�Labour-run councils, such as Hackney and Islington, are facing the brunt of town hall cuts under the Conservative-Lib Dem coalition, according to research carried out by Newcastle City Council.

Councils in deprived areas – which are predominantly Labour-run – have seen their budgets slashed by almost 10 times more than their Tory peers, the figures suggest.

According to the research, Hackney Council has taken the worst hit in the country – losing �261.49 per head between 2010 and 2013 during the comprehensive spending review.

Mayor of Hackney Jules Pipe said: “Hackney has suffered the largest spending reduction per household in the UK.

Need

“Deprived areas have traditionally received larger government subsidies, but that has been to help them meet the high levels of need in their communities.

“Hackney’s sound financial management over many years means that we have so far been able to largely protect services from the impact of government cuts, although there have been job losses and it has certainly placed a strain on the way the council operates, including by the minimising of management across the organisation. We will continue focusing on our priorities; supporting the most vulnerable residents, and ensuring that the borough remains clean and safe.”

Islington Council, which was 10th worst in terms of cuts, has seen its budget slashed by �190.97 per head.

Leader of Islington Council Cllr Catherine West said: “The research confirms what we already know. Unfair Tory cuts are targeting deprived areas like Islington, at the same time as millionaires are getting tax cuts. It’s shameful that those who have the least are suffering the most and makes a mockery of the suggestion ‘we’re all in this together’.

“Here in Islington, we’re on the side of our community and working to create a fairer borough – building more social housing, paying the living wage and introducing bursaries to help young people stay on in education.”

According to the research, 43 out of 50 of the worst-hit councils were Labour-run and 42 out of 50 of the least- hit councils were Conservative-run. The least hit council was Tory-run North Dorset, which only lost �2.70 per head.

Conservative local government minister Brandon Lewis said: “Funding is distributed in a fair and sustainable way across all parts of the country. Given that councils account for a quarter of all public spending, it is vital they continue to play their part in tackling Labour’s budget deficit by making sensible savings through better procurement, greater transparency and sharing back offices.”