THE Home Office is planning a January launch date for identity cards in Merseyside.

Yesterday, the Government launched the voluntary pilot for the scheme in Greater Manchester, but has now announced a New Year start across the rest of the North- West.

It says they will be a cheaper alternative to passports and those who want one can carry a card or a passport, both or neither.

But campaigners say Merseyside’s economic recovery could be blighted by the introduction of cards and have scheduled a meeting in Liverpool to draw attention to what they call a "parasitic tax".

NO2ID North of England co- ordinator James Elsdon-Baker said: "What businesses across Merseyside need at the moment is help and support to get out of the recession.

"This scheme is not really voluntary. There is no way once you are on the database to get off. If you change your mind, then it is tough luck.

"The small print shows it ties you to a lifetime of bureaucracy and self-reporting under pain of penalty, at £1,000 a pop. The scheme will represent a parasitic tax on business which will risk being accused of ‘failing to adequately establish identity’ if they do not fall in line."