Bosses have been warned by the head of the Local Government Association (LGA) that they risk alienating the public for so-called snooping.

They may also be stripped of the right to use spying methods.

But Sir Simon Milton defended councils that used surveillance to tackle fly tippers, rogue traders and tax and benefit fraudsters.

There has been growing anger about the methods used by councils to probe minor crimes, such as dog fouling.

The powers were introduced under the Regulation of Investigatory Powers Act as part of the Government's anti-terror drive but it is claimed some councils are abusing the powers.

 Source : Sky News

"Parliament clearly intended that councils should use the new powers, and generally they are being used to respond to residents' complaints about fly tippers, rogue traders and those defrauding the council tax or housing benefit system," he wrote.

Figures released by councils under the Freedom of Information Act show that the telephone and email records of thousands of people have been accessed under the Act.

A sample of less than 10% of councils disclosed using spying techniques 1,343 times.

Sky's political correspondent Niall Paterson said: "If councils continue to use their powers in this fashion they'll soon find them being withdrawn - especially given the focus of late on our 'surveillance society'.

"It certainly lends weight to David Davis' by-election campaign against the abrogation of our privacy, even if there's no one of any real importance to campaign against in Haltemprice and Howden."