Cash-strapped Oxford City Council today set a council tax increase of 9.5 per cent.

At a strategy and resources committee at the town hall, the ruling administration of Liberal Democrat and Green councillors agreed the increase.

Labour councillors opposed such a large increase and will put forward their own budget next week.

With a council tax rise of 9.5 per cent, someone living in a Band D property will pay £180.51, a rise from £164.85 last year.

This will be added to the amount set by the county council, parish councils and the Thames Valley Police Authority.

Last week, Liberal Democrat and Green councillors agreed £1.7m worth of cuts, including 30 job losses, mainly in the leisure services department.

The 9.5 per cent increase is up on last year's four per cent increase.