Birmingham City Council faces a funding gap because of income lost during the pandemic.
Birmingham City Council faces a funding gap because of income lost during the pandemic.

Shabana Mahmood, MP for Birmingham Ladywood, has urgently called on the government to scrap a planned 5% council tax rise that will add £88 to annual household council tax bills for the average Band D home in Birmingham Ladywood.

The Tory Government today opposed Labour’s motion to stop a Council Tax rise for constituents in Birmingham Ladywood.

Birmingham City Council faces a funding gap because of income lost during the pandemic and the additional cost of keeping communities safe from Covid-19.

Shabana Mahmood, MP for Birmingham Ladywood, said:

“At a time when thousands of families in Birmingham Ladywood desperately need support as they worry about the future of their jobs and how they are going to pay all the bills, the government are instead increasing the financial burdens they are facing by planning a council tax rise.

“The Government promised to do what was necessary to support councils in their response to the pandemic, but they are now breaking this promise and councils are being forced to raise council tax in order to fill the funding gap and protect vital services.

“Hiking council tax alongside a pay freeze for key workers and cuts to Universal Credit is no way to thank those who have sacrificed so much during this crisis.  The Government must stop the council tax rise and provide some certainty for thousands of struggling families in Birmingham Ladywood.”

ENDS

 

Editors Notes:

  1. The maximum Band D council tax increase in 2021/22 is £88 in Birmingham: Figure from The Centre of Progressive Policy.
  2. The Opposition Day debate motion, tabled by Labour, was as follows.

That this House calls on the Prime Minister to drop the Government’s plans to force local councils to increase council tax in the middle of a pandemic by providing councils with funding to meet the Government’s promise to do whatever is necessary to support councils in the fight against Covid-19.

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