A council is set to increase its tax by almost five per cent - the maximum allowed before a local referendum - because of an 'outdated and broken' funding formula.
Cambridgeshire County Council has proposed that Council Tax bills go up by 2.99 per cent and its Adult Social Care precept increase by two per cent, jointly adding almost £60 a year onto a Band D property.
If proposals are agreed by the full council in February, Cambridgeshire residents will have to give the county council an extra £1.14 a week on average.
Council leader Cllr Steve Count said: "At present we receive £75 million less in Government funding than an average London Borough and £13.7 million less than an average County Council. We are the third lowest funded County Council in the country.
"If the outdated and broken funding formula had been rectified by now of if transitional funding was appropriately maintained, we would not need to consider whether to increase Council Tax in Cambridgeshire."
Cllr Count said that despite the tax hike the council will still have a £4.3 million budget deficit next financial year.
"We recognise that for some this increase will be difficult and unwelcome news; we are ready to support residents who may need help to ensure they are recieving any financial support that may be available to them," said Cllr Count.