Simplifying the funding landscape for local authorities
This plan sets out how we will reform the local funding landscape to deliver a simpler, fairer, more transparent and accountable funding system for local authorities.
Documents
Details
The government’s plan for simplifying the funding landscape for local authorities set out our ambition for increasing the effectiveness and efficiency of the current funding system. By reducing administrative burdens, this plan will support local authorities to maximise their return on spending, generating the best outcomes for communities.
The plan detailed 3 main phases for change:
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Immediate simplification of existing funds and communication. This includes a new ‘Simplification Pathfinder Pilot’ to test the streamlined delivery of capital funding in a small group of local authorities. We are also amending our project adjustment request process for the Levelling Up Fund, Town Deals and Future High Streets Fund, giving local authorities more flexibility to change projects.
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A new ‘Funding Simplification Doctrine’ requiring departments to strive for a simpler and more streamlined way of delivering funding to local authorities, including considering allocative distribution approaches.
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Reforms to be implemented at the next Spending Review, including multi-year, single departmental-style funding settlements for the trailblazer Mayoral Combined Authorities and better join up across interconnected policy areas and investment programmes.
The Local Regeneration Fund supersedes the Pathfinder pilot and changes to the project adjustment request (PAR) process.
Updates to this page
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New fund announced, bringing the MHCLG Levelling Up Fund, Town Deals and Simplification Pathfinders Pilot Funds together into one single funding pot. Supporting documents added: AO advice, technical guidance, FAQs and privacy notice.
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Added link to Funding Simplification Doctrine guidance.
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First published.