LGR and Devolution

Last week, the government made a further announcement about local government reorganisation (LGR) including a delay in its implementation until 2029. This followed the withdrawal of proposals for the priority areas in September, and pausing all other areas pending a review.

In this latest announcement, five areas including East Sussex and Brighton and Hove, Gloucestershire, Oxfordshire, Warwickshire and Worcestershire, will go ahead, subject to further representations. In the other more difficult areas, however, new proposals will be announced possibly by the new year, but if not by March at the latest. In Essex, it is rumoured a three-unitary solution may be adopted instead of the five selected previously. In Hertfordshire, the four-unitary solution has been withdrawn and will be reviewed. Similarly in Kent with its withdrawn four-unitary solution.

The government paused LGR in September because it may have lost impending judicial reviews being brought forward by several councils including Essex and Hampshire. Some councils, such as Oxfordshire, are still not happy and have been threatening further legal steps. Others will surely come forward. But the government has said informally that once the decisions have been made it will enact the legislation and push ahead.

Elections for the new unitary councils will take place in May 2028, with the new councils going live on 1 April 2029. MHCLG has reaffirmed existing boundaries will remain for the May 2027 elections, which will go ahead as usual, albeit councillors elected will only serve for two years.

Devolution has always been separate to LGR, although ultimately linked as the unitary councils would be part of the strategic mayoral authorities. The pause in LGR did not affect the progression although mayoral elections were postponed in several areas, such as Essex and Hampshire, from 2027 to 2028. There was some pressure to bring those forward to next May, but the government has ruled that out.

The new mayors will not assume powers from the soon-to-be-abolished district, borough and county councils, they will assume powers devolved from central government. Each devolution agreement will be separately negotiated but would usually cover spatial planning, transport, skills and economic development. Devolution will bring additional money into areas and provide a more strategic overview.

In terms of planning and development, apart from the strategic spatial plan each mayor will have to prepare, they will also assume planning call-in powers and will be able to create development corporations to deliver larger scale development.

Some areas are keen to begin the strategic spatial plan process but the government has yet to issue guidance on what this will entail. It is likely that the current local plan processes in all areas will continue until there is something to replace them. Ultimately, that will include the adoption of a spatial strategy, which will then inform the new unitary local plans, which can then replace the existing local plans. It is likely to be well into the 2030s before this all happens.