Preet Kaur Gill MP welcomes £651 Million Boost for Birmingham Services
- Preet Kaur Gill MP
- 2 hours ago
- 2 min read
Preet Kaur Gill MP for Birmingham Edgbaston has welcomed Labour’s £651 million cash injection for Birmingham, a 45% increase in the council’s spending power to protect and rebuild vital local services.
After 14 years of Conservative austerity, Birmingham was pushed to the brink, facing nearly £1 billion in cuts while services people rely on were hollowed out. Labour is now reversing that damage.
This funding is part of Labour’s overhaul of local government finance, ending the Tory system that favoured wealthy shires while cities like Birmingham were left to struggle. Under Labour’s Fair Funding settlement, money will go where need is greatest.
Birmingham’s £651 million boost will help restore libraries, youth services, clean streets, community hubs and support essential services including bin collections, housing and children’s services. Councils will benefit from the first multi-year funding settlement in over a decade, giving financial certainty and ending the cycle of crisis management.
Across England, councils will receive over £78 billion for essential services, with core spending power rising by 45% compared to 2024–25. The broken funding model that allowed some councils to hoard reserves while others faced collapse has been scrapped and replaced with an evidence based system that recognises deprivation and real service costs.
Labour Secretary of State for Housing, Communities and Local Government, Steve Reed MP said:
“This is a turning point. We are ending the postcode lottery and restoring the services communities deserve after a decade of cuts.”
Preet Kaur Gill MP, commented:
“After 14 years of Tory austerity, Labour is putting money back into Birmingham.
“This £651 million investment will make a real difference to people’s daily lives – supporting our high streets, libraries, roads and cleaner streets.
“I also welcome the £20 million Pride in Place funding for Bartley Green, giving local people a real voice and backing an area hit hardest by Tory cuts.
“Labour is reversing decline and investing in Britain’s renewal.”