NEIGHBOURING councils have opted for different approaches when it came to setting the coming year’s council tax rates.

Hambleton councillors look set to increase council tax for the first time in five years.

Members of the district council’s cabinet have recommended a rise of £5 for band D properties from April this year, working out at a total of £94.48 a year.

Hambleton District Council is one of about 50 low charging councils across the country that is being allowed by central government to levy a £5 increase for 2016 to 2017.

“Householders have been privy to a freeze on council tax for the last five years – something we could only do with the help of the central government grant,” said leader of the council, Councillor Mark Robson.

“A £5 rise will still mean Hambleton is one of the lowest charging councils in the country – that 9.4p per week will allow us to maintain services and push forward improvements for the district.”

Richmondshire District Council corporate board on the other hand decided to freeze its council tax for the coming year.

If agreed by full council the tax on band D properties will be £201.40 per annum and make the council one of only a handful in the country not to be levying an increase.

But opposition councillors on the authority’s corporate board, which met on Tuesday, said the council would be “foolish” not to set an increase.

Cllr John Blackie said: “If we did put council tax up by two per cent it would equate to £4 a year – in my view it is the height of folly not to increase council tax when the government is expecting us to, and when there is a shortfall in future years of between £600,000 and £750,000.

“If we did raise council tax each year then we could raise £320,000 that we would have towards efficiency savings.”

Cllr Stuart Parsons added: “Make no mistake, efficiency savings just means cuts – there’s no way our staff can continue to provide the same services with even less resources.”

Councillor Yvonne Peacock, leader of the council said: “When we were elected last May our aim was the keep council tax levels as low as possible - and by sound financial management we are going to deliver on that and support our local residents.”

Hambleton councillors also set a budget of £7,811,370, while Richmondshire members approved a budget of £6,274,970 for 2016 to 2017.

Both councils will vote on the recommendations when they hold full council meetings later this month.