpayers."

County councillor Paul Hodgkinson also lambasted the plans after it was revealed the tax hike would come hand in hand with a decrease in funding for the county’s roads.

“In May 2013 the Conservatives promised to spend more on roads. Now they want to shave £2million off the budget when the county’s roads are already in a bad way. It’s broken promises, broken roads.”

Cllr Mark Hawthorne, leader of GCC, hit back at the remarks, saying the Lib Dems had supported "the need to balance the books" when they were in government.

"But only months after the electorate kicked them out they’re arguing the exact opposite.

"Jeremy Hilton then goes on to attack the council for spending more money on looking after older people.

"What are the Liberal Democrats calling for – booting pensioners out of care homes if more people need our help than expected? No-one is fooled by this sort of nakedly political spin.”