Ealing Council leader Jason Stacey is proposing to give every household in the borough £50 in a bid to boost the local economy.

The Tory councillor said the borough has healthy reserves and he wants to share the money - about £6 million - with 122,000 households.

If the scheme is approved the money could be given out by December 1 and it is hoped it will be spent locally around Christmas time.

Cllr Stacey, said: "We know how hard the recession has hit local people which is why I am proposing the country’s biggest ever council cash back scheme to help them during the credit crunch.

“Ealing Council has built up strong reserves to see us through these difficult economic times. But, it is also important to remember that this money belongs to local people so it is only right that we give back some money during the recession.

"The cash back scheme will be accompanied by a campaign to encourage residents to shop locally so that this £6million plus cash injection should also benefit our retailers."

The cash back scheme will only be given to people who have fully paid their Ealing council tax and those who owe council tax will have £50 credited against their bill.

If the scheme is approved at the next council meeting, residents will be given more information.