WIRRAL Council tax payers could see  a 3% cut in their council tax from  April, under surprise plans revealed by  the authority's new Tory leader.

Little over a week into his new  administration, supported by the Lib-  Dem group, Conservative Jeff Green  set out his plans for a budget to  "address the crisis in confidence" in the  council which has been rocked by  scandal.

However, the proposals were  immediately slammed by the Labour  leader Steve Foulkes, who described it  as a "scorched earth" budget which  would wreck the council's finances for  a future administration, which his  group hope to form after the May  elections.

Cllr Foulkes said the budget was an  attempt by the Tories to "stave off  electoral defeat" at the local elections,  and said: "This is the time for a sensible  stabilising budget, not a vote-grabbing  budget. We made a commitment to  freeze council tax, which is as far as I  believe it is sensible to go in these  austere times."

Cllr Foulkes said the authority is  facing £80m  in projected budget  deficits over the coming few years, would be put in a difficult position for future years as the Government is likely to use this to estimate how much it should receive in future grants.

Among his proposals, Cllr Green  outlined plans to extend the council tax  relief scheme for households over 75 to  those over 70.

Combined with this, his  plans would see a Band B property –  Wirral's average – pay £36.94 less per  year basic council tax. Due to increases  passed by police and fire authorities,  Wirral taxpayers’ bill is likely to be  reduced by around 2.5%. 

The Lib-Dems, although largely  agreeing with the Conservative  proposals, said they would prefer a flat  £25 rebate to all council tax payers, as  they said this would mean less well off  households would benefit more.

Ahead of the budget, Lib Dem leader  Cllr Tom Harney said: "It is vital the  council sets a budget that is  responsible and prudent, but also  progressive and mindful of the need to  give support to our residents and the  Wirral economy where it is most  needed.

"This is why the Liberal Democrat  group is firmly committed to the idea  of a much needed stimulus to the  Wirral economy in the form of a one-off  council tax rebate payment, or 'People's  Dividend' to all Wirral households."

In his budget presented to the ruling  cabinet at Wallasey town hall, Cllr  Green said the tax cuts would "inject an  additional £4m into Wirral's economy,  as residents have more money to spend  locally."

Other elements of his budget plan  included children's services and adult  social services, allotments, investment  into improving local shopping areas,  20mph zones, the apprentice  programme, plus £1.2m  apiece for New  Brighton and Hoylake and  implementing the Lib-Dem “living  wage” proposal for council staff.

The budget proposal will go to the  budget meeting of the full council on  March 1, and, if any amendments fail to  be accepted, it will become the  authority's budget for 2012-13.