The SNP relied on its pro-independence allies to prevent its budget falling at the first hurdle.
Holyrood backed the government’s £30bn spending plans on Thursday after Finance Secretary Derek Mackay struck a last-minute deal with the Scottish Greens.
Patrick Harvie, the party’s co-convener, sided with the Scottish Government in exchange for an extra £160m for local authorities.
But he faced criticism from opposition parties for not extracting enough from Mr Mackay.
Mr Harvie described the deal as the “biggest budget concession in Holyrood’s history” as he lamented other MSPs for refusing to put Scotland’s interests ahead of their party.
“We remain critical of many elements of this budget, and in particular it is clear that the SNP’s timid position on tax policy cannot last,” he said.
“But the substantial shift from Scottish ministers on local council funding must be welcomed, and merits our support.”
The deal will see councils receive an extra £160m compared to what was initially promised under Mr Mackay’s draft budget for 2017/18.
That includes £130m from central reserves, as well as nearly £30m from freezing the income tax threshold for higher ratepayers.
Referring to figures sourced from the Scottish Parliament Information Service, Scottish Labour said local government still faces a £169m cut.
Kezia Dugdale, the Scottish Labour leader, said the Greens have “settled to be the fig leaf the Nationalists so desperately want and desperately need”.
“The tax changes announced today constitute £29million of new money,” she added.
“That’s one tenth of the money we need to stop the cuts, and it’s one thirtieth of the amount of money the Greens’ manifesto said was needed to stop the cuts.”
As part of the deal, higher and top rate taxpayers will have to pay even more than their neighbours in England than originally proposed.
Murdo Fraser, the Scottish Conservative’s finance spokesman, said Mr Mackay had lurched to the left to “embrace the anti-growth, anti-business agenda of the Greens”.
“What a pity, what a tragedy for Scotland, that he chose to throw in his lot with the lentil-munching, sandal-wearing watermelons on that side of the chamber,” the Perthshire-based MSP said.
Willie Rennie, the Scottish Liberal Democrats leader, said: “Instead of delivering a bold and green country the Green Party have simply helped the SNP deliver a grey and timorous budget.”
Mr Mackay said the government has “listened and acted” to the “constructive approach” taken by the Greens.
He said: “At a time of significant challenge in our economy, this is a budget that will support jobs and lay the foundations for future growth.
“The budget provides a strong settlement for local government, including additional funding for educational attainment, increased capital resources and increased revenues from council tax.”
A final vote on the budget bill will be held later this month.
