COUNCIL tax payers in an area where deprivation levels are among the highest in Wales will face the biggest bills in Gwent next year.

An increase of 9.7 per cent means those living in Band D homes in Blaenau Gwent will have to pay an average of £880, including the community council and police authority precepts. This year they have been paying an average of £798.

It means Blaenau Gwent residents will be paying: l Almost £300 more a year than Band D home owners in Newport. l Almost £230 more than Caerphilly residents in Band D homes. l Around £170 more than Torfaen residents.

Blaenau Gwent bills are also likely to be £265.45 more than Band D bills in Monmouthshire. Councillors there are this week expected to agree a 7.5 per cent rise. Blaenau Gwent councillors were told at a meeting that the authority would receive a transitional grant of £2.9 million in 2002/03 to restrict the council tax increases.

A report from the treasurer said it was clear the standard spending assessment formula did not provide sufficient funding to meet the needs of Blaenau Gwent - an area where "deprivation levels are among the very highest in Wales".

Now residents have branded the 9.7 per cent rise "ridiculous". Retired Cwm resident Fred Prosser said: "What are we getting for almost £900?

"If someone could tell me why we are paying almost double that of people in Newport, which is far more affluent, I'd be very interested to know."

Norma Edmunds, of Marine Street, Cwm, added: "I think it is getting beyond. It is far too much and we are not getting the services we used to."

Council leader Councillor John Hopkins said: "I am disappointed we have had to raise council tax by this much. We have pledged to keep within our budget, not to take any money from reserves, and retain all our jobs on the council but with the high increases on the police precept and Tredegar town council we couldn't avoid a 9.7 per cent increase."