Claims from Luton councillors that the town is underfunded by the government do not “stack up”, according to the Prime Minister.
During a visit to the Vauxhall plant in Kimpton Road last Wednesday, David Cameron aired his dissatisfaction that Luton Borough Council had increased its tax precept for the 16th time in 18 years.
The decision, which came after LBC again rejected a government grant to hep them freeze taxes, will net the council an extra £857,000 annually.
Mr Cameron told the Luton News that the hike is unnecessary.
He said: “What I would say to the council is that per household Luton gets £230 more than the national average in terms of spending power, so I believe it has the resources that are necessary.
“It has got over £10m in uncollected council tax, it should collect that money.
“They have also seen their reserves, currently at £58m, go up by £29m since 2010.
“The idea that Luton doesn’t have the resources that it needs to provide appropriate services does not stack up.”
He added that the Labour- run council should concentrate on cost-cutting schemes in partnership with neighbouring councils, rather than raise tax bills.
A Luton Labour spokesperson was unavailable for comment.