Labour warns of a 'trap' over council tax freeze cash
The annual budget round that sets your council tax is going to be tougher to fix over the next few weeks.
The government wants increases frozen for another year and is even offering town halls a cash incentive.
You might expect hard-pressed councils to welcome that with open arms. But not a bit of it.
The Conservative-led coalition faces a familiar critic leading the charge. Labour-run Nottingham City Council has rejected the extra money.
And this is why...
"If we take the money, it's going to cost us and the citizens of Nottingham a great deal more money further down the line.
"It's like taking out a pay-day loan and paying 40% interest a year. That's the trap."
Nottingham's council tax is set to rise by 3.4%.
Accepting a freeze, Labour says, would mean it getting lower government funding the following year.
Councillor Chapman says it doesn't take into account the huge bill for council tax benefit payments for low income households.
"Without increasing the council tax, we will lose between £800,000 and £1m a year. That's big money which has a direct impact on delivering crucial services," he told me.
It's just a short 10 minute drive across the city's Trent Bridge to Nottinghamshire's County Hall .
You won't hear talk of a political trap here. It's two and a half years since the Conservatives took control.
A year before deficit reduction dominated our lives, Nottinghamshire's Tory leader Kay Cutts controversially set the pace for cost cutting and a more business style approach to running local government.
It's now the third year running that her shire county has frozen council tax and it welcomes the cash support from the Chancellor George Osborne to deliver it.
"We've been offered £7.7m extra this year to put into our budget. That means we don't have to make as many savings we expected to make," she said.
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"It's like taking out a pay-day loan and paying 40% interest a year. That's the trap." Nottingham's council tax is set to rise by 3.4%. Accepting a freeze, Labour says, would mean it getting lower government funding the following year.
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