Vale of Glamorgan Council is set to receive more funding from the Welsh Government next year.
On Tuesday, ministers confirmed they had struck a £300 million deal with Plaid Cymru to get their spending plans for next year passed in the Senedd.
The agreement includes an extra £112.8 million for local government - with all 22 Welsh councils receiving an average increase of 4.5% as part of their annual funding settlement.
Reacting to Tuesday's announcement, council leader Lis Burnett told Bro Radio News: "The council is aware of (the) Welsh Government's announcement regarding its budget for the next financial year and is waiting for further details of what it means for the Vale."
"At first glance, it seems a far more positive position than the initial announcement and we are pleased that the value and impact of local government has been recognised."
"However, the financial situation remains challenging. We will continue to work through the details and the pressures on finances before proposing a final budget for consultation."
The extra funding has been welcomed by the Welsh Local Government Association (WLGA), who said last month's initial settlement did not come close to matching "unprecedented financial pressures" facing councils.
WLGA leader Cllr Andrew Morgan, who also leads Rhondda Cynon Taf council, said: "This is a very welcome improvement on the original draft settlement."
"The additional £112.8m for local government announced as part of the wider budget agreement is particularly welcome and strengthens the position further...the uplift to an average 4.5% increase provides a much stronger starting point for councils as we plan for next year."
"The pressures in social care, homelessness and education remain extremely challenging, but today’s updated figures will make a meaningful difference and give councils greater confidence to protect essential services."
"We will now work through the detail and continue constructive discussions during the consultation period. This is a positive step forward and will be widely welcomed across Welsh local government."
Plaid Cyrmu said it would note vote for the final budget but will abstain to allow it to pass in the Senedd on January 20th - with their leader, Rhun ap Iorwerth insisting it remains "Labour's budget to own".
He said: "Labour's draft budget would have led to sky-high council tax, unprecedented job losses in our public sector, and a historically low settlement for the NHS."
"We asked for two things - to protect public services and prevent unaffordable council tax rises, and to correct the inadequate NHS settlement caused by Labour's rollover budget. We have secured both."
But Welsh Conservative leader Darren Millar described the budget deal as "another Labour-Plaid stitch-up", having held its own talks with ministers in the past few weeks.
He said: "The Welsh Conservatives reached out in good faith to offer a bold agenda to cut tax and cut wasteful spending in order to get the Welsh economy moving again, but the First Minister was clearly playing games."
"Labour and Plaid's deal will mean yet more of the same wasteful spending on extra politicians, overseas embassies and trees, instead of focusing resources on the priorities of the people of Wales, and putting more cash into people's pockets."
A Reform UK spokesperson said the deal was "more evidence that a vote for Plaid next year is a vote for Labour. While Labour find themselves without a paddle, Plaid have stepped in yet again to save them."
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