Council tax has been increased by 4.75%, fixing the band D rate at £1,486.43.

Almost three quarters (72%) of households in Dundee are in Bands A, B or C so will pay less than this. Council tax provides around 18% of the council’s income.

The largest proportion of the £443m revenue budget (48%) is spent on Children and Families services, with the Dundee Health and Social Care Partnership allocated 23%, 6% going to Neighbourhood Services and 4% of the total to City Development.

Willie Sawers, depute convener of the policy and resources committee and finance spokesperson said: “While it is clear that every year presents difficulties for the council in setting a budget, this year has been particularly challenging as we are mindful of the cost of living crisis, not just on the council’s finances, but on those of the people of Dundee.

“Setting the council tax increase at 4.75% this year balances the exceptional pressures that are being faced by both public and household finances.

“We have sought to strike a delicate balance while supporting the most vulnerable members of our communities.

“This budget sees investment of £1.5m in tackling poverty and social inequality, such as funding all foodbanks and larders for the next year with £500,000 of funding; £405,000 to tackle social inequality; £300,000 for support for young people and communities; £200,000 for community environmental improvements and £100,000 to support economic development in the city.

“In the last 15 years the council tax in Dundee has only been put up six times and this increase is a measured response to the significant and challenging economic impact we are all dealing with.

“This budget means that we will be able to continue to deliver the city’s priorities as well as develop and further enhance our services.

“This year’s budget will provide additional funding of £19.5m to support the work of the children and families service, while at the same time investing an extra £6.6m in improving health and social care.

“Hard pressed families will also be relieved to hear that we have been able to keep school meals charges at the same level as they are this financial year, meaning there will be no increase for 2023/24.

“Dundee’s reputation as a well-run, high performing, award winning and ambitious local authority that delivers best value for our communities remains intact.”