CUTS in vital services now seem inevitable at Medway Council and the festive few weeks could be an anxious time for its 7,000 workers.

A £12 million gap has been found in council departments, between what they are spending this year and what they expect to spend next year. Losing jobs will be on the list of ways to make savings.

It came to light as officers drew up the first draft of the budget to be considered by councillors in three months.

The administration oversees hundreds of millions of pounds of contracts to transform the community. However, although it is capital rich, it is revenue poor.

Medway is one of the lowest charging authorities in Britain: £150 a year cheaper than any other authority in Kent.

To make things worse, it is facing three austere years, after the recent settlement for councils, being unable to increase council tax to reduce the difference and being left with job cuts and services pared to the bone.

Finance portfolio holder and deputy leader of the council Cllr Alan Jarrett said: “The next three months are going to be very tough.”

As many as one in 10 jobs may be lost across the council, to ensure that the elderly and the young are not being hit too severely.

He said: “In the past we have been able to cut one-off costs but now we have to find ways of losing recurring costs.”

Although it would be unpopular, one of the ways some councils have avoided cuts in key services is to scrap leisure activities, and put up charges.

Cllr Jarrett said: “If we added 10p to every parking charge in Medway, in a year that would bring in £180,000.

"We are looking to save £12 million at the moment. Even if we closed all our museums, leisure centres, ended the castle concerts and all the other events, we still would not break even. We have to start hitting statutory services.”

In some cases it will mean only the basic service will be provided, compared with what is currently enjoyed, and jobs will have to go.

No figures have yet been decided ahead of the cabinet meeting this Tuesday to agree how the council is going to wield the axe.