Birmingham City Council has been urged by opposition councillors to reconsider plans to sell 'prime land' near HS2 for a 'quick buck'. The Labour-run council has sold a huge array of properties and land since declaring itself effectively bankrupt in September 2023.
More property sales were given the green light this year, including land at Fox Street in the heart of the Knowledge Quarter, a stone's throw from HS2's Curzon Street Station. The council previously said the vacant land is subject to a 'recent escalation of anti-social behaviour', resulting in costs to keep the site secured.
Tory Councillors Criticize Decision
Tory councillors have described it as 'prime development land' and argued the council is 'prioritising a short-term one-off capital injection over Birmingham's longer-term financial stability'. They suggested the decision is 'inconsistent' with the policies behind the Knowledge Quarter Agreement, a landmark partnership designed to attract life sciences, advanced manufacturing, and other activity in the area.
'Selling the site for other purposes would limit the availability of developable land for these high-value, employment-generating uses,' the Tories argued. After they launched a call-in request, the decision to sell the land is now set to be reconsidered by cabinet members at the council.
Conservative Councillor Speaks Out
Conservative Councillor Ewan Mackey said: 'We welcome the Overview and Scrutiny Committee's decision to call this in and send it back to cabinet. Labour's rushed sale was yet another example of glossy plans that aren't worth the paper they're written on. The cabinet now has the chance to reverse this short-sighted decision, protect the Knowledge Quarter vision, and deliver long-term opportunities for Birmingham rather than grabbing a quick buck.'
'The site sits at the entrance to HS2's new station,' Councillor Robert Alden added. 'Selling it off now, for a scheme that does not deliver well paid jobs, would be a huge mistake. The cabinet should be seeking a national or global headquarters to relocate from London and bring well-paid jobs with it.'
Council Defends Sale
Cabinet members have been recommended to approve the sale once again at a meeting next Tuesday, April 28. The council argued there are risks associated with retaining the site while going ahead with the sale 'secures capital certainty' and 'reduces financial risk'. It said it could still 'influence future use and design through the planning process in accordance with Knowledge Quarter aspirations'.
'The proposed disposal will enable this underutilised site to be brought forward for redevelopment subject to planning consent, supporting the council's growth agenda, delivering economic regeneration and employment to the city,' the council added last month. 'The redevelopment of this site could potentially generate business rate and/or council tax revenue for the council depending on the final proposed use.'
Government-appointed commissioners, sent in to oversee the council's financial recovery, have also backed proposals to approve the sale. 'The council requires significant capital receipts in order to finance the costs of both equal pay and previous year budget deficits,' they wrote. 'Just under £1 billion in Exceptional Financial Support (EFS) has been agreed in principle by Ministry of Housing, Communities and Local Government. Even though it is hoped the final level of support will be lower there remains a need for significant capital receipts to finance the EFS. The current level of asset sales is £363m so considerable further sales are required.'
