Birmingham City Council

The vote follows the appointment of commissioners by the government to scrutinise the council’s finances and budget plans.

The largest local authority in Europe, Birmingham Council, was taken over by government-appointed commissioners after it had effectively gone bankrupt.

A survey of England’s 41 councils showed that high inflation and increased demand for services could lead to hundreds of millions in overspending.

Mr. Gove tells House of Commons a local inquiry will be launched in ‘due course’ to understand how city got to this position and discuss options moving forward.

The council spent over one billion on the equal pay claims, with an ongoing liability accruing at a rate of five to £14 million per month.