UK Takes Over Birmingham Council After Second City’s Bankruptcy
- Michael Gove announces move to appoint commissioners
- Labour accuses Conservatives triggering local funding crisis
Fencing surrounding the Birmingham City Council building in Birmingham, UK.
Photographer: Hollie Adams/BloombergThis article is for subscribers only.
The UK government said it will appoint commissioners to take over the Birmingham City’s council, a dramatic move that underscores the perilous state of local authority finances after years of squeezed budgets.
Communities Secretary Michael Gove told Parliament on Tuesday that Birmingham is “failing to comply with its best-value duty” after effectively filing for bankruptcy this month. “It’s imperative to protect the interests of the residents and taxpayers of Birmingham and to provide ongoing assurance to the whole local government sector,” he told lawmakers.