Policy paper

Local government finance report 2026 to 2027: draft

The draft Local Government Finance Report for 2026 to 2027.

From:
Ministry of Housing, Communities and Local Government
Published
17 December 2025

Applies to England

Documents

Local government finance report 2026 to 2027: draft

Ref: ISBN 978-1-5286-5414-2

PDF, 406 KB, 33 pages

Details

This report sets out the aspects of the local government finance settlement for 2026 to 2027 which will require approval by the House of Commons at the time of the final settlement early in 2026.

It includes:

  • the proposed Revenue Support Grant distribution
  • the basis of the calculation of Baseline Funding Levels and ‘tariff’ and ‘top up’ payments that form part of the Business Rates Retention system
  • the determination of the ‘central’ and ‘local share’ of business rates
  • and the designation of business rates pools

Updates to this page

Published 17 December 2025

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