"I think it's a very new situation for most municipalities and regions. This rate of cost increase that we're seeing now hasn't been since the '90s. It is a very uncertain situation, says Emilie Orring (M), who is the chairman of the regional board.

One of the items that drags on is pensions, partly because old pensions increase with inflation and partly because of a new pension agreement.

"Inflation must be down"

But there is no question of raising taxes.

"We don't see that a tax increase would help us curb inflation," says Emilie Orring (M).

She agrees with the Chancellor of the Exchequer that inflation must be down.

"But it still won't be enough. If inflation is not dampened, either state subsidies or a changed regulatory framework are needed, says Emilie Orring (M).