Labour city council leaders were told they should be ashamed of themselves for reducing grants to some voluntary organisations.
A new funding package was agreed by Brighton and Hove policy committee after an hour-long debate last night.
Cabinet councillor Don Turner told critics: "We are funding more organisations than ever before."
The grants approved total more than £2.5 million. They did not show an overall reduction but were only a third of what was requested by more than 100 groups.
Some of the affected organisations claimed they were in deep trouble as a result of the changes.
The Citizens' Advice Bureau said it might have to close its Hove office.
Coun Turner said it still received the largest grant from the council and added: "That decision is up to them."
He said some tough decisions had been made but the council had examined each application carefully, using a new points system.
Tory opposition leader Brian Oxley said the cuts to some organisations were shortsighted and added: "They actually save the council money."
Conservative councillor Vanessa Brown deplored cuts to youth organisations while Coun Peter Lewis was upset at the loss of cash to Football in the Community, backed by the Albion.
Tory councillor Jenny Langston told Labour: "You should be ashamed of yourselves."
Coun Geoffrey Theobald said there had been cuts to organisations that provided vital care in the community.
Liberal Democrat group leader Paul Elgood said the council should look again at the way in which it had made the grants and added: "There is no way in which we can go along with this."
But council leader Ken Bodfish said many opposition councillors were being irresponsible in putting forward prejudiced positions rather than looking at the wider picture.
He said: "There are always going to be more people wanting money than getting it. We have made a rational assessment."
Coun Bodfish added that many organisations in the city received large sums from a number of other funding bodies.
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