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Heated Commons debate over Birmingham City Council cuts

A heated debate in the commons took place today when Communities Secretary Eric Pickles criticised Birmingham City Council for increasing costs of around £10 million per year.

John Hemming MP for Birmingham Yardley raised the question if it was fair that council tax payers should pay an increase of 24% as he said some Birmingham City Council staff will be receiving a 70% wage increase.

Eric Pickles called the increase "an outrage".

Government responds to latest Birmingham City Council cuts

In response to the 900 jobs losses and cuts of £110million to Birmingham City Council's budget for 2013/2014, the Department for Communities and Local Government has issued the following statement.

"Next year's funding for councils will be announced shortly. Councils still account for a quarter of all public spending - £114bn of taxpayers money - so they must help act to reduce the inherited deficit.

"This year, while Birmingham pleads poverty, it is hoarding £112 million in reserves, getting almost £400 more per household than the national average to protect frontline services, been given a £1.5bn city deal, £22m Growing Places Funding, an Enterprise Zone and £7.5 million in New Homes Bonuses.

"The Chancellor has exempted councils from the reductions Government must make in 2013-14. This will give councils like Birmingham time to find sensible savings by transforming frontline service delivery as well as reducing fraud, procuring better and sharing back offices. In addition taking up the Government's third council tax freeze fund offer is potentially worth over £200 to their Band D residents."

– Local Government Minister Brandon Lewis

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Birmingham City Council slashes millions from budget with hundreds of redundancies ahead

by Chris Halpin

The leader of Birmingham City Council has described the latest round of government cuts to its budget as "the end of the local authority as we know it".

Sir Albert Bore today confirmed that hundreds more people are losing their jobs, to help save hundreds of millions of pounds over the next four years. Chris Halpin reports.

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Birmingham City Council to pay over £700 million compensation, full report

Birmingham City Council has agreed to pay out more than £700 million in compensation to some of its female workers who were paid less than men for doing the same job.

The illegal practice was going on for years until the women took their employers to a tribunal. The council doesn't have the money to pay the claims so it's going to take out a huge loan which will take twenty years to pay off.

The council has warned that any services it does not have to provide by law might be cut.

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