Demonstrators stormed the council chamber as Leeds city councillors met to thrash out a £90m cuts programme.
Dozens of protesters waving placards and chanting forced the meeting at Leeds Civic Hall to be delayed by 90 minutes.
The council's savings proposals include the cutting of 3,000 jobs as well as closing day care facilities, leisure centres and a homeless centre.
Police were called to clear the protesters from the building.
A police spokesman said: "Officers dispersed people who were in the chamber. It all passed peacefully."
The budget proposals were approved after councillors at the Labour-run authority reconvened.
Labour councillor Richard Lewis said: "The councillors were scattered to different rooms. The police removed the protesters and after 90 minutes we met again and approved the budget."