This was the news as East Lothian Council approved its spending plans for the next three years.
The services for communities budget, which includes planning, housing, roads and transport, waste services and property maintenance, fell by 2.25% to £30.048m.
Council tax bills will be frozen for a sixth consecutive year. The Band D council tax for 2013/14 will remain at £1,117.62.
Council Leader, Councillor Willie Innes said: "There is no doubt that the Council, in common with other public sector bodies, is facing some serious financial challenges, with the amount of funding available for services currently forecast to drop from £195.7m to around £191.4m over the next three years.
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"We're also entering a period of structural change, with national legislation impacting on the way we will deliver our services in the future - particularly the integration of Adult Health and Social Care, which will see the coming together of services currently delivered by Councils and the NHS.
"Despite these pressures, we remain determined to deliver the pledges set out in our Council Plan, placing a greater emphasis on local decision-making and looking at new ways of managing and delivering local services."
£1m is to be put towards supporting business, including new apprenticeships and training schemes.
£900,000 has been earmarked for town centre regeneration over the next two years.
The Council's Depute Leader, Councillor Michael Veitch commented: "The extremely challenging financial backdrop against which this budget has had to be formulated has necessitated a range of very difficult spending decisions. However we owe it to the people of East Lothian to ensure that the Council lives within its means - for that is the only way we can ensure that services are secured for the long term. I therefore welcome the raft of efficiencies outlined in this budget - which though undoubtedly challenging, are also undoubtedly necessary."
(IT)
