COUNCIL tax payers in Middlesbrough are likely to see a minimum 4.8 per cent increase on their bills.

The council's executive is being asked today to agree the details of the £175m bill for the coming year.

Some of the money will be invested in schools, the environment and on the regeneration of the town, the key elements in Middlesbrough's budget for 2005/06.

An extra £1.7m will be pumped into education, £1.6m in the environment and £200,000 to support regeneration initiatives bringing investment to the town.

The council's has also produced £1.1m of efficiency savings.

The budget proposals will mean a 4.8 per cent in Middlesbrough Council's element of the council tax.

Cleveland Police and the fire service are expected to announce their precepts shortly.

Councillor Nicky Walker, the executive member for resources, said: "The keynote of our activities throughout the year has been prudent and efficient management of resources to produce savings which can be invested in services vital to the current and future quality of life in Middlesbrough.

"Most people would agree that investment in schools, street wardens, a safer, cleaner environment and initiatives which will bring jobs to the town should be priorities and we will look to maintain investment in them."

Conservative group leader Coun Hazel Pearson said the executive has been careful with its figures.

She said: "I think they have reached the figure just below where they would be capped but it is not good news for the people of the town.

"We need to remember the increases from the fire and police authorities will add to the total bill."

Councillor Tom Mawston, Liberal Democrat leader, said: "Despite what we want to do, we are at the mercy of the Government.

"The pressure on councils is so great there is little alternative but to have an increase.

"However, a steady increase in the tax is better than standing still because sooner or later someone has to pay."