In a close run ballot, Mr Webster polled 362 votes to see of the challenge of Labour candidate Sarah Cox, who claimed 284 votes.
The councillor is a trustee of the town estate and for many years was an auctioneer and manager at the town’s livestock market.
Turnout for the election - which was called following resignation due to health issues by Tory Alan Pearson - was just 15 per cent.
Melton Dorian Ward is also represented by Independent Pat Cumbers and Green Party representative Phillip Wood.