County Council members in Hampshire are lobbying Westminster to prevent the county being stung for a possible 15% council tax rise next April.

The Government plans to redistribute £500m from local authorities in Southern England to deprived areas in the North and Midlands.

The county says the scheme could put Hampshire £80m out of pocket. The county had expected to increase council tax by 7.7% next year, but that estimate has doubled with the Government proposals, and no sign of levelling off in 2004.

The Government says redistribution would take place over several years, and insists no councils will have their overall funding cut in 2003.

Hampshire members fear the council's finances will not be able to keep pace with rising costs, which could trigger job losses.

Council leader, Ken Thornber, speaking at a cabinet meeting on Monday, said: "If £500m is needed in the North and Midlands, it should come from the National Exchequer."

Liberal Democrat members added their support, but warned that the Hands Off Hampshire campaign should not be a battle against northern councils.

Group leader, Adrian Collett, said: "If we say this money should not be redistributed to the North and Midlands we may come under attack. It would be better to say the wrong way of financing it is out of the pockets of Hampshire people."

Mr Thornber said he had contacted local government minister, Nick Raynsford, to argue against redistribution and had received a reply saying that the Government faced "difficult decisions" in local authority funding.

Mr Thornber told the cabinet: "I can only say that no government minister has agreed to meet any of my colleagues from the South East."

Fellow Conservative member, Don Allen, said: "The Government needs to operate in a more professional way than it does in regard to local authorities."

The county council expects a decision from the Government over the new funding structure on Thursday, December 5th.