Members have been told that the current financial outlook was ‘generally positive thanks to careful management’.
However, leaders said some ‘hard decisions’ may still needed to protect services and communities.
The council announced a budget of £1,039.046m, with the largest amounts set to be spent on adult services at £444.813m, children's social care at £193.647m and £163.016m on highways and transport.
An extra £1.8m was announced for a new Lancashire Investment Fund to help businesses and boost local employment.
A further £1m on top of the highways budget was also announced to help fix potholes.
The council said its scheme to help councillors support voluntary, community and faith groups across the county will be increased from £2,000 to £2,500 each to mark the coronation of King Charles III.
Council leader Phillippa Williamson said: ‘Looking back at the past year it is really great to see how much the council has achieved and helped improve the lives of people in Lancashire.
‘In fact there has been really good progress in so many areas, and I'm delighted to say that thanks to our careful financial management we will again be looking to continue our work to help Lancashire's residents and businesses thrive.’
