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The controversial Mayor of Tower Hamlets has given up use of his chauffeur-driven Mercedes in what was today branded a "cynical" election tactic.

Lutfur Rahman, who has been the deprived east London borough's Independent Mayor since 2010, has made use of the luxury vehicle for almost three years, at a cost of £72 per day to taxpayers.

But with the cash-strapped council due to hold local elections in May, Mr Rahman announced he will no longer be travelling in the car - saying the decision is in the interests of "transparency".

Campaign director of pressure group the Taxpayers' Alliance, Robert Oxley, said: "This is a cynical move from Lutfur Rahman who should have scrapped his chauffeur-driven car long ago.

"The Mayor has consistently and shamelessly wasted taxpayers’ money on the trappings of power – this token gesture is nowhere near enough."

His use of the luxury vehicle – which has a starting price of £30,000 – was first revealed in July 2011. At a cost of £360 per week to hire, the total amount spent on the Mercedes as the council seeks £100million savings would seem to exceed £90,000, although the Mayor’s office does not accept this figure.

A Dispatches programme filmed for Channel 4 last year showed Mr Rahman using the car to drop off washing at his home and taking driving him on a short journey to visit the East London Mosque in Whitechapel.

Mr Rahman, an Independent who was deselected by the Labour Party in 2010 over allegations of ties with the controversial Islamic Forum of Europe, made the announcement after Labour opposition candidate John Biggs said he would do away with the car if elected in May.

"In order to ensure that the highest standards of probity and transparency are maintained, I will no longer be making use of the official car," said Mr Rahman.

A spokesman for his office later added: “Other London councils use far more costly vehicles than this one. This is simply mock outrage from the opposition, many of whom made use of official cars when they were in office."