Ellie Ames 07 December 2023

Birmingham given a month to make £300m savings plan

Birmingham given a month to make £300m savings plan image
Image: Peter Horrox / Shutterstock.com

Commissioners have given Birmingham City Council until 7 January to set out a ‘credible plan’ for addressing a £300m budget gap over the next two years.

A report by government commissioners said the council’s financial position ‘remains extremely serious and challenging’.

They added that ‘given the lack of any early budget work’, it will not be possible to fully address next year’s financial shortfall.

However, meeting the £300m two-year savings target is ‘achievable’, commissioners said.

Their report said that while Birmingham had already made some progress to identify savings, there remains ‘a huge amount of work to do’, which will require ‘a step change in the level of organisational focus and grip’.

Commissioners were reviewing an update of the council’s financial position, set out by its interim director of finance and section 151 officer, Fiona Greenway.

Ms Greenway said the council’s corporate leadership team (CLT) had so far identified £149.8m in savings towards a £215m target for the 2024-25 financial year.

She said: ‘With a savings programme which has historically underdelivered, this means that the council is building a new savings programme from a standing start.’

Ms Greenway told the cabinet that every budget holder must ‘take ownership and responsibility for delivering their savings, and recognise that failure to deliver their savings will undoubtedly lead to reductions in other services including further redundancies’.

Her report recommends that the cabinet delegates authority to the CLT to finish preparing for next year's savings programme, including by starting an employment consultation and engaging with the public, stakeholders and service users.

The cabinet is also recommended to give leaders the go-ahead to request Exceptional Financial Support from the Government, which will include asking permission to increase the level of council tax above the referendum limit and a formal application for a capitalisation direction.

Birmingham’s cabinet will consider Ms Greenway’s update and the commissioners’ review on 12 December.

SIGN UP
For your free daily news bulletin
Highways jobs

Specialist Cleaning Operative

London Borough of Richmond upon Thames and London Borough of Wandsworth
£30,483 - £36,936
Do you want to help our residents live in safe and secure homes? Wandsworth, London (Greater)
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Accountant

London Borough of Richmond upon Thames and London Borough of Wandsworth
Salary from £38,133 to £55,758 depending on experience.
On a day to day a basis, the Accountant will provide support to the Directorate Management Team and Budget Holders Wandsworth, London (Greater)
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Planning Manager (North Team) and Planning Manager (South Team)

Amber Valley Borough Council
Grade SM1 - £48,474 to £49,498 per year
A recent review of the Service has resulted in the creation of two exciting new Planning Manager roles. Ripley, Derbyshire
Recuriter: Amber Valley Borough Council

Senior Care Assistant

Wakefield Council
£21,442.43 to £23,731.62, pro rata. Grade 6
The purpose of this role is to support our Residential Care Unit and provide person-centred care Wakefield, West Yorkshire
Recuriter: Wakefield Council

Co-ordination Officer

Wakefield Council
£26,421.00 - £29,269.00, Grade 6, 37 hours
We are currently looking for a Co-ordination Officer to work as part of a busy team, based at Waterton House. Wakefield, West Yorkshire
Recuriter: Wakefield Council
Linkedin Banner

Partner Content

Circular highways is a necessity not an aspiration – and it’s within our grasp

Shell is helping power the journey towards a circular paving industry with Shell Bitumen LT R, a new product for roads that uses plastics destined for landfill as part of the additives to make the bitumen.

Support from Effective Energy Group for Local Authorities to Deliver £430m Sustainable Warmth Funded Energy Efficiency Projects

Effective Energy Group is now offering its support to the 40 Local Authorities who have received a share of the £430m to deliver their projects on the ground by surveying properties and installing measures.

Pay.UK – the next step in Bacs’ evolution

Dougie Belmore explains how one of the main interfaces between you and Bacs is about to change.