Marcelino Nunez scored the decisive goal in the 39th minute, with his dipping and swerving free kick proving to be too hot to handle for Vaclav Hladky.
Kieron McKenna utilised all five substitutions in the second period in a bid to find an equaliser, but the Canaries ultimately stood firm to record a narrow 1-0 victory.
The win tightens Norwich's grip on sixth place in the Championship table, while Ipswich could be dislodged from top spot depending on how their promotion rivals fare in the rest of Saturday's fixtures.
The derby clash failed to live up to the hype in the opening half-hour as the two rivals ultimately cancelled one another out.
However, the contest was given its first major talking point when Josh Sargent raced towards the edge of the box before being brought down by Axel Tuanzebe.
The referee awarded a free kick and opted to hand out a yellow hard despite the calls for a red card from the home faithful.
Nunez wound up a shot from the subsequent free kick, only to see his effort deflect harmlessly wide of the Ipswich goal.
Moments later, the Chile international took full advantage of another set-piece situation, producing a moment that Hladky will want to forget.
The Ipswich shot-stopper could only get a hand to Nunez's swerving free kick, causing the ball to strike the inside of the post and bounce into the net.
Norwich ultimately saw out the remainder of the first period to take a narrow lead into the half-time interval at Carrow Road.
Unfortunately for the visitors, the 15-minute break did little to alter the momentum of the contest as they struggled to move through the gears against their bitter rivals.
In fact, the Tractor Boys were fortunate not to concede a second in the 70th minute when Sargent forced Hladky into action.
With the deficit still a slender one, McKenna's side produced one of their best passages of the game to create an opening for Conor Chaplin, who was unable to direct his left-footed strike on target.
Ipswich started to up the ante in the closing stages of the derby clash, but they could find no way through a stubborn Norwich backline.
David Wagner's side have now won nine consecutive home games, while Ipswich's three-game winning run comes to a disappointing end.