Scarborough Council today voted to increase its share of the council tax by 2.31%, the equivalent of £5 for a Band D property, in its budget for 2017/18.
It is the maximum increase allowed without having to hold a referendum and is the second year running the authority has raised its share of the precept.
Last month, North Yorkshire County Council voted to approve an increase in general council tax from April by 1.99% along with a 2% social care precept.
The council’s financial strategy is based on a similar 3.99% increase each year up to 2020 in order to prioritise frontline services.
The cost to the average band D household will be an additional £45.64 per year (£3.80 per month or 88p per week).
The Government has offered councils the chance to front-load this year and next by increasing the social care precept by 3% in each of the next two years.
The borough council makes up 13% of the precept, compared to almost 70% for the county council.
North Yorkshire's Police and Fire services are also likely to increase their share of the precept this year.