Bradford has the lowest council tax collection rate in West Yorkshire with millions of pounds outstanding, new figures have revealed.

The news comes days after the Council announced it intends to shed more than 400 jobs in an attempt to save more than £13 million by next April.

The Government figures show, that while many UK local authorities have increased their collection rate, Bradford's performance has worsened.

In 2005/06, the authority collected 95.2 per cent of council tax, compared with 91.8 per cent at the end of March this year for the financial year 2006/07.

But the collection rate for business rates increased from 97.9 to 98 per cent of the total possible debt.

A Bradford Council spokesman said, while there was disappointment with the "short-term" drop in performance, it was expected due to new computer software which combined benefits and council tax.

The spokesman said: "Action has already been taken to improve performance in the current year, and this has already proved successful. Council Tax collections are already 0.75 per cent up on last year's performance.

"Our motto of not being a soft touch' continues. This year alone we have issued 48,700 reminder notices and 19,600 court documents against those who have not paid and have already collected more than £1.5m of last year's arrears."

But Labour group deputy leader David Green condemned the failure to claw back more than eight per cent of council tax at a time when jobs are under threat.

He said: "The Council will cover its back and say it is because of the new system. The situation is appalling and so was the implementation.

"We have people not receiving the correct sick pay and P60s and now we have a situation where we are not collecting council tax.

"Clearly, there will be more money spent on chasing people to pay the council tax. It will be a vicious circle."

Liberal Democrat leader Jeanette Sunderland defended the shortfall and insisted money would be clawed back.

She said: "It was a dip in collecting money because of the computer system.

"But it will be collected and we have already collected £1.5 million of it this year and it does not impose on the Council's budget as that assumes council tax will be collected as usual in full."

It is expected that a question regarding the new computer system - blamed for the shortfall in collection will be raised at a meeting of the Council next Tuesday.

The Council employs 21,000 staff and the 408 losses are intended to come from 10,000 posts which do not affect schools.

A final decision on which jobs will go will be made at the end of a 90-day consultation with unions and staff.

Wakefield also saw a fall in the amount of cash collected from 93.8 per cent to 93.2 per cent of all council tax bills.

But Calderdale increased collection from 96.2 to 96.4 per cent, Kirklees 96.5 to 96.6 per cent and Leeds 96.3 to 96.4 per cent.

Kirklees was the only authority in West Yorkshire to fail to increase its collection rate for business rates.

Nationally, 96.9 per cent of the £19.6bn collectable was recovered and ministers say there has been a continual increase year-on-year for seven years.

Collection rates for business rates averaged 98.7 per cent in 2006/07, an improvement of 0.3 per cent compared to the previous year.