This month Birmingham City Council issued a s114 notice citing its financial liabilities relating to equal pay claims and an in-year budgetary financial gap of £87m. Since then it has been reported that an additional six councils are at risk of issuing s114 notices. As Sharon Thompson, deputy leader of Birmingham City Council, said: Local Government is facing a perfect storm.’
The inflationary pressure on local authorities has continued to increase as has demand on social care. Local authority reserves are depleting at a faster rate than we have ever seen before.
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