The mayor of London has set out plans for a small increase in his council tax precept next year.

Ken Livingstone announced a draft budget for his Greater London Authority for 2008/09 of £3.14bn, a marginal expansion on the current year in order to pay for an increase in police numbers and fire services in the capital.

The budget, which will be sent to stakeholders for a month-long consultation on Thursday, would require an increase in the precept of 2.4 per cent to £311.25 per year for a band D property, up 14 pence per week on this year.

Livingstone, who faces re-election next year, said the tight settlement had been possible due to £272m of efficiency savings at City Hall.

"I am very pleased that I have been able to maintain and enhance my programme of investment in London's key public services, while keeping the council tax increase to well under inflation," he said.

"This increase will allow police numbers to increase again in 2008 and further investment in London's fire services.

"Continued investment in more police on London's street will keep up the downward pressure on crime which is now at an eight-year low having fallen for four years in a row by a total of 15 per cent."

However London Assembly Conservative budget spokesman Brian Coleman said the 2.4 per cent increase was above the government's preferred CPI measure of inflation.

"This is a further increase to a precept that has grown by 153 per cent, or £188, since the GLA was formed in 2000," he said

"Now the mayor is trying to tell Londoners that this budget represents a below-inflation increase. It does not. In fact a 2.4 per cent increase is above the official inflation rate of 2.1 per cent. This is an above-inflation increase.

"Not only is Ken Livingstone taking more of Londoners' money – his being dishonest about how much it's going to cost them too."