High Court bailiffs have entered Birmingham’s council headquarters building to seize computer equipment over a disputed £5,000 bill.
The administration, which is Europe’s largest single local authority, has an annual budget of £3bn, but is currently facing a funding crisis.
Council officials warned staff today about the potential disruption. ‘Please note that we currently have two High Court Enforcement Officers walking within the Council House taking an inventory of items to potentially settle an outstanding debt.
Bailiffs entered Birmingham City Council’s offices today in relation to an unpaid debt
‘This issue is being managed through Legal Services and we have been advised not to hinder the officers in any way.’
According to the Birmingham Mail, Tory opposition leader on the council Councillor Robert Alden accused Labour of mismanaging the situation.
He said: ‘Birmingham has a budget of over £3 billion yet through mismanagement they now have bailiffs turning up to take a list of items they could take in lieu of payment from the Council for failing to pay suppliers.
‘This is a facial situation. Time and again local suppliers, small businesses employing local residents have to chase the council for payment. Now we discover only six days before Christmas Labour’s Scrooge Council haven’t been paying suppliers putting local jobs at risk and leading to bailiffs having to be called.
‘This level of mismanagement places supply chain firms at risk of going under only a week before Christmas.’
One council sourse said the bailiffs’ unwelcome visit was due to a dispute involving housing benefit.
They said: ‘There are hundreds of ongoing legal actions against the Council, so for one to get to this stage isn’t surprising. But it’s not because we aren’t paying our bills.’
And a spokeswoman for Birmingham City Council said: ‘We did have enforcement officers in the Council House today in connection with a £5,000 debt that we are disputing, but this had nothing to do with suppliers or unpaid bills.
‘We would point out that, due to the thousands of financial and legal transactions that local authorities deal with, it is not unusual for some to eventually involve the courts and enforcement officers.
‘The enforcement action is currently on hold while we deal with this.’
However a Birmingham City Council source claims the enforcement action is not because of unpaid bills to suppliers, but down to a dispute regarding Housing Benefit.
The source added: ‘There are hundreds of ongoing legal actions against the Council, so for one to get to this stage isn’t surprising. But it’s not because we aren’t paying our bills.’