Council tax bills in Cornwall are to rise by 1.97% next year as the authority struggles to meet a savings target of £24 million.
After an impassioned debate at County Hall in Truro yesterday, members approved the budget which will result in bills for band D households rising by £24.51 to £1,268.92 for 2014/15.
Cornwall Council faces making £24 million in additional savings next year after deep cuts in its budget from Government. By 2018/19 it expects to see its budget reduced by a total of £172 million – on top of the £170 million it has saved since 2010.
Recommending the budget proposals to members, council leader John Pollard said they had spent recent months trying to explain "the enormity of the situation" to the public, and others, but had failed.
"I don't believe many people understand what saving £172 million would look like in terms of staffing, services and the ability to build a better Cornwall," he said, adding the scale was "difficult to comprehend".
He said the 1.97% proposal was "the only way forward" and that the council had to raise its income year on year or "face an even greater shortfall".
Mr Pollard warned the process of what "can and can't be delivered" in future started now.
Councillor Alex Folkes, cabinet member for finance and resources, said it was a "balanced" budget that recognised "the needs of the most vulnerable" along with "recognising that life is pretty tough for most families at the moment".
Deferring a decision until February, when budgets have traditionally been set, risked not being able to deliver more than £7 million of savings, he warned.
Independent group leader Neil Burden, who supported the budget proposals, said local authorities were "friendless" in Whitehall and among local MPs.
He also questioned whether it was a "prime objective" of the coalition Government to "get rid of local government altogether".
He warned: "If we are not careful it will all collapse."
Mr Burden said: "It is a sorry tale. No matter how we move the chairs around, we can't make it better. The Government settlement is reducing year on year and the reality on the ground is very painful."
Labour councillor Hanna Toms warned the budget would deliver "shameful cuts to frontline services" and that "people in Cornwall will suffer as a result".
Councillor Fiona Ferguson, leader of the Conservatives, refused to back the budget, saying to do so would lend "credibility" to a financial plan that was "not fit for purpose".
She said they recognised "there are tough decisions to be made here", but said accepting grant money from Government in exchange for a freeze on bills would deliver £5 million over two years.
She told the meeting: "I believe this administration is like a person with a credit card that is running away from it and not taking decisive action."
She added: "We are not looking at pay of officers or offices, which is a terrible situation to be in given what we are here for."
The budget was approved by 77 votes to 33 after a debate which lasted some two hours. Overall, the council's budget will shrink from £529 million to £505 million, despite raising an added £6.5 million via the council tax hike.
