TAXPAYERS in Hartlepool may be facing a six per cent increase in their council tax for the second year running.

Hartlepool Borough Council's finance officers have advised councillors that a 5.9 per cent increase may be needed.

That could lead to the authority, which faces a £1.5m shortfall in its budget in the next financial year, being capped by the Government.

Minister Nick Raynsford indicated he does not want to see any council raising taxes by more than five per cent.

The planned increase would lead to owners of Band A properties paying an extra £50 a year, up from £864.32 to £915.31.

At a recent cabinet meeting, Councillor Stanley Fortune said he feared the council could be capped. However Independent Councillor Cath Hill, in charge of children's services, said failing to increase the tax rate could store up problems in the future.

Mayor Stuart Drummond indicated he will go with the recommendations but will wait for consultations before making up his mind.