East Lindsey District Council is planning to increase its portion of the council tax bill charged to households by 1.95 per cent – just under 20p – per month for those living in a Band D property.
The executive board approved the draft budget for the 2015-16 financial year.
The county council, police and parish council elements will be added to the figure to get a final council tax bill.
The local government finance settlement figures show that East Lindsey District Council's primary funding will be reduced by around £1.9m, which is 32 per cent.
The council will have to make significant savings in its budget for 2015/16 in addition to the savings already made in recent years.
