CITY councillors have defended setting an inflation-busting 33 per cent rise in their council tax demand for the second time in five years.

Ripon City Council's leaders said they felt uncomfortable about setting the huge increase while residents faced other rising costs and council tax demand rises from all the other authorities.

It is understood the only councillor to voice opposition to the increase was former mayor Andrew Williams, who was deposed as the council's finance chairman last year over his conviction for pocketing £220 of the authority's ice cream takings at a Queen's Diamond Jubilee event.

Members said after being faced with increasing demand from key organisations seeking financial support and dwindling Government funding, they had little alternative but to set a significant rise, while they also wanted to fund a series of improvements in the city.

Councillors have remained tight-lipped about what the projects could be.

Councillors in neighbouring areas said they were shocked when the city council set a 33 per cent rise in 2012, to employ a city manager and launch a marketing drive.

While other authorities in the area, including North Yorkshire County Council, are set use their reserves and limit precept rises to avoid triggering a costly referendum, as the city council is classed as a parish authority, it is free to set its own tax demand.

The move, which was sanctioned by a cross-party group of councillors, followed the authority being warned against dipping into its reserves - which are thought to be about £190,000, by the Local Government Association, to ensure the authority's financial viablity.

The decision was announced in a council press release which did not mention the percentage rise.

The extra tax, which will see Band D taxpayers pay 22p more a week to the council from April, will fund its running costs and make £12,000 available for a small grant scheme, £15,000 to work with partnership organisations to deliver services and £15,000 to develop the city.

Independent councillor Pauline McHardy, Mayor of Ripon, said: "One of the roles of the council is to work with other organisations that are trying to do good things for this city and we simply have not been able to financially support them over the last few years."

Conservative group leader Councillor Stuart Martin added it was hoped the extra money would attract resources from grants and other organisations to deliver projects, including ones to attract more visitors to the city.

He said: "Whichever way you look at it, it's a massive increase, but we have never been able to be on the front foot with helping organisations."