This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/uk-england-birmingham-20038979
The article has changed 9 times. There is an RSS feed of changes available.
Version 7 | Version 8 |
---|---|
Birmingham City Council announces cuts and job losses | Birmingham City Council announces cuts and job losses |
(about 4 hours later) | |
Bosses at Birmingham City Council say £600m of savings must be made by 2017, £200m more than originally thought. | Bosses at Birmingham City Council say £600m of savings must be made by 2017, £200m more than originally thought. |
Cuts of £62m to the Labour-run authority's 2012-13 budget were voted for in February with warnings that 1,100 jobs could go. | Cuts of £62m to the Labour-run authority's 2012-13 budget were voted for in February with warnings that 1,100 jobs could go. |
Council leader Sir Albert Bore said some services would have to be "decommissioned" completely. | Council leader Sir Albert Bore said some services would have to be "decommissioned" completely. |
The government said the council still got more than the English average to spend on each of its households. | The government said the council still got more than the English average to spend on each of its households. |
Sir Albert warned the authority could face an additional £60m to £70m of cuts on top of the £120m for 2013-14, depending on reductions in direct government grants. | Sir Albert warned the authority could face an additional £60m to £70m of cuts on top of the £120m for 2013-14, depending on reductions in direct government grants. |
'Horrendous' situation | 'Horrendous' situation |
He has written to Eric Pickles, the minister in charge of local government, for clarification. | |
The council leader said the authority was looking to cut £600m in total over the six years up to March 2017. | |
He blamed successive cuts in government grants for the council's "horrendous" financial situation, which he said had not taken into account population changes, inflation and other costs. | He blamed successive cuts in government grants for the council's "horrendous" financial situation, which he said had not taken into account population changes, inflation and other costs. |
The leader said the government had banned authorities from raising council tax by more than 1.6% without holding a referendum among voters about whether they would be prepared to pay more. He refused to rule that out as a possibility. | The leader said the government had banned authorities from raising council tax by more than 1.6% without holding a referendum among voters about whether they would be prepared to pay more. He refused to rule that out as a possibility. |
Sir Albert said: "This is the end of local government as we have known it. | Sir Albert said: "This is the end of local government as we have known it. |
"But this is not the end of local government completely. | "But this is not the end of local government completely. |
"It needs to be inventive, it needs to find new ways to work with partners like public agencies, schools and the business community to find different ways to do this." | "It needs to be inventive, it needs to find new ways to work with partners like public agencies, schools and the business community to find different ways to do this." |
Sir Albert added: "This is as serious as I've known it in local government." | |
Labour took over the running of the council, the UK's largest local authority, in May from a Conservative/Liberal Democrat coalition. | Labour took over the running of the council, the UK's largest local authority, in May from a Conservative/Liberal Democrat coalition. |
The council said it would be holding several public meetings from next month over which services should go. | The council said it would be holding several public meetings from next month over which services should go. |
There's a good deal of politics in this. | There's a good deal of politics in this. |
As Labour council Leader, Sir Albert is firing the first salvo in this year's round of claim and counter-claim between local authority leaders and ministers leading up to the government's announcement before the end of December of next year's funding settlement for councils. | As Labour council Leader, Sir Albert is firing the first salvo in this year's round of claim and counter-claim between local authority leaders and ministers leading up to the government's announcement before the end of December of next year's funding settlement for councils. |
His negotiating position is not only about decommissioning services. | His negotiating position is not only about decommissioning services. |
He also believes big cities like his get a raw deal compared with southern, Conservative, councils where there is less need for local services and a greater ability to pay for them. | He also believes big cities like his get a raw deal compared with southern, Conservative, councils where there is less need for local services and a greater ability to pay for them. |
The Communities and Local Government Department says Birmingham still has £2,576 to spend on every household against the England average of £2,186. | The Communities and Local Government Department says Birmingham still has £2,576 to spend on every household against the England average of £2,186. |
It adds that Birmingham benefits from government help including a City Deal worth £1.5bn, the New Homes Bonus, a city centre Enterprise Zone and £22m in Growing Places funding. | It adds that Birmingham benefits from government help including a City Deal worth £1.5bn, the New Homes Bonus, a city centre Enterprise Zone and £22m in Growing Places funding. |
Sir Albert said that at its height, the council employed 19,000 full-time members of staff but that figure would fall to less than 15,000 over the "next few years". | Sir Albert said that at its height, the council employed 19,000 full-time members of staff but that figure would fall to less than 15,000 over the "next few years". |
He said it would be mid to late-November before the authority would have more details on how many and what sort of jobs would be affected, although he said some senior posts could be axed. | He said it would be mid to late-November before the authority would have more details on how many and what sort of jobs would be affected, although he said some senior posts could be axed. |
Sir Albert said there could be "no more 'salami-slicing' of services". | Sir Albert said there could be "no more 'salami-slicing' of services". |
"With the extent of the cuts over the past few years and with more to come, we have to start decommissioning services," he said. | "With the extent of the cuts over the past few years and with more to come, we have to start decommissioning services," he said. |
"I am not looking forward to this but it has to be done." | "I am not looking forward to this but it has to be done." |
Ravi Subramanian, Unison's regional secretary for the West Midlands, said: "Our members are very, very worried. | |
"They are worried about their jobs, they are worried about the future of Birmingham and the services to the community. | |
"And at Unison itself, we are really worried about the massive impact this is going to have on the local economy." | |
Mr Subramanian said the union felt the city had seen bigger cuts than most parts of the country and it was asking businesses and residents to join a "Stand-up for Birmingham" campaign. | |
A Department for Communities and Local Government spokesman said the council "still has £2,576 to spend on every household - more than the average in England of £2,186" and the government would be introducing new incentives for all local authorities. | |
A statement said: "Birmingham is already getting government help to grow its local economy, through a city deal worth £1.5bn, the New Homes Bonus, an Enterprise Zone and £22m in Growing Places Funding. | |
"In addition, the government will support a third year's council tax freeze - potentially worth over £200 to Band D residents." | |
"Given councils account for a quarter of all public spending, it is vital they continue to play their part in tackling the inherited budget deficit by making sensible savings." |