Bridgnorth residents will face yearly council tax increases to “catch up” with other councils if plans to create a single authority for Shropshire go ahead, officials warned today.

The district will miss out on potential savings because Bridgnorth District Council currently has the lowest council tax rate in the county.

Chief executive, John Harmeston, said if a unitary authority was formed council tax rates would be made equal across the county within three years.

But over those three years, the higher levels would be frozen while the lower rates, such as Bridgnorth’s, would increase by three and a half per cent each year.

Mr Harmeston said: “While council tax payers in Oswestry and south Shropshire will enjoy outgoing savings in the region of £100 a year, there is no direct benefit to taxpayers in Bridgnorth.”

Councillors will meet on Wednesday to debate whether to support the scheme to create one single authority for Shropshire.

In a report to councillors, which outlines the proposals in the recently published Government White Paper, Mr Harmeston said there were a number of options open to members.

He said: “The White Paper heralds a new era for local government. As always, the devil will be in the detail as it emerges in legislation.

“Much debate will be had about the various proposals but the recurring theme of public services working together to improve services is one issue that should be supported.”