Charles Kennedy has said his party is on the up in local government.

The Liberal Democrat leader told a gathering of his party's councillors that they were "breaking new ground in inner city areas, and are increasingly the party of choice for those who want to see a real difference".

"The Conservatives are now a party of the English shires," he was expected to say.

"During the local elections, and expected general election next year, the Liberal Democrats will fight hard on council tax.

"We intend to keep this issue on the agenda, and on the boil.

"Voters should know what revaluation will do to their council tax bills."

And councillor Chris Clarke, the Local Government Association Liberal Democrat group leader, said the Conservatives had "been willing to write off huge areas of Britain as 'not our natural territory'."

"Labour is steadily losing bastions of power that they have controlled almost since records began. We have no no-go areas," he added.
 
"We and Charles Kennedy are going to work flat out to add more councillors, councils and MPs to the tally."