Council tax payers in England and Wales are facing an average 4.2% hike in their bills this year, a survey has revealed.
The average levy on a Band D property will go up by £53 to £1,302 in 2007-08, the Chartered Institute of Public Finance and Accountancy (CIPFA) found in a study based on preliminary figures.
Although this increase is higher than the current inflation rate - 2.7%, according to the consumer prices index - it represents the second lowest annual rise since 1994-5.
CIPFA said the rise would have been higher had it not been for additional Government grants and the threat of budget "capping" for councils that set increases of more than 5%.
The survey, carried out on behalf of BBC Radio 4's Today programme, found the average increase was lowest in London and other metropolitan areas (3.7%) and highest in Wales (4.7%).
Responses have not yet been received from all local authorities, but CIPFA predicts the final figure will not change significantly.
Steve Freer, CIPFA's chief executive, said: "This will be regarded as a very positive result in Whitehall and in town halls up and down the country.
"The second lowest annual increase in council taxes for 13 years is a significant achievement.
"There is little doubt that the threat of capping if tax increases exceed 5% has concentrated minds.
"Councils simply do not want to set a collision course with Government with all of the uncertainty and risk which that involves."
