The budget of Stoke-on-Trent City Council will be in the black next year, elected mayor Mark Meredith has said.
The council has made £13m of savings
The council has in the past year made hundreds of staff redundant, saved £13m and imposed a council tax increase of about 5%.
Mr Meredith said the moves had wiped out a £20m debt.
The Labour politician said the savings meant that the authority would be in a good position going into the next financial year.
"By the end of this financial year, we will not have an overspend, in fact we will have a small surplus as a result of those efficiencies, which is what I think the council tax payers deserve and expect," he added.