FINANCE

Brum proposes £300m cuts

Cash-strapped Birmingham City Council will cut spending on services by £300m to balance its books.

Cash-strapped Birmingham City Council will cut spending on services by £300m to balance its books.

The UK's biggest local authority will also hike council tax by 21% over the next two years from April, according to its budget proposals for 2024-25 and 2025-26.

Documents released by Birmingham alongside the budget proposals confirmed the Government has approved £1.25bn of exceptional financial support – in the form of loans that must be paid back partly through asset sales.

Council leader John Cotton apologised ‘unreservedly' for the spending reductions and council tax increase.

He said: ‘We have no alternative than to face these challenges head on and we will do whatever is necessary to put the council back on a sound financial footing.'

The local authority has warned that up to 600 posts may be axed.

Birmingham was forced to issue a section 114 notice in September.

The council is facing liabilities for equal pay claims of nearly £800m.

FINANCE

Delivering innovative services and reorganisation

By Paul Marinko | 30 April 2025

In an epoch-defining moment for local government, will reorganisation turbo charge innovation or will the added burden of restructuring scupper fledgling pla...

FINANCE

Climate change due to wreak havoc on properties

By Izzy Lepone | 30 April 2025

More than six million properties in England are in areas that are at risk of flooding, the Climate Change Committee has warned.

FINANCE

Call for SEND deficit assurance

By Martin Ford | 30 April 2025

The freshly-appointed president of the Society of County Treasurers has called on the Government to give councils certainty over Special Educational Needs an...

FINANCE

The race to embrace transformation

By Martin Ford | 30 April 2025

Amid turbulent times for council finances, the new president of the Society of County Treasurers, Rob Powell, spoke to Martin Ford about his priorities for t...

Popular articles by William Eichler