Residents asked for their views on budgets after "punishing" years

Birmingham City Council wants residents to have a bigger say in its future budgets, after what one cabinet member described as a "punishing" era for the city.

The coalition of Liberal Democrats, Greens and independents that took over after May's local elections has published a draft medium-term financial plan earlier than usual, in October, so that residents can be asked about their priorities well before decisions are made.

Better, but not out of the woods

The council issued what amounted to a declaration of bankruptcy in 2023, leading to deep cuts to services and steep council tax rises. The previous Labour leadership set a balanced budget earlier this year before losing power.

A new report says real progress has been made, but warns that pressures have not gone away. "It costs around £120 million each year simply to meet inflation, pay costs and the needs of a growing population," it says.

A forecast in the report shows budget gaps of £4.9 million in 2027/28, £13.7 million in 2028/29 and £88.2 million in 2029/30 if nothing is done. Adult and children's social care, homelessness and temporary accommodation are named as the main pressures. "The right response is therefore neither complacency nor a return to short-term cuts," the report says. "It requires disciplined investment, sustained transformation and a relentless focus on prevention, productivity and value for money."

The report also says historic equal pay liabilities, one of the main causes of the crisis, are close to being resolved.

"Genuine" engagement

The council leader, Councillor Roger Harmer, told a meeting on Wednesday that the council was already asking residents about their priorities and would do more in future.

His deputy, Councillor Julien Pritchard, a Green, said publishing the plan early gave time "for the engagement to be genuine because we're doing it so far in advance". He said the council's finances were "better than it has been for years" but the administration would not be complacent.

Councillor Chris Garghan, the cabinet member for finance, said the leadership would not go back to a "system of short-term cuts and salami slicing".

Opposition responds

Councillor Jex Parkin, who leads the Reform group, the largest on the council, welcomed talk of a "collaborative approach". "We'll find out in due course how much common ground we have," he said.

The Conservative group leader, Councillor Robert Alden, warned against treating the budget as a one-year exercise. Leaving the 2029/30 gap until 2029 "will lead to the mistakes this council has made in the past", he said.

The coalition's priorities include safer streets, warm homes, culture, youth services, parks and cleaner neighbourhoods, and the report promises expanded street cleaning and a quicker response to fly-tipping.

Councillor Harris Khaliq, the cabinet member for waste and street cleaning, said residents had told him they felt "punished" by past decisions. "They ask me when will bins be collected, will the fly-tipping be cleared, when will the streets be cleaner, when will they feel proud of where they live," he said. "Getting Birmingham's finances under control is not the goal. It is a means to a goal. The real goal is improving residents' lives."