THE PEOPLE of Fareham will be fortunate enough to have one of the lowest council tax demands in the county when bills start falling through their letterboxes in April.

Council finance chiefs will meet later this week to give the provisional go-ahead to a planned below-inflation rise of just three per cent.

It would mean the average Band D household will be asked to find an additional £3.87 a year, raising the annual amount to £132.57, though Hampshire County Council's tax demand, and those of the police and fire service have to be added on.

Bosses at the council said it would be the tenth year in row their residents had benefited from matching or below inflation increases, but added the move would not impact on the services Fareham taxpayers receive.

It will also mean Fareham residents will once again pay the lowest levels of council tax in the county, as those living in the district do not have to pay parish contributions as part of their council tax.

Future less sure However council leader Cllr Sean Woodward admitted there will be tough decisions to come in the years ahead as the amount of money the council gets in its grant from central government, the third lowest in Hampshire, continues to fall. Cllr Woodward said: "We are not just setting lower than inflation taxes each year, but we are doing it without cutting and while hopefully improving services.

"There are going to be tough decisions that need to be made in the future because our government grant level continues to fall.

"We are always looking at innovative ways to save money and improve efficiency and we will continue to do this.

"This latest council tax budget provides no reductions in the levels of service we offer, and we are still setting one of the lowest council taxes in the country."

Among spending plans being drawn up for the coming years, Fareham Borough Council plans to spend £300,000 on public loos, £200,000 on the Seafield Park sports pitches, £100,000 on a new Whiteley play area at Yew Tree Drive and £310,000 on Burridge community facilities.

A further £100,000 is also being earmarked to set up new neighbourhood forums, which are being aimed at allowing local people to take direct decisions on what improvements they would like to see in their community.

The proposed tax rise is now due to be ratified when the full Fareham Borough Council meets on February 22.