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Devolution and Local Government Reform: Speed Read

The English Devolution White Paper and the subsequent English Devolution and Community Empowerment Bill describes the steps that the Government will take to achieve universal coverage across England for the devolution of powers from Westminster to local government. Currently, 61% of England is covered by a devolution deal (90% of the North of England but only 46% of the South of England). This initiative aims to decentralise power from Westminster with a view to end the “parent-child dynamic” between central and local government.  

Overview of key points:

Restructuring local government

 

The Government has proposed significant local government re-organisation in England, re-organising two-tier authorities into larger unitary authorities with a population of 500,000 or more (with some exceptions). Some existing unitary authorities may also be re-organised, “where there is evidence of failure or where their size or boundaries may be hindering their ability to deliver”.

 

On 6 February 2025, the Ministry of Housing, Communities and Local Government (MHCLG) issued a statutory invitation under Part 1 of the Local Government and Public Involvement in Health Act 2007 (LGPIHA 2007) to all two-tier local authorities and small neighbouring unitary authorities to develop proposals for local government re-organisation.

 

After a challenging process, all final proposals were submitted ahead of the November deadline (with Surrey submitting theirs earlier due to their accelerated programme).   For our analysis of those proposals, click here. 

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From our initial review of all of those proposals, it is clear that this will be the biggest shake up of local government in over 50 years. Here are some of the key numbers to demonstrate this:

 

317 – the current number of councils in England

187 – the highest number of councils we will have in England after LGR

150 – the lowest number of councils we will have in England after LGR

165-175 – the expected number of councils post LGR based on how proposal match up to Government requirements.

 

No area submitted a single proposal, meaning the Government will have to review each one on its merits and decide which to progress. 

 

Significant disruption will follow, with new shadow authorities needing to be created and existing councils having to take some very tough decisions with them around transitional arrangements.

 

The two new unitaries in Surrey must be vested by 1 April 2027, with all others needing to vested on 1 April 2028.  

 

For more details about local government restructuring, click here.

Our Local Government Specialists

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Senior Partner

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Client Director

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Consultant

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