The leader of Hampshire County Council says he is "optimistic" after talks in Westminster to secure more money for local authorities, writes Warwick Payne.

Ken Thornber, who also chairs the County Councils Network, met government minister, Nick Raynsford, on Monday. Westminster has pledged an extra £1bn to councils across Britain this year, but Mr Thornber is not satisfied.

He argues that the actual figure will be closer to £600m, and he is unhappy that it is only a one-off gesture. Mr Thornber also believes that most authorities will just use the windfall to minimise council tax increases, and not provide better services.

Another problem is that Westminster is using old census data to decide how much money councils receive, he argues.

In the case of Hampshire, Mr Thornber is particularly angry that the 1991 figures are being used, and not those from 2001.

He estimates that the county, which has an annual budget of just over £1bn, is being short-changed by around £7.5m.

The Government has now assured Mr Thornber that the 2001 data will be used to calculate next year's budgets.

He also stated that Mr Raynsford acknowledged many councils struggle to balance their books. "That's the first time that we've had any recognition of the pressures we're facing."

Mr Raynsford has agreed to meet Mr Thornber again in June. He hopes the minister will use that meeting to gather evidence, which he can then use to lobby the treasury for increased local government funding.

"There's a little bit of optimism," added Mr Thornber.