A TOWN council has refused to dip into its reserves to help establish a new parish council.

Stotfold town councillors rejected a request to transfer a proportion of the town council’s cash to the fledgling Fairfield Parish Council, at a meeting on Wednesday.

Cllr Geoff Smith had asked for a ‘goodwill grant’ of around �90,000 stating, while Stotfold Town Council did not have a statutory obligation, there was a strong precedent for the transfer of reserves, as Fairfield Park residents contributed to Stotfold Town Council over the years.

Chairman of Stotfold Town Council, Brian Collier said: “As a consequence of the Central Beds Council decision to form a new parish council for Fairfield, we will lose the council tax income from the residential properties there.

“If the town council keeps to a standstill budget and raising the same precept figure as this year, it would lead to an increase in council tax of 38 per cent for the remainder of Stotfold.”

More than 12 months ago campaign group, Action for Fairfield Community asked residents to sign a petition calling for the setting up of their own parish council.

The campaigners were spurred into action when it was discovered Fairfield residents contribute about �100,000 in taxation to Stotfold Town Council, which equates to a third of the body’s budget.

Chairman of the action group, Barrie Dack said: “Since Fairfield Park was occupied in 2002 the residence will have contributed in excess of �500,000 and apart from a small grant of �16,000 from Stotfold Town Council for the community hall they have received nothing in return.

“We think there is a very strong obligation, and the fact Stotfold residents may see a rise in their precept, while regrettable, highlights the precept that Fairfield Park residents made over the years.”

The action group drew up a budget of �92,525 for the first year and will incur a cost of a parish clerk as well as meeting room hire costs.