COUNCIL tax in Darlington will rise by nearly five per cent this year.
However, council officials have defended the "inflation-busting increase" saying the electorate will receive value for money.
Chief executive Ada Burns said council tax will remain the lowest in the region while the council has been given the highest ranking for a local authority.
The 4.5 per cent rise is included in a list of proposals for the council's forthcoming budget in a medium-term financial plan.
Ms Burns said the council was guided by consultation exercises carried out with the public when making its decision about where money should be spent.
The council has said there will be no reduction in services and there will be major investment in several areas.
She said: "The average increase is 69p per week which is less than a loaf of bread. It's a hard balancing act, but we're very mindful of the public's views. Nobody wants to contribute to an increase," she added. We think we've got the right balance between increasing tax and improving services."
The council plans to make efficiency savings of £3m and has promised significant investment in several areas highlighted by the consultations.
These include young people's services, the street scene and the concessionary travel schemes.
There are also plans to invest in several capital projects including refurbishment of the Dolphin Centre and the Arts Centre, further investment in CCTV, as well as £43m on schools and the £6m Pedestrian Heart scheme.
However, the tax increase has been attacked by leader of the opposition, Conservative councillor Tony Richmond.
Mr Richmond said: "This is twice the rate of inflation.
"For many, many years now, the council has had inflation-busting council tax increases
"It's reasonable for the council tax payer to say 'when is this going to end?'
"We have 20,000 pensioners, many of them existing on a fixed income and as a proportion of their income, the council tax is quite a significant proportion."
The proposed budget will be voted on by the cabinet and will later be discussed by the scrutiny committees before going to the full council at the beginning of March.
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