THE former head of Swindon Council's finances believes a backwards move is the only way forward for the local taxation system.

Keith Lawrence, who was an audit and financial officer with councils for 31 years, thinks if business rates were kept locally, Swindon would be £30 million better off a year.

And North Swindon MP Michael Wills agrees.

Currently, business rates collected by the council are sent to Central Government which returns a proportion based on various calculations.

Mr Wills also revealed a new system lobbied for by him is to be announced by the Deputy Prime Minister, John Prescott, which will ease the burden on Swindon taxpayers.

"I agree the current system is unfair," said Mr Wills.

"Entrepreneurial councils 30 years ago, such as Swin-don's, went out to attract inward investment with taxpayers' money.

"But, instead of Swindon benefiting, the rewards have gone elsewhere. Now the Government intends councils to have a greater share in the future of any new investment."

Currently, Swindon Council collects £80 million in rates from firms but receives only £50 million of it back.The extra £30 million would solve most of Swindon Council's problems, eliminating the need for any increase in tax levels.

"The pressure would be off Social Services and day centres wouldn't have to close," claimed Mr Lawrence.

Swindon Council leader Coun Mike Bawden (Con, Old Town and Lawns) says he does not think the old system will ever be re-introduced.

"If we went back to the system of councils keeping everything they collected from businesses, the Government would re-adjust their allocation to us and we'd find ourselves in the same position we're in now," he said.