A Labour-controlled council has seen off an internal party rebellion to secure narrow approval for its budget.

The Glasgow City Council administration faced a backlash by councillors who have now been told they will not be standing again in the local authority elections in May.

Labour started today with 47 councillors, down from 48 at the beginning of the year because de-selected Irfan Rabbani defected to the SNP last month.

Several de-selected councillors indicated their decision to resign from the party today, while others expressed their disaffection by indicating they would vote the budget down.

However, the council budget passed with a narrow majority of 40 votes to 38 tonight.

Council leader Gordon Matheson, who now faces a fight for survival, said: "Despite enormous pressure on our spending, we remain committed to our key priorities which we share with the people of this city: education, jobs and targeted support for our most vulnerable citizens.

"And we are determined to build on the success we have had over the last five years, for the benefit of every community and every Glaswegian."

The Labour administration secured the backing of independent councillor Colin Deans, whose vote prevented a deadlock and ultimately saw the budget pass by a narrow majority.

Labour councillors Stephen Dornan, Tommy Morrison and Anne Marie Millar resigned from the party before the vote this evening, and ultimately voted for the SNP's alternative budget.

Three other Labour councillors also voted against the administration's budget: Ruth Black, William O'Rourke and Andy Muir.

The SNP budget also secured the backing of the council's six Liberal Democrats, five Greens and Conservative councillor David Meikle.

A Scottish Labour spokesman said: "Local Labour members in Glasgow took difficult decisions to deselect some sitting councillors in recent months, but being a Labour councillor is not a job for life.

"Labour will now take our case to the people: a case to secure jobs and investment for the city, a case that will be put forward by a new generation of Labour candidates proud of and passionate about Glasgow."

Labour MSP for Glasgow Provan Paul Martin said: "The sight of the SNP and Tories conspiring to push through cuts to city schools and parks is one that the people of Glasgow will remember for a very long time."

Glasgow East Labour MP Margaret Curran said: "The Tory-backed SNP budget would have hiked up parking charges, cut funding to carers and our city's schools. It was completely unacceptable package of political posturing, with no thought to the needs of the people."

SNP MSP James Dornan called on Mr Matheson to resign after securing the Labour victory by such a narrow margin.

He said: "Gordon Matheson has lost control of the Labour group and the last remaining shreds of his credibility as a leader. There is no confidence in his leadership and he must now resign.

He added: "Labour only managed to scrape their budget through after some very unpleasant bullying tactics against members of their own group.

"This is actually a historic day for Glasgow - this is the beginning of the end of Labour's years of mismanagement of our city. Labour have taken Glasgow for granted for too long."

See tomorrow's Herald for the best coverage of today's drama at the City Chambers