COUNCIL jobs and services in Oxfordshire are under threat after the Government unveiled plans for a council tax freeze.

The Labour leader of Oxford City Council, Bob Price, issued a stark warning of the effects of the proposal, outlined in a detailed Programme for Government launched today by the Conservative-Liberal Democrat coalition’s leaders, Prime Minister David Cameron and Deputy Prime Minister Nick Clegg.

He warned that freezing council tax bills for two years – without any increase in Government support – would leave the authority £600,000 out of pocket, the equivalent of 30 jobs or significant increases in service charges.

The authority has already set out plans for a two per cent rise in its share of council tax for the next two years.

Mr Price said: “If they’re saying they would freeze it, without providing additional resources for local authorities, it would mean our resources would not rise in line with inflation.

“We have planned for a two per cent increase in the next couple of years, so a freeze would mean our budget would have to be reduced by £300,000 in year one and £600,000 after year two. Services would have to be cut or efficiencies found.”

“It’s equivalent to something like 30 jobs and it would mean we would have to look at increases in car parking fees and leisure fees – and that would make them less accessible to people.”

He added: “It would be jobs or services, or we would have to find additional efficiency savings, but I can’t say if we could do that at this stage.”

The coalition programme says: “We will freeze council tax in England for at least one year, and seek to freeze it for a further year, in partnership with local authorities.”

Oxfordshire County Council leader Keith Mitchell said the policy was in line with plans already in place at County Hall.

He met Local Government Minister Bob Neill today to learn more about the Government’s proposals.

He said: “He confirmed a council tax freeze for next year. There is some discussion with the Treasury, so we have to wait for full details. This supports the pledge the county council made last year for a freeze in council tax.”

West Oxfordshire District Council’s Conservative leader Barry Norton said he welcomed the opportunity to freeze the tax but said without Government incentives it would mean using money from the council reserves to prop up some services.

He added the impact would also depend on the level of income from fees and charges, such as planning application fees, that have been hit by the recession.

Vale of White Horse Council’s Liberal Democrat leader Tony de Vere said that until the amount of the Government grant was known, it was hard to assess the impact, but he estimated the council could have to find £150,000 of savings.

Council tax bills are made up of precepts from the county council, city, district, town and parish councils, and the police.