KENNET District Council has welcomed a recent Audit Commission report that appears to exonerate councils forced to raise their council tax levels by more than ten per cent each year.

The report, entitled Council Tax Increases 2003/2004 Why Were They So High?, says that there is a clear connection between central government grants to local authorities, additional spending pressures and the level of the council tax.

Kennet District Council chairman of resources Coun Jerry Willmott said: "Last year, despite making savings of over £1.2 million and using balances, Kennet District Council still had to set a 14.47 per cent increase in council tax as a direct result of the poor Government grant settlement."

He said the report gave independent confirmation that the responsibility for the high council tax rises falls squarely on the Government.

Kennet District Council again faces a cut in Government support of over £600,000.

It will have to make savings to offset the loss of the grant and the cost of inflation to balance the 2004/2005 budget.