OPPOSITION and union members have accused Barnet Council of wasting millions of pounds after the council leader has sent a letter asking for more cash to the Government.

In a letter to local government minister Eric Pickles Councillor Lynne Hillan asked for more money to create school places and to be allowed to add more of the £27 million invested in failed Icelandic banks to the balance sheet.

The council is making huge cuts to local services after the Government slashed a number of grants, in a bid to reduce the national budget deficit.

Labour's resources spokesman Councillor Alan Schneiderman said the 2008 loss was “a problem of their own making” and urged the council to scrap the One Barnet or easyCouncil scheme.

He added: “This is the first time that the Barnet Tories are admitting the loss of millions of pounds in Iceland is a real problem for their budget.

“The fact is Barnet would be in much better shape if it wasn't for the incompetence of the local Tories.

“The Tories have spent all the money in the parking account, wasted money on consultants and the easyCouncil mass privatisation programme and failed to claim grants on time.”

Barnet Unison secretary John Burgess said the letter revealed the scale of the problem, with 340 council staff facing redundancies to help balance the budget.

He said: “It's just incredible. I will go down with Lynne Hillan to Eric Pickles' office to get more money. I'm happy to go with all the councillors who have been told they have to make cuts.

“Everyone says they don't want to do it, well let's protest. We live in a democracy and we can question decisions and ask for more money.

“If they are truly local politicians concerned with the lack of funding they should be fighting with the people for more cash.”