23 June 2025The government has launched a consultation on its proposed approach to local authority funding reform through the Local Government Finance Settlement from 2026-27.
The consultation covers:
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Determining local authority funding allocations
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Approach to consolidating funding
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Measuring differences in demand for services and the cost of delivering them
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Measuring differences in locally available resources
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The New Homes Bonus
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Transitional arrangements and keeping allocations up-to-date
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Long-term approach to the business rates retention system
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Devolution and wider reforms
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Ways to reduce demands on local government to empower them to deliver for communities; and sales, fees and charges reform
Access the consultation here. This consultation closes at 11:59pm on 15 August 2025.
Read the government’s press release on fairer funding here.
The government has also launched a consultation on changes to council tax billing.
Jim McMahon MP, Minister of State for Local Government and English Devolution, made a statement on 20 June on both consultations, which you can read here.
