A council in Suffolk managed to spend £2m less than budgeted for over the past year, it has revealed.
Ipswich Borough Council had planned to spend £24.7 million in 2009/10 but saw efficiency savings and increased income during that time.
Income from the council-owned Regent Theatre increased by almost £150,000.
The new operating regime at the Corn Exchange and a management restructure in the Council's cultural services operation has saved another £158,000.
A spokesman for the council, which is run by a Conservative/Liberal Democrat coalition, said housing management costs had been cut and refuse and recycling collection costs had fallen.
The Council's deputy leader, John Carnall said: "We have put in place new monthly monitoring systems, moving budgets to meet priorities without spending more and achieving savings by cutting bureaucracy and making other efficiencies.
"The savings made in 2009/10 will put us in a stronger position to manage effectively the inevitable budget challenges that will follow spending cuts announcements by the Government in the months ahead."