Response to the commissioners' report

Leader of Birmingham City Council Cllr John Cotton said:

“We welcome the publication of this report from the commissioners and acknowledge that while progress is being made, there is much more to do in our ongoing efforts to ensure we become a financially sustainable, well-run council that delivers good services.

"We continue to engage constructively with the new Government, and like councils across the country, are awaiting both this month's budget settlement and a local government finance settlement later in the year which will set out a one-year emergency package of support for local councils.

"The Government is also committed to a multi-year settlement following next year’s spending review which will give councils much needed clarity and allow us to plan for the future.

"Nevertheless, we face another very difficult budget, and it remains clear that the pace of change must further increase, as further savings are identified, and we transform services. Our new Managing Director Joanne Roney is focussed on that challenge and there will be no let up as we work together to get the council back on track."

NOTES

• We have appointed a permanent Managing Director in Joanne Roney CBE, who is already providing pace, grip, and authority in driving the necessary changes, working with the senior officer team and Commissioners.
• The Improvement and Recovery Plan was agreed in April 2024 and has set the overarching direction and actions to address the issues identified in the intervention. The first part of the plan has been implemented and further stages are now underway, including the development of a refreshed Corporate Plan which will outline what the council will seek to achieve over the next three years.
• A whole council operating model is being developed so that the council can deliver good services, even whilst operating under the financial pressures that are a reality for local government.
• Shaping Birmingham’s Future Together has seen us set a new direction for the council to involve citizens and partners in a much greater way.
• The council’s corporate services have been reviewed, with a commitment to a new workforce strategy that will help deliver the staffing we need to deliver quality services for our residents. This includes a refreshed HR function to enable the effective recruitment and management of staff and improve our culture and achieve best value.
• Financial management improvements continue, with the move to make a permanent appointment to lead the finance directorate. Work continues at pace to identify the savings and cuts that are needed to deliver a balanced budget.
• A much-needed reimplementation programme is now underway for Oracle.
• Progress is being made against the equal pay liability, including a revised a job evaluation scheme and settlement of the outstanding litigation with a target of April 2025 for completion.
• A plan is underway to improve the procurement operating model with a focus on strategic contract management in order to achieve best value.
• Within the housing directorate, progress has been made in response to the Regulator of Social Housing’s letter, reconfiguring the HRA budget to focus on improving the quality of the existing housing stock.
• Within children’s services, the council has completed the review of spend control on children’s social care, and progress is being made on greater join up of services for families to make our services more effective.
• A transformation programme is now in place to improve the waste service – which is the most public facing area of the council which has not been performing at the level our residents expect. By transforming staffing and management arrangements, and procuring a new fleet, we will see improvements in this service in the months ahead.