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Economic Development

1,200 jobs to be axed as Birmingham City Council cuts budget by £90m

Council tax is also set to rise by four per cent next year as Europe's largest local authority battles austerity

More job cuts are on the way at Birmingham City Council

Around 1,200 jobs are set to go next year after Birmingham City Council announced a raft of cuts worth £90 million -

Council tax at Europe's largest local authority is also expected to rise by four per cent for 2016/17, adding £46 to the average annual household bill.

The council's budget, which goes out for consultation today, includes details of £258 million in cuts over the next four years.

Major savings are planned through combining forces with the NHS on care services for the elderly, including a £20 million cut already negotiated for 2016/17.

The aim is to reduce dependence on acute and residential care and encourage more independent living.

Negotiations will also take place with trade unions over changes to workers' terms and conditions such as reductions in sick pay and increasing hours in the working week.

The council will look to cut spending on school crossing patrols, lollipop ladies and men by asking schools to pay for them or by finding alternative road safety measures.