Fears grow over fate of more councils after Birmingham files for insolvency
Local governments in the United Kingdom went into panic mode on Wednesday after Birmingham City Council effectively declared itself bankrupt. Authorities warned that more councils across the UK could declare themselves in financial dire straits.
Birmingham City Council, one of Europe’s largest, declared itself effectively bankrupt on Tuesday. The council, which looks after services in the city, made the move after saying it could no longer fund its 3.2 billion pound ($4 billion) annual budget.
With a population of about 1.15 million people, Birmingham is the second-largest city…
