Correspondence

Local government reorganisation: letter to areas invited to submit final proposals

Published 25 July 2025

Applies to England

From: Jim McMahon OBE MP, Minister of State for Local Government and English Devolution

To: Leaders of the councils in the 21 areas invited to submit proposals for unitary local government

Date: 24 July 2025

Dear Leader,

Local Government Reorganisation is a key part of the government’s mission to fix the foundations of local government, and build a system which is fit, legal and decent. I want to reiterate my commitment to continue working closely with you and to thank you for your ongoing dedication to delivering a single tier of local government. Together we will create clearer, more sustainable local government structures that unlock crucial efficiency savings and ensure more resources are directed to the frontline.

Reorganisation will be a test bed for public service reform, where new ways of working become mainstream. It creates a huge opportunity to rethink how services are delivered, so they join up around residents and focus on prevention, and we are grateful to you for all the work you have done to take advantage of that opportunity. As just one example, we are asking areas to consider partnership options for joint working across the new unitary authorities for the delivery of social care. We have heard from areas and stakeholders that they would appreciate further details on this; I am pleased to share the attached document Local government reorganisation: considerations for partnership working in social care for new unitary authorities.

I also wanted to share further information on the process once final proposals have been submitted, and our expected timelines, which can be found in the attached document Summary of the local government reorganisation process. I am also sharing an explanatory note on Financial decisions before local government reorganisation, which I urge you to consider and share with Members across your councils. It is essential that decisions regarding ongoing service delivery and the medium term financial strategy of existing councils do not compromise the future sustainability of new councils.

I have been clear in my invitation letters that we expect councils to make every effort to work together within an area on the development of their final proposals. Where this is not happening, I will take action. I encourage you to continue to build strong relationships and agree ways of working, including around effective data sharing to support the development of a robust evidence base. Where possible, all final proposals within an area should use the same assumptions and data sets, or be clear where – and why – there is a difference.

I continue to be asked about population size. I know that proposals are being developed with a population size of more than 500,000, and for a population size of less than 500,000, and it is right that areas have the flexibility to put forward proposals that they believe are right for their area. We have asked that all proposals, whether they are at the guided level, above it, or below it, should set out the rationale for the proposed approach clearly.

We will continue to work closely with you, the LGA and other sector bodies. I recommend you make use of the wealth of information on the LGA hub, which includes recent updates to the FAQs. My officials are in place to support areas in developing their LGR proposals over the summer and going forwards, as we are doing with councils in Surrey as the statutory consultation progresses.

Thank you again for your continued hard work and support delivering this ambitious programme to reform the public services our residents rely on. I look forward to speaking to you again soon.

I am copying this letter to your Chief Executives. I am also copying this letter to local MPs, Mayors and Police and Crime Commissioners and will be publishing it on gov.uk.

Yours sincerely

Jim McMahon OBE MP

Minister of State for Local Government and English Devolution