Council leader says council tax will rise but core services will improve

Budget proposals for Birmingham City Council are expected to be announced tomorrow

Author: Claire EmmsPublished 4th Feb 2025

Council tax will rise by 7.49% in Birmingham - but the leader of the council says core services will improve as a a result.

It comes as the Government agreed to hike rates beyond the annual threshold of 5 percent - for six council - including Birmingham.

The council says that the rise will also help in their efforts to regain financial stability

Leader of the Council - John Cotton said today that all priority would now go towards heling the most vulnerable in the city and protect then from the tax hike.

He also added that the extra money would be used to improve services across the city and invest in more services for the residents for the next two years.

It comes as the budget proposals for the Council are expected to be announced tomorrow - to to then be signed off at a full Cabinet meeting in a couple of weeks.

Birmingham City Council declared itself effectively bankrupt in October 2023 as it struggled to deal with equal pay claims originally estimated to total £750m.

Government-appointed commissioners were brought in and residents in the city have already seen cuts to services since then with a council tax rise of 10% for the 2024-25 financial year.

Mr Cotton said talks with the current government have been constructive.

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