COUNCIL tax in North Yorkshire could rise in the wake of the Government’s comprehensive spending review.

County council chiefs say the review has squeezed their tight budget even further, presenting tough challenges they must meet.

They point out that more than a quarter of the county’s adult population is over the age of 65 and the proportion is rising every year every year – raising demand for the care and support which the council provides.

And while welcoming the announcement that councils can choose to levy a social care precept of two per cent on council tax, they say that will be dwarfed by the Government’s introduction of the national living wage.

County council leader Carl Les said: “While we are always reluctant to raise council tax we will have to consider this step if we are to protect the most vulnerable in our society.

“However, even if we take this decision the levy will not give us the stretch to provide the services we need for a growing population, including care for the county’s increasing numbers of the elderly and frail.”

In addition the authority fears the apprenticeship levy on employers could cost it up to £1m while plans to withdraw the education services grant, which covers local authority support for schools, represents a further reduction of up to £7m.

“It seems apparent from the Chancellor’s statement that we face a tough settlement in the coming years,” said Cllr Les.

“By the end of the decade it looks like the council will no longer receive any funding direct from Government at all.”

The county council is already half way through a programme to deliver £170m in cuts – one third of its budget - by 2020.