Birmingham City Council

Vikki Slade Excerpts

Monday 31st March 2025 Commons Chamber

[Madam Deputy Speaker (Caroline Nokes)]

Order. Before I call the Liberal Democrat spokesperson, I remind Members that if they are seeking to contribute in a statement, they must arrive on time. It is extremely discourteous to the Minister, and indeed to the House, to be late.

[Vikki Slade (Mid Dorset and North Poole) (LD)]

I apologise, Madam Deputy Speaker—I ran all the way from the top floor of Derby Gate, but I was not fast enough. I refer the House to my entry in the Register of Members’ Financial Interests: I am an elected member of Bournemouth, Christchurch and Poole council.

The people of Birmingham have a right to receive decent services, and it is critical that the ongoing dispute is resolved as quickly as possible. Like the hon. Member for Birmingham Erdington (Paulette Hamilton), we are concerned about the impact on public health and the environment, and urge the Government to confirm that when waste collection resumes, it will be safely disposed of and recycled where possible, and not just given to the cheapest bidder.

Fundamentally, the Conservative Government slashed funding to local authorities year on year, forcing councils to do more with less and plunging so many, of all political stripes, into financial crisis. However, we are disappointed that the Government have not yet addressed some of the financial crises, particularly around confirmation of the special educational needs override, which I know councils across the nation are really worried about, and which is making it more difficult for them to make decisions about their future plans.

We welcome the multi-year settlements, which I am sure the Minister will refer to, but we remain concerned about how effective they will be. Two recent examples give us cause for concern: the roads funding, which appears to give local authorities more money, actually cuts England’s road repair budget by 5%; and the employer’s national insurance change, which promised to cover councils’ costs for direct staffing in full, did not do so in some cases, including for Bournemouth, Christchurch and Poole council. All that is underpinned by a broken council tax system that is regressive. In some areas, the council tax base is totally inadequate to provide for the growing list of services, and the Lib Dems want to see a radical overhaul.

Birmingham should serve as a lesson for the Government, because this matter is a result of the long-running equal pay crisis. What learning are they taking from the situation in Birmingham, and what extra measures is the Minister introducing to prevent public health and community safety issues?

[Jim McMahon]

I am pleased to say that we are making sure that we deal with the waste piling up in the streets and that the council gets the support it needs, but the hon. Lady is right to say that there is an interrelationship. This dispute does not sit in isolation; it is part of wider considerations on equal pay, and we have to bear in mind that the cost of meeting the equal pay liability for the people of Birmingham is £1 billion. There can be no steps forward in this dispute that double down on the inherent problems that led to the equal pay crisis that the city has faced. These are sensitive negotiations, but it is important that the council continues to negotiate and that people get around the table to find a way through.

The hon. Lady talks about the multi-year settlement that is being prepared for and the simplification of the funding mechanism, but she also mentions redistribution. Birmingham and councils like it have not found themselves in this situation in a vacuum; it has been partly driven by central Government not distributing money in a fair way to deal with service need and deprivation, and it is very important that we get the money to where that deprivation exists. Even under the current one-year settlement, Birmingham has had a 9.8% increase—in cash, that is £131 million.