Birmingham City Council is heading towards a pivotal all-out election in May 2026 after another year of profound challenges and political drama. The authority, which declared effective bankruptcy in September 2023, has navigated a period defined by severe service cuts, a major council tax increase, and ongoing industrial action, setting the stage for a fiercely contested vote.
A Year of Crisis and Conflict
The most visible symbol of the council's troubles throughout 2025 was the protracted bins strike, which caused significant disruption across the city. Triggered by a dispute over the loss of the Waste Recycling and Collection Officer role, the industrial action led to piles of uncollected rubbish, reports of rodent problems, and heated exchanges in council meetings. The union Unite has vowed to continue the strike, potentially beyond the May local elections, as the council pursues alternative workforce arrangements and, in a small number of cases, compulsory redundancies.
Financially, the situation remained dire. The council's 2025/26 budget outlined around £150 million in savings, impacting libraries, parks, street lighting, adult social care, and waste services. Residents faced a double blow of higher council tax and increased fees for hundreds of services. Council Leader John Cotton maintained that "detailed and credible delivery plans" backed the savings and pointed to progress on the council's improvement journey.
Political Unrest and Community Tensions
The Labour administration's grip on power visibly weakened in 2025. A series of resignations from the party, a defection, and absences led to a dramatic loss in a key council vote in November. The Lord Mayor, Labour's Zafar Iqbal, followed convention in a tied vote, siding with the opposition—a moment that sparked cheers from other parties and led Unite to declare that Birmingham Labour had "lost its grip on power."
Community tensions also surfaced in a debate over national identity. The appearance of numerous England and Union flags in suburbs sparked a fierce public debate, with some labelling it a patriotic celebration and others expressing concern over potential political motivations and division. The row even entered the council chamber, where Conservative councillors waved Union Jacks.
Regeneration and Reasons for Optimism
Amid the strife, major regeneration projects advanced, though not without controversy. The approval of the Druids Heath estate regeneration—a plan for 3,500 new homes—was met with anger from some residents fearing they would be priced out. The council has committed to a shared equity scheme to address these concerns.
Looking ahead to 2026 and beyond, there are significant reasons for hope. Major sporting announcements promise substantial economic and cultural benefits. Birmingham City FC unveiled plans for a new 62,000-seat stadium and Sports Quarter, while plans to extend Villa Park's North Stand were approved ahead of the city hosting Euro 2028 matches. Birmingham was also confirmed as a proposed host city for the 2035 Women's Football World Cup bid.
Furthermore, the city's cultural sector received a boost with the confirmation that two new series of Peaky Blinders will be filmed at the Digbeth Loc. Studio. On the council's own finances, there was a glimmer of light: the projected budget gap for 2026-27 reduced dramatically from £83 million to £1.7 million. Government-appointed commissioners acknowledged ongoing challenges like the bins strike and equal pay liabilities but noted improved performance in some areas. Council Leader Cotton argued the authority had "turned a corner," while stressing there is "still much to do."
As Birmingham moves towards the May 2026 elections, the political blame game over the financial crisis is set to intensify. However, the combination of major inward investment, sporting events, and cautious financial progress offers a potential pathway to recovery for a council and a city eager to move past its most turbulent chapter.
