I have 8.9 GB of photos, how do I delete and make space?

Photo stream photos don't take any space in your account, only camera roll photos do if they are included in your backup. If you want to reduce your storage, either import the photos to your computer and delete them from the camera roll (http://support.apple.com/kb/HT4083), or exclude the camera roll from your iCloud backup. (You can put them in a folder on your computer and sync them back to your device by selecting the folder on the Photos tab of your iTunes sync settings and syncing. They will then be in an album on your device that is not included in the backup.)