CAMBRIDGESHIRE County Council is set to increase spending on older people and children from April by diverting money away from other budgets and increasing charges. Faced with a real-terms reduction in central Government grant and growing numbers of older and younger people in need of council services, the council is set to hack chunks off its transport, environment, community learning, adult support services and planning and development budgets. Its cabinet is also likely to approve plans to increase charges to social services clients, when it meets on Friday. The budget will need the formal approval of the full council later in February. Council Tax - the county council's budget swallows three-quarters of what people pay - is almost certain to rise by a fraction less than five per cent, as district councils and the police and fire authorities plump for similar increases in the hope of avoiding capping. Only parish councils can levy whatever takes their fancy on taxpayers without risking Government intervention. The county's budget is set to increase from £292million in the current year to £315million before the ring-fenced schools budget of £295.5million is added on. The council put a brave face on trying to gloss over some quite savage cuts.