Devolution and Local Government Reorganisation

The government published a white paper on English Devolution and reform to local government on 16 December 2024.  

The white paper is the Government’s statement of its plans to reform local government.  

This includes a wide range of proposals on devolution of powers and funding, but also wider plans for local government reorganisation and changes to local audit.  

This website section aims to explain what the white paper could mean for Charnwood Borough Council and its communities.

What is devolution

Devolution is a process that aims to transfer more power and decision-making from the highest levels of national government down to local areas.

The current government has made devolution a priority and set out plans to create a new network of Strategic Authorities that will cover the whole of England by 2029. The new authorities will be led by elected mayors and will cover a number of local council areas.

These Strategic Authorities will have populations of at least 1.5million people and responsibilities linked to transport and local infrastructure; skills and employment; housing and strategic planning (not determining planning applications); economic development and regeneration; environment and climate change; health and wellbeing; and public safety.

The Government explained these plans in an English Devolution White Paper, published for the first time on 16 December 2024 and setting out what councils must do.

What is Local Government Reorganisation

As part of its plans for devolution, the Government has announced a programme of local government reorganisation that will replace all two-tier county and district councils and small or failing unitaries with new unitary councils that have populations of at least 500,000 people.

These much larger unitary structures would then join together in groups to form Strategic Authorities (those with the elected mayors).

The Government believes that local government reorganisation, together with devolution over a big strategic area, will improve public services and support economic growth.

Leicestershire is a two-tier area as there are seven district and borough councils, including Charnwood, and the county council.

What does this mean for Charnwood

Unless there is a complete reversal of the policy set out in the Government’s Devolution White Paper, there is currently no route by which Charnwood can continue to operate as a borough council in the future.

As things stand, Charnwood will become part of a larger unitary council as a result of devolution and local government reorganisation.

Most new unitary authorities are expected to be in place by 2028.

Can councils opt out of this process

We cannot opt out. All councils must follow the roadmap that is mandated in December’s White Paper and ‘no change’ is not an option.

The Government has been clear that it wants all small unitaries and two-tier areas to bring forward proposals for reorganisation. It intends to deliver this process as quickly as possible, including through legislation, where it becomes necessary to ensure progress.

Who produces the proposals and how

Discussions first started between all Leicestershire district and borough councils, Rutland County Council, Leicestershire County Council and Leicester City Council about how best to enable devolution and shape plans for local government reorganisation.

Leicestershire County Council has since announced that it is unilaterally continuing with its proposal to create a single unitary authority for Leicestershire, without an expansion of the city and without any inclusion of Rutland.

Leicestershire’s district and borough councils and Rutland County Council remain committed to working together to develop alternative proposals which will deliver high-quality, efficient and sustainable public services for our shared area. These proposals will set out how any new councils would strike the right balance between size and maintaining a strong local connection to communities.

We want these proposals to be supported by clear evidence and widespread engagement, so we can be confident they will have a positive impact for our residents, businesses and communities.

When will this happen

In a letter sent to councils on 5 February 2025, the Government explained that it wants interim plans for local government reorganisation by 21 March 2025. These are to be followed by full proposals by 28 November 2025.

The Ministry for Housing, Communities and Local Government (MHCLG) has advised councils that March is primarily a checkpoint to get assurance that councils are working together to develop proposals in line with the Government’s criteria.

March interim plans can describe more than one potential proposal for an area, if there is more than one option under consideration.

When and how will a decision be made

Councils undergoing local government reorganisation need to submit an interim plan for their shared area by 21 March 2025. This interim plan can have more than one option and won’t be set in stone. Full proposals must then be submitted by 28 November 2025.

The Government has said it aims to carry out public consultation around proposals for local government reorganisation in early 2026. The Government expects to make its final decision by summer 2026.

Who will have the final say

The final decision on proposals for local government reorganisation will be taken by the Government.

Council Leaders are responsible for holding discussions between different local authority areas, to help produce an interim plan before 21 March 2025 and full proposals by 28 November 2025. These proposals must also be supported by evidence and widespread engagement. It will then be down to the Government to consult.

Other than working together to bring forward plans and proposals for their area, councils will not get a say in the Government’s final decision.

How you can get involved

Following guidance set out by the Government, we’ll be carrying out widespread engagement involving local partners and stakeholders, residents, our workforce and businesses to help develop the proposals that must be submitted by 28 November 2025.

We will share more information about this widespread engagement after March.

Once a proposal has been submitted, it will be for the Government to decide on taking a proposal forward and to consult as required by statute.

Common misconceptions

Council Leaders will make the final decision for their area

This is incorrect. Council Leaders are responsible for holding discussions between different local authority areas, to bring forward an interim plan before 21 March 2025 and full proposals by 28 November 2025. Once a proposal has been submitted, it will be for the Government to decide on taking this forward and to consult as required by statute. 

The Council is responsible for consultation

This is incorrect. The Government has been clear that it will decide on taking a proposal forward and then lead any consultation. 

Widespread public engagement should have taken place already

This is incorrect. Councils need to submit an interim plan for their area by 21 March 2025. As the first initial deadline is very tight, we are carrying out some initial engagement with stakeholders who represent a wide range of people, communities and sectors to help shape our interim plans.

A more comprehensive package of public engagement will follow this summer. Government will also carry out a consultation on any final proposal, so there will be ample opportunity for people to get involved.