ZERO council tax rises could be on the horizon for nearly 36,000 households across Nelson, Colne and West Craven after a pledge from a town hall leader.

Liberal Democrats in Pendle, the single largest party in the borough council, have drawn up plans for a nil council tax increase for 2010-11, despite a minimal grant increase from Whitehall.

If the plans are voted through, and a similar proposal is ratified by Lancashire County Council as part of their budget process, it could mean no increase in the bill for local services in Pendle's towns and villages.

Union bosses in Pendle have urged councillors to avoid compulsory redundancies, as the town hall must save £522,000 during this financial year, and £850,000 and £870,000 for the following two years.

But council leader Coun John David said that the authority was 'in a strong financial position' due to savings been made year-on-year.

He would not disclose what measures will be taken to balance the books ahead of a series of budget-setting meetings in the borough this month.

"We will be proposing a zero council tax increase, for the Pendle element of the council tax bill. We have told the opposition parties about this and it is now up to them," said Coun David.

Town hall officials have admitted that anticipated annual savings will go beyond normal levels of staff turnover - £130,000 must be found in an initial round of efficencies.

And comprehensive reviews of no fewer than 10 council units will be undertaken this year to find another £100,000 in cuts.

The moves come against a backdrop of a less than one per cent funding increase from Whitehall and the continuing state of the economy generally.

Town hall unions have been told that job cuts cannot be ruled out, beyond the usual round of retirements and vacancy freezes.

Unison secretary David Lambert said: “We note with some concern the massive savings which Pendle Council have to make over the next three years.

“And for the first time ever, the council is unable to rule out compulsory redundancies amongst the staff. However we are assured that these will be as a last resort.

“This is not good for morale, but I am sure the public of Pendle will not want to see levels of service reducing any further as the staff prides themselves in giving good value services, “It is only when services are delivered away from Pendle that you notice a big difference and most people appreciate a local hands on service which is contactable and accountable.”

“We call upon our local councillors to set a realistic budget increase for 2010/11 which will pay for improved services, which I believe is generally what local people want.”

In a report to the borough’s executive next Tuesday, finance head Dean Langton said: “These savings are expected to be over and above normal turnover of employees.”

Areas under review this year include the tourist information service, public toilets, community halls, leisure services, luncheon clubs, waste management, promotions work, park keepers, enforcement officers and community buses.