Bolsover District Council has increased council tax by 2.99 per cent for 2018-19.
Councillors met on Wednesday and agreed the rise, which works out as a £4.97 increase for Band D households, equating to 9.5p per week.
A council spokesman said: "With a budget requirement of £12.285million for next year, the extra £106,710 raised from this increase will help the council continue to deliver good quality and efficient services such as leisure, waste and recycling and business growth and develop its partnership working to get best value from its services.
"The council has managed reductions in Government grants since 2010 and needs to find a funding shortfall of £1.183m up until 2022."
Speaking of the council tax rise, Councillor Ann Syrett, leader of Labour-led Bolsover District Council, said: "The decision has not been taken lightly and we have had some lengthy debates about it.
"Tough decisions have got to be made but we have financial plans in place that show we are planning for the future, that we are a responsible council and that we will continue to do our best to protect jobs and services.
"Since the austerity measures were introduced, we have taken a proactive and well-managed approach of investing in our services to maximise income.
"Our Go! Active leisure facility, B@Home council house building programme and extension to the Tangent Business Hub are just three prime examples of where we invest in schemes so we can reap the long-term benefits."
Where does your council tax go?
Bolsover District Council receives only 10 per cent council tax paid by residents.
The remaining 90 per cent is distributed to Derbyshire County Council, Derbyshire Constabulary, Derbyshire Fire and Rescue Service and town and parish councils.