Birmingham City Council: Five shockwaves to expect after budget approved

Shockwaves are set to ripple across Birmingham in the coming months after the city council’s budget was approved during a heated meeting this week.

On Tuesday, March 5, the full council voted to pass a budget which sets out how the Labour-run authority will slash services across the city as it faces an enormous budget gap of around £300 million.

The authority’s dire situation made headlines back in September after it issued a section 114 notice – an alarming admission that it was struggling to manage its finances.

The crisis-hit council has ended up in this unenviable position due to a cocktail of issues including Birmingham-specific issues such as an equal pay fiasco and the disastrous implementation of a new IT and finance system, as well as the rising demand for services and the impact of years of austerity.

Amid a storm of criticism from opposition councillors, council leader John Cotton pointed the finger at the impact of austerity and the Conservative party, insisting that the mistakes made in Birmingham had not occurred in a vacuum before warning there was a “raging crisis” across local government.

“Responsibility cuts both ways,” he said.

As councillors debate who is to blame, the consequences will be felt by residents in every single neighbourhood in the coming months and years.

Here are five major things set to happen next following Tuesday’s critical budget meeting.

1) Council tax rise

Council tax is set to rise by 10 per cent next month in April after the budget was approved earlier this week.

While John Cotton, leader of the council, has said the council tax support scheme will continue, many residents are still anxious and thousands have signed an online petition against the rise.

During Tuesday’s meeting, Cllr Cotton said he “unreservedly” apologises to the people of Birmingham and continued that he was committed to putting the city council back on track.

2) Library consultation

A consultation to shape the future of the city’s library service will be opening soon amid fears that a number of areas may see their library close.

One petition, launched by Liberal Democrat councillor Izzy Knowles, said: “Libraries don’t just provide books – they provide refuge from the cold, company for lonely people, space for community organisations.”

A spokesperson for Birmingham City Council said it was going through a “challenging period” and acknowledged it was an unsettling time for many residents.

“Alongside the broader delivery of library services throughout the city, the process of deciding which libraries become hubs will undergo extensive consultation across online and in-person formats,” they said.

“Our community libraries are all valued assets that provide information, foster knowledge, and offer trusted spaces for residents.

“While we must operate within budget constraints, we are committed to preserving access to vital library resources and services to meet both current and future resident needs.”

They added: “In each locality, we will explore all possibilities for future library provision.

“Subsequently, we will encourage Birmingham residents and stakeholders to participate in public consultations to help shape the library services of tomorrow.”

3) Cultural grants

Iconic venues and organisations, such as the Birmingham REP, Birmingham Royal Ballet, City of Birmingham Orchestra and Ikon Gallery, face losing half of their council funding this year and all of it next year.

The council’s budget’s proposal reads: “Excluding the B:Music premises grant, reduce other grants by 50 per cent in year one (2024/25) and 100 per cent in year 2 (2025/26).”

The potential impact on Birmingham’s cultural scene has been a huge concern in the past few weeks, even causing emotional scenes during a recent council meeting.

“For me, arts aren’t a luxury – they are actually what makes life worth living in this city,” cabinet member Liz Clements tearfully told her fellow councillors. “They are a reason to keep going so I’m personally really devastated about that.”

4) Bin collections

The council’s budget includes plans to move to a fortnightly waste collection, set to be introduced from next year onwards.

The proposed change in the budget reads: “Develop year two (2025/26) proposals that introduce fortnightly residual waste collection, coupled with food waste.

“Also change 5am start times for waste collection crews to 6am.”

5) Parking charges at parks

Proposals to introduce parking charges at some of Birmingham’s most beloved parks were also among the wave of planned budget cuts and changes.

Visitors at Sutton Park, Lickey Hills Country Park and Sheldon Country Park could be hit by the new charges from next year onwards.

The budget reads: “Preparation and capital works to take place in 2024/5 for implementation in 2025/6″.