TAX bills for homes across Babergh are set to go up by about 2.5 per cent after the district finally agreed its budget for the next financial year.At one stage it looked as if the budget might be thrown out after councillors from Hadleigh and Sudbury voted against it because of of proposals to introduce fees for long-stay car parking in those towns.

TAX bills for homes across Babergh are set to go up by about 2.5 per cent after the district finally agreed its budget for the next financial year.

At one stage it looked as if the budget might be thrown out after councillors from Hadleigh and Sudbury voted against it because of of proposals to introduce fees for long-stay car parking in those towns.

The move, which will see motorists staying over three hours having to pay �1.50, has caused major concern and led to nine members of the council voting against the proposal.

Sudbury councillor Peter Beer said: “We were not elected to this council to introduce car parking charges in our market towns. Today the proposal is to introduce charges in Sudbury and Hadleigh, but we know Lavenham will be next.”

A total of 25 councillors voted in favour of the budget which will see council tax bills for people living in a Band B home in Babergh going up to �1,188.97, and for those living in Pinewood going up to �1,173.22 a year.

Ipswich council was due to set its council tax rate for the next year tonight - and is expected to put bills up by just under 2.4pc.