Council tax bills in Harrogate are to be frozen for a fifth year.
Tory-led Harrogate Borough Council said its budget would also ensure the authority would be able to operate without having to make any service cuts.
Coun Jim Clark, cabinet member for finance, said: “We have produced a sound, balanced budget with no cuts in service, and without having to pass on a rise in council tax to our residents.
“We are slowly recovering from the economic downturn of the last few years, and will still face austerity in the future, but the council is in a strong position to deal with the challenges which lie ahead.
“We will continue to review our services and will look at how we might be able to make further improvements, whilst cutting costs.
“For instance, the introduction of the alternate weekly wheeled bin/recycling service, has had a significant impact.
“This is benefiting the environment through increased recycling, while also helped the council achieve savings of over £724,000 per year.”
The freeze applies to the borough council’s element of bills. North Yorkshire County Council, which is also Conservative-run, has said cash on offer from the Government for freezing council tax bills is not enough to meet financial challenges it faces and this year will put up tax for the first time since 2011.