Government restarts reorganisation for five areas

Ministers announced on Thursday (29 October) that reorganisation will proceed in East Sussex and Brighton and Hove, Gloucestershire, Oxfordshire, Warwickshire and Worcestershire.

In East Sussex and Brighton and Hove, the Government is backing a two-unitary proposal, including boundary changes requested by Brighton and Hove City Council, with the exception of the parish of Falmer.

The decision comes after East Sussex County Council launched a judicial review challenge against the Government’s approach to LGR, following the pause. At the time, the council said it had lodged the challenge on a “protective basis”. Lewes District Council has taken similar action.

East Sussex has previously opposed plans to transfer parts of its area to Brighton and Hove.

Today's announcement confirms that the Government will proceed with its original decision to create two unitary authorities in the area.

Meanwhile, the Government has confirmed that Gloucestershire will become a single unitary authority, while Oxfordshire will be divided into three unitary areas, including boundary changes.

Warwickshire and Worcestershire will each be split into two unitary authority areas.

The Ministry of Housing, Communities and Local Government (MHCLG) said the decisions demonstrate its continued commitment to the reorganisation programme, adding that ministers will now consider the best way forward for the remaining 15 areas.

These include nine areas where reorganisation was paused in September and where previous decisions have now been withdrawn.

However, the Government stressed that withdrawing these decisions does not mean reorganisation has been cancelled in the affected areas.

It said all options and proposals remain under consideration, with every area expected to have an outcome by early next year.

The announcement also confirmed that local elections in these areas will go ahead in May 2027 on existing council boundaries, providing certainty for local leaders and communities.

New councils will be established in 2029, with elections to shadow councils taking place in May 2028.

The Government also announced that areas with previous decisions will receive £450,000 for each previously announced new unitary authority from the £63 million capacity fund, to cover costs already incurred in implementing reorganisation.

Cambridgeshire and Peterborough, and West Sussex, will each receive £500,000, as decisions have yet to be made in those areas. The funding will be distributed in the coming weeks.

Minister for Local Government, Devolution and Regional Growth Jim McMahon told Parliament on Thursday: "Yesterday’s budget showed that we are committed to giving local leaders, local councils and local communities the tools to shape their own future.

"No areas want to see a return to two-tiers once strong unitary councils are in place […] The decisions that we take now will be the building blocks for how this country is governed for generations to come."

Cllr Eamonn O’Brien, Chair of the Local Government Association, said: "While today’s announcement provides some certainty for some areas, many councils remain frustrated by the situation they have been placed in. All councils affected need urgent clarity on next steps and how costs already incurred will be met.

“Councils have already committed significant time, capacity and resources to this process, and all costs must be fully funded. Councils cannot be expected to bear the financial and staffing consequences of decisions beyond their control."

Cllr O'Brien added: “As the review progresses, we urge government to provide clarity on the process, decision-making framework, and legal position. The review also needs to consider the impact on essential services, taking account of the cumulative effect of wider reforms, and avoids delaying devolution where proposals can strengthen local leadership, deliver value for money, drive growth, and improve outcomes for communities.

“Moving forward, there needs to be a reset in the relationship between government and councils on LGR, with local government fully engaged in shaping decisions from the outset."

Adam Carey