Bradford Council is to receive nearly £1 million less from the Government over the next three years - a "slap in the face" according to the authority's leader.

Provisional grant settlement figures for local authorities were only issued last month with Bradford being told it would receive a 5.6 per cent rise for the next financial year.

But yesterday Local Government Minister John Healey announced the final figures would leave the district with £338,000 less than expected at £254.4 million.

The drop means a likely squeeze on Council-run services or a bigger increase in council tax, which is already expected to be 4.89 per cent when it is set at the end of next month.

Conservative leader of the Council, Councillor Kris Hopkins, said: "This is a real slap in the face for every citizen in the district.

"With only four weeks to go before Bradford Council is due to set its budget for the next 12 months, the Government has decided to rip the heart out of our plans not just for the coming year but for the next three years. Other than Leeds, every local authority in West Yorkshire has had their funding reduced. Bradford, however, has suffered the biggest fall of all.

"As a result, the money we will have available to look after our older residents, support our schools and keep our streets clean has been slashed."

Across the country councils will received £70.4 billion, an increase of four per cent, in 2008/09 and an increase of 4.3 per cent in the next two years.

Councils will also be expected to make three per cent efficiency gains each year, which could free up as much as £4.9 billion.

Mr Healey said the grant was "fair and affordable" and gave "every council the resources to deliver high quality public services".

The Local Government Association yesterday said council tax bills looked set to rise by four per cent this year.

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