Harlow Council's budget for 2006/07 reflects residents' priorities and will lead to one of the lowest council tax increases in the country, said local Liberal Democrat leader Cllr Chris Millington.

"We wanted to keep the increase in council tax as low as possible. We're very pleased that we've been able to keep Harlow's portion of the council tax to a rise of just 2.9%. At 12p a week for a Band D household, that's one of the lowest council tax increases in the country.

The major programme of playground improvements begun under the Liberal Democrats will continue. The popular new 'clear-up' programme on estates and shopping hatches will be repeated. There's money for more litter and dog waste bins too. And we're adding an extra member of staff to the anti-social behaviour team.

We've managed to achieve this by using tax-payers' money more efficiently, and without cutting front-line services. In particular, hard work by Liberal Democrats has ensured that pensioners will still be able to travel throughout Essex and to Stortford on their new free bus pass - a better deal than the one offered by the Government. And instead of costing more money, the new bus pass will actually save local taxpayers £300,000 this year.

This is all very different from the 'Shambolic!' headlines we all remember the council used to attract five years ago. We've set the budget carefully to make sure it's one we can afford next year and the year after. In the 1980s and 1990s Harlow Council lurched from crisis to crisis; now, under Liberal Democrat influence, that's a thing of the past."

Harlow's portion of the council tax will increase by 2.9%, compared to an increase of 4.6% in the portion set by Tory-controlled Essex County Council.

Harlow Council Conservatives chose not to join the other two groups to work together on a budget for this year, having been invited as early as last September. They also chose not to put their budget proposals to the council's Policy & Resources Committee, where they could be properly considered; nor to circulate them before the budget-setting meeting.

The Conservatives proposed a council tax increase of £5.62 a year at Band D - only 86p a year less than that proposed by the council's joint administration - while promising small amounts of extra spending. While the Conservative 'alternative budget' added up for 2006/07, however, it would require £177,000 of cuts to services, or raising council tax by an extra 3% - on top of any normal increase - in 2007/08 to balance their books.

At the budget-setting meeting, Harlow Conservative leader Cllr Andrew Johnson described the Lib Dem - Labour budget as "a good budget - more than that, it's a very good budget", before he and his group voted against it.