CouncilTax up 2.99% in ‘smoke and mirrors’ budget
Tories and Lib Dems slam draft plans as 100 jobs set to go
BIRMINGHAM City Council leaders have been accused of a “smoke and mirrors budget” which does not show how books will be balanced.
The criticism came as it was revealed Council Tax is likely to rise by almost three per cent.
The authority this week published its draft budget for 2022/23 which suggests increasing overall council tax by 2.99 per cent. This includes a one per cent increase ringfenced for adult social care.
It means families will be paying between £34 and £105 more per year – while Band D properties will see bills rise from £1,748 to £1,800.
Opposition group leaders condemned the budget, which suggests 100 redundancies may also be made across the authority.
Liberal Democrat group leader Cllr Jon Hunt (Perry Barr) said: “More than ever, we have a smoke and mirrors budget, which seems to conceal deep problems within the council and should lead us to expect a flurry of unaffordable election promises.
“We are already seeing the council throwing large sums of money at fruitless attempts to solve problems of litter and flytipping, after years of neglecting and aggravating these problems by removing and cutting basic services.
“The next year’s budget is to be balanced by an unprecedented £144 million draw on the city reserves. In subsequent years, there remains shortfalls of at last £30 million. Only about a third of this appears to be due to the Commonwealth Games.
“Most worrying is the following statement in the budget document: ‘This draft budget will require some difficult decisions about service levels and provision both in 2022/23 and over the medium term.’
“It is hard to see any transparency in this budget document about what these difficult decisions are.”
The Tories have concerns about ‘‘one-off plans’’ contained in the budget only for 2022/23 rather than longer term, such as cleaner streets and street scene initiatives.
Deputy group leader Cllr Ewan Mackey (Con, Sutton Roughley) said: “This Labour-run council is refusing to show how it will balance its books before the election, which could leave residents facing the prospect of an ever-growing Council Tax bill to mop up its mess.
“Labour’s plan leaves residents facing a financial gap of £33 million which will see Brummies paying on average £124 each for ever-failing council services.
“This would be on top of the 44 per cent increase in Council Tax since Labour took control in 2012.
“Hard-working residents will be concerned that the administration is desperate to cling onto power so are refusing to come clean with the voters before the election.
“If you read the new policies in the budget with a sharp eye you will see a number of one-off plans, that only last a year, instead of a long-term plan that works for residents, gets our streets clean and finally gets back to getting the basics right.”
Responding to the opposition groups, council leader Cllr Ian Ward (Lab, Shard End) said the draft has come about as a result of listening to the “people of Birmingham”.
He said: “Under Labour, Birmingham is preparing to host the Commonwealth Games, the biggest event that the city has ever hosted, and we’re attracting record levels of investment to deliver the homes, jobs and opportunities that people right across the city need.
“We will deliver a balanced budget and the council’s books are in the healthiest position they’ve been in for 30 years.
“As the independent Chartered Institute of Public Finance and Accountancy (CIPFA) made clear, we ‘should be considered to be an exemplar in the transformation of financial management’.”
This Labour-run council is refusing to show how it will balance its books Deputy Conservative group leader Cllr Ewan Mackey