COUNTY leaders went in deputation to Westminster this week to plead for extra government cash to run vital services - but their efforts appear to have been in vain.

Hampshire County Council and its neighbours were congratulated for their good work but were given no indication that the government would rethink its plans to redistribute government grants from the south to the north and Midlands.

This, Hampshire County Council has warned, will lead to a significant increase in council tax over the next few years with an increase of around 15 per cent predicted for this year alone.

On Monday, Local Government Association chairman Sir Jeremy Beecham met local government minister Nick Raynsford concerning the governmentÕs grant awards to fund education.

The existing deal will mean that Hampshire will get an increased grant in the next financial year of just 3.7 per cent which falls short of the extra six per cent which the county council was planning to spend on education and social services.

MondayÕs meeting was followed on Tuesday by a contingent of leaders from the southÕs county councils, including Hampshire County Council leader Ken Thornber, who met with Chris Leslie, parliamentary under secretary of state for the Deputy Prime Minister, John Prescott.

Mr Leslie was told the government grant, which makes up the largest chunk of the county and district councilsÕ finances, would leave an overall shortfall of £45 million in the county councilÕs budget.

But despite passing on his congratulations for the councilÕs recent performance, Mr Leslie gave no hint that a grant rethink was on the cards.

Mr Thornber said: ÒWe welcome the ministersÕ congratulations on our performance but the governmentÕs funding proposals threaten to undermine what we have achieved.

ÒThe government is distributing resources out of the south east towards the Midlands and the north. As a direct result of this policy the south east counties will be forced into substantial council tax increases if services are to be protected.

ÒThe responsibility for these increases will rest squarely with the government.

ÒEven at this late stage we would urge the government to listen and provide us with the resources we need to get on with the job of improving public services.Ó

Hampshire County Council, East Hampshire District Council and HampshireÕs Police Authority will agree their final budgets over the next few weeks.