The leader of South Norfolk Council believed a slimmed down bureaucracy and an aggressive policy of growing income had led to his authority having the 11th best spending power in the country in the local government settlement.

John Fuller said the council had also received a �700,000 New Homes Bonus, �200,000 more than anticipated in the council's budgeting, for the number of new house builds approved by the authority, which balanced out reductions in the government's revenue support grant for 2013/14, which were �200,000 more than expected.

Overall, the council's spending power for 2013/14 has increased by 2.5pc, while in 2014/15 spending power is also expected to rise by 0.4pc.

Mr Fuller added investment in leisure centres and the introduction of a brown recycling bin had helped to swell the annual income to �1.6m more than was expected.

He said the council had been planning for cutbacks in the government grant for the last three years and pledged to freeze council tax for the fifth time in six years, as well as providing investment for jobs.

'We anticipate no cuts at all in services next year,' Mr Fuller said.