Birmingham City Council is to cut 1,100 jobs as it receives funding threat from the government saying grants towards the council will be reduced by £53 million next year and £332 million over the next five years.

The heads of Birmingham City Council says around £600 million savings must be made by 2017, which is £200 million more than what was planned. The Birmingham City Council leader Sir Albert Bore said that some services would have to be “decommissioned” completely.

Sir Albert Bore also warned that an additional £60 million to £70 million cuts on top of the £120 million for 2013-14 could be seen depending on reductions in direct government grants.

Pointing out that Birmingham City Council had employed 19,000 full-time members of staff during its peak, Sir Albert Bore said the figure would fall to less than 15,000 over the “next few years”. Sir Albert Bore said that the details of how many Birmingham Council jobs would be affected by these changes would be not be known until mid-November, emphasising that a few senior staff are likely to be sacked.

Sir Albert Bore also wrote to Eric Pickles, the minister in charge of local government, blaming the continuous cuts in government grants for the council’s “horrendous” financial situation, which has not taken inflation, population changes and other costs into consideration.

A Department for Communities and Local Government spokesman said that the Brimingham City Council “still has £2,576 to spend on every household - more than the average in England of £2,186″, and that the government would be launching new incentives for all local authorities.

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