Birmingham leader makes grim prediction for 2024 amid ‘brewing crisis’ across country

The leader of Birmingham City Council has made a grim prediction for 2024 amid a 'brewing crisis' among local government. The Labour-run council[1] is currently in a bleak financial position due to a perfect storm of issues, including rising demand for services, an equal pay fiasco, the failed implementation of a new IT and finance system and years of austerity cuts. Addressing a meeting of the city council's Cabinet, leader John Cotton warned that Birmingham was far from the only local authority in dire straits and took aim at the period of austerity brought in by the Conservative[2] government. "There are specific Birmingham problems that we've got to fix and my colleagues won't shy away from that," Cllr Cotton told the meeting.

"But I think 2024 will be the year we see the consequences of austerity and the hollowing out of local government since 2011 come to play in real terms". According to BBC analysis[3], UK councils owe a combined GBP97.8bn to lenders while major cuts are being planned at other councils across the country. Cllr Cotton continued: "Councils across the country are facing a huge increase in demand for services.

While we work hard to address the specific issues facing this council, I absolutely join leaders of all stripes across the country in making that case for a fairer deal for local government." "I think it's clear in all corners of this country, and in all political leaderships of all councils, there is a real crisis brewing," he added. Conservative opposition leader Cllr Robert Alden responded by saying his group had long supported calls for more long-term funding for local government but argued that the council's leadership needed to stop blaming others for "mistakes made in Birmingham."

"It's just not credible to claim this is anything but the catastrophic failure of this administration to manage the council's budget," he said. He went on to warn that the city is facing the prospect of the "utter destruction of services"[5] due to the council's situation. Cllr Roger Harmer, Lib Dems[6] group leader, added: "There are major national issues with local government finances but the biggest issues here are of the council's own making".

In a report presented to the Cabinet, Finance chief Fiona Greenway, the council's Section 151 officer with legal responsibility for signing off the budget, set out how far the council leadership has got so far in its work to cut costs while preserving services for the most vulnerable.

The details of the budget cuts remain under wraps but services across Children and Families, Adult Social Care and City Housing are expected to be slashed.

Cllr Cotton said at the meeting: "We're doing everything we can to minimise the impact on vulnerable residents."

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References

1. ^ Labour-run council (www.birminghammail.co.uk)
2. ^ Conservative (www.birminghammail.co.uk)
3. ^ BBC analysis (www.bbc.co.uk)
4. ^ 'Utter destruction of services' fear for broke Birmingham City Council (www.birminghammail.co.uk)
5. ^ "utter destruction of services" (www.birminghammail.co.uk)
6. ^ Lib Dems (www.birminghammail.co.uk)
7. ^ You can sign up for free here (data.reachplc.com)
8. ^ app (www.birminghammail.co.uk)