Britain's 2nd largest city declares itself bankrupt
Birmingham, Britain's second largest city, has declared itself bankrupt due to equal pay claims totaling up to £760 million, resulting in a halt to all non-essential spending.
Posted 9/6/2023, 4:27:18 AM
greatandhra.com
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The Birmingham City Council in England has declared itself bankrupt due to financial difficulties, with the main causes being equal pay claims and excessive spending on projects such as an IT system and the Commonwealth Games bid. The council has issued a Section 114 notice, halting all but essential spending. The Conservative government has refused to provide further funding, stating that it's the responsibility of local councils to manage their own budgets.
The UK government is taking control of Birmingham, the country's second-largest city, after it declared itself bankrupt, proposing appointing commissioners and implementing a financial recovery plan including job cuts, tax increases, and asset sales.