"Financial Distress: UK's Second-Largest City Declares Bankruptcy Amid Equal Pay Claims"

Birmingham, the UK's second-largest city, has declared financial distress, citing years of underfunding by Conservative governments. The Labour-controlled council issued a Section 114 Notice, blocking spending on non-essential services, and blamed a combination of long-standing issues, cuts of £1 billion, inflation, rising costs of adult social care, and reduced business rates income. The council's move follows similar declarations by Croydon Council and Thurrock Council. SIGOMA, a grouping of urban councils, warned that one in ten of its members have no prospect of balancing their books, with nearly 20% expecting to do the same in the next year.