YORK'S leaders have amended their council tax prediction. Residents will not have to pay an extra 9.5 per cent this year, but probably a mere eight per cent.

Strangely, this news has yet to spark Jubilee-style street parties across the city.

Politicians sometimes wonder why the electorate is so cynical. But the yearly round of service cuts and huge council tax rises - excepting election year of course - takes its toll on public goodwill.

York council leader Rod Hills' announcement that his authority has just found another £1.5 million is likely to elicit two responses.

First, people will wonder whether this is merely more New Labour spin: the council initially forecasts an absurdly high tax rise, then revises this figure downwards and presents it as "good news".

Second, residents will remain angry that the tax rise is more than three times the rate of inflation, yet services are still to be cut.

Such decisions are bound to make the council unpopular. Yet much of the rise is not the authority's fault - although asking the public to "choose" between reduced street cleaning and mental health centres does not help its cause.

As Mr Hills explained in a letter to the Evening Press, the council is facing many budgetary pressures, from the challenges posed by caring for an increasingly elderly population to paying for flood defences. And York's council tax is relatively low.

Much of the blame for higher council tax bills should be placed at the Downing Street doorstep of Mr Hills' political masters. Whitehall pays for most local government services, and its grant for York is simply not enough.

Council tax is just another New Labour stealth tax. Tony Blair sticks to his pledge not to raise income tax by forcing local authorities to do his fundraising for him.

Local government finances and the services they pay for are dominated by decisions made in London. No wonder so few people vote in town hall elections.

Updated: 11:00 Friday, February 15, 2002