TORY council chiefs in Southampton have been accused of “madness”

by asking cash-strapped residents to pay for a council tax discount for pensioners.

Ruling Conservatives have resurrected the ten per cent discount for OAPs while drawing up plans to slash services, cut 128 jobs and hike charges.

Their £179m spending plans will result in a council tax rise of 3.3 per cent, taking the council’s tax bill for an average band D property to £1,213 from April – a £39 rise.

Tories insist it will be the lowest ever for the authority – but the rise is set to break a pledge to keep this year’s rise below inflation.

Opposition councillors have condemned the cuts, unveiled in yesterday’s Daily Echo.

They singled out the costly discount for pensioner households for attack. The council says at least 7,700 people in the city would qualify, costing up to £1.1m.

Labour spokesman for resources Councillor Peter Marsh-Jenks said: “The proposal that would tax hardworking citizens by an additional 1.68 per cent just to give a ten per cent discount to the richest 25 per cent of pensioners, at best, is madness.

“It will not do anything for those most in need and we predict that most pensioners and ordinary taxpayers are going to label this ‘the Cons’ con’ when they find out that only the richest pensioners will qualify.”

Daily Echo: See today's newspaper to read the full story

Christine Melsom, the Hampshire founder of the IsItFair campaign for council tax reform, also criticised the pensioner discount plan.

“There are lots of other people on lower salaries who struggle with council tax in the same way as pensioners,” she said.

“It sounds like a vote winner.

But they should use that money to give a lower council tax for everyone.”

Mrs Melsom urged council leaders to freeze council tax, insisting it could still trim its wage bill through more staff cuts.

The Daily Echo revealed last week how the authority increased the number of middle and senior managers it pays more than £50,000 by 34 per cent in 2007/8, from 140 to 188.

The proposed cuts and savings have fallen largely on adult social services and the education budget with higher charges for the disabled and elderly and cuts to grants to schools and voluntary services. There are also hikes to car parking charges and cremations to raise extra cash.

Lib Dem finance spokesman Steve Sollitt said: “There are items in the budget that I’m not surprised to see again this year.

My group did not agree with them last year and it’s unlikely we will agree this year.”

Unison branch secretary Mike Tucker said staff had braced themselves for the job cuts, of which half are vacant posts.

He warned proposals to close the city’s three family centres and other cost-cutting measures could result in more children being taken into care.

However, council bosses insist that the £100,000 saving next year, and three jobs cuts, will not diminish the service. It will just be delivered from other locations.

The union is holding a meeting next Thursday to discuss the budget proposals and whether to ballot for industrial action.