IT was a landmark victory for a cash-strapped pensioner.

However, Royal Air Force veteran Maurice Bennett's one-man rebellion could end up costing Hampshire taxpayers up to £1m.

That would be the shortfall if everyone demanded to pay their council tax over 12 months rather than ten.

Civic chiefs would have no hesitation in cutting their losses by adding them to the following year's bills.

Mr Bennett had been pursued by council bosses since March after claiming he could not pay his £1,147.42 council tax over ten months.

The grandfather had devised the scheme to spread his council tax bill into 12 monthly instalments to fit in with his pension - enabling him and his wife Molly to keep their heads above water - but Eastleigh Borough Council told him he had to pay up or face legal action.

After he fell into arrears by £37, he was summoned to Southampton Magistrates' Court to pay the remaining £882 of his annual bill in full.

However, council officers caved in at the last minute and agreed that Mr Bennett, of Oakhill Close, Bursledon, could pay his bill as and when he can, as reported in later editions of yesterday's Daily Echo.

Now civic bosses of councils across Hampshire, which all operate ten-month payment schemes for council tax, have revealed they would each lose up to £250,000 in interest per year if they were to extend schemes over 12 months for every taxpayer in their area.

Bosses at Eastleigh Council claim that they would lose more than £150,000 in interest, which would mean adding another three per cent on to the council tax bill in order to make up for the shortfall.

Council leader Keith House said: "Councils provide services throughout the year and often have to pay some costs up front.

"The reason council legislation requires payment over ten months is in recognition of that. If we were to move to 12 payments we would lose the interest that comes in on early payers. In addition, we would incur interest charges ourselves because of having to pay out for public services before receiving the income from local residents."

Southampton City Council would lose about £250,000 if every council taxpayer was to pay their bill in 12 instalments, which would necessitate a rise of about 0.25 per cent. Winchester City Council would lose £200,000 and Fareham about £100,000.

Test Valley Borough Council was unable to put a figure on the potential loss involved while New Forest District Council refused to reveal how it would be affected.

Although Mr Bennett has now set a precedent, representatives of all the local councils said that it was unlikely that his case would open the floodgates to further requests to stretch council tax payments over 12 months.

Councillor House said: "Most people are sensible and straightforward and recognise that councillors have got a job to do.

"They have a direct debit system set up to pay every month and are happy to pay the bill over ten months."

All the councils' representatives also said that in cases of financial hardship, alternative payment schemes can be agreed.

A spokesman for Winchester City Council said: "We do get approached by people asking if they can make alternative arrangements. In cases of hardship we have agreed to do this in the past, but it is considered on a case-by-case basis."

Age Concern Hampshire director Chris Perry said: "Older people are getting increasingly poorer the longer they live and simply can't go on paying more out of less.

"That this man was prepared to do so by paying over 12 rather than ten months should have been applauded. What was the justification for hauling someone before the court who was prepared to pay? What was the cost in money and human suffering?"