Council tax looks set to rise by ten per cent in the next three years

Local households are set to be hit hard as Inverclyde Council faces up to yet another round of cuts.

Local authority leader Stephen McCabe warned that the increases could be even higher.

Council bosses are warning a 'significant' number of jobs could go, with all departments told to find at least £6 million worth of savings.

Number crunchers at the Municipal Buildings are looking at three per cent council tax hikes for each of the next three years to help bridge the gap.

This would follow the 4.79 per cent rise imposed in April, along with the loss of 60 jobs.

Council leader Stephen McCabe said: "There really is no other option but to put council tax up by at least three per cent.

"The question really is, will it be higher?

"There is a straight choice - either put up council tax or cut more jobs or services."

Cllr McCabe says he understands that people will not be pleased by the news but says the council has been left in an almost impossible position.

He said: "I know that people will be looking at it and thinking, 'we are paying more money for less'."

Raising council tax by three per cent every year for a three year period would mean reducing the gap in the budget by three million pounds.

Councillor McCabe said: "Council tax does not actually raise a lot of money, particularly in Inverclyde where we have a low council tax base.

"We rely overwhelmingly on government grants so when central government funding is cut it impacts even more on us."

Mr McCabe says the council badly needs help from ministers in Edinburgh.

He added: "I can't see the Scottish Government changing their priorities.

"Their priorities have been health and some aspects of education, like the pre-fives, but not core council services."

A new report by chief financial officer Alan Puckrin sets out the challenges faced by the council.

Cuts to services and jobs which have been rejected in previous years are expected to be brought back to the table.

Mr Puckrin said: "It is clear that given the volume of savings there will be an impact on the council workforce with some areas potentially seeing quite significant reductions if savings are approved."