The battle to save Birmingham’s Citizens Advice Bureau has resulted int the threatened offices winning a year’s funding to stay open.
Birmingham City Council is providing £117,000, while the Government is providing £500,000.
It will replace £600,000 in annual council funding which was axed earlier this year.
The future of five Citizens Advice Bureau (CAB) offices in Birmingham was plunged into doubt when the authority announced it was scrapping funding – a decision that was later ruled to be unlawful by a high court judge.
CAB managers and senior councillors embarked on a public war of words over the decision, but pledged to work together to try to find new sources of funding when they met in February.
The new money has been obtained as a result of those joint efforts.
It comes from a “transition fund” set up by the council and a second “transition fund” run by the Government.
Although there is no guarantee of funding in future years, the CAB will now have enough cash to keep offices open while it looks for alternative sources of income.
Richard Burden, Labour’s Birmingham Northfield MP, said he was delighted at the news but criticised Birmingham City Council’s cuts programme.
He said: “Across the city, the CAB assists 56,000 people a year, many of whom are amongst the most vulnerable in our society.
"Tory-led Birmingham City Council’s disastrous attempts to slash Citizens Advice in our city were nothing short of a scandal.
"Through debates in Westminster, meetings with Ministers, a city-wide campaign and cooperation with voluntary organisations themselves, Birmingham Labour MPs have been proud to stand with those who fought to save Citizens Advice in Birmingham.”
Labour group leader Sir Albert Bore added: “The Labour group on Birmingham City Council attempted to get the city council to see the error of its ways in stopping funding of the CAB and other advice giving agencies.
"It has taken a judicial review to bring the city council to its senses.”
No-one from the CAB or the city council was immediately available for comment.