George Fardell (right) was also ordered to pay costs

George Fardell said East Devon District Council accepted full and final payment by cashing a cheque he made for 75% of his tax demand.

But Honiton magistrates said the full and final payment argument was simply not acceptable.

Mr Fardell, 71, from Lympstone, was ordered to pay £330 outstanding and £30 costs.

'Sympathetic hearing'

Magistrates chairman, General Sir John Waters, said the only redress would be "via the democratic process".

Albert Venison of the Devon Pensioners' Action Forum said: "If we had been victorious it would have been a test case for all over the country. Quite frankly, we didn't expect to win.

"We got a sympathetic hearing, we made a point and we'll keep making points, and we'll find other reasons to come to court."

Protesters who gathered to support Mr Fardell made a collection to cover the £30 costs, which he politely refused.

Mr Fardell, who had said he was taking on the "robber barons" of the council, said: "The law is the law is the law. It says something and that's it. You have to stick to it.