"Unanswered questions": Local leaders react to decision to pause major overhaul of councils

Plans to scrap local councils and create a new unitary authority will be paused, it has been announced.

The government's proposals would see Lancashire County Council and Lancaster City Council cease to exist, but on Monday it was announced that the plans are now under review.

This was confirmed by Angela Rayner, Local Government Secretary, in Parliament.

"As we are now determined more than ever to devolve power closer to the people we represent, it's only right that I make sure that everything we do is working towards that plan to change Britain," she said.

"In light of legal advice, I want to satisfy myself firstly that the right process is in place, that it is robust, and of course complies with the law.

"And secondly, I want to fully test whether our proposals for Local Government Reorganisation meet the priorities of a new administration and a new Prime Minister (Andy Burnham) and any additional considerations.

"I have decided to conduct a full review of the Local Government Reorganisation programme and ask that reorganisation activity be paused.

"I recognise the huge amount of work that has already gone in to processing reorganisation in these areas and I am very grateful for it.

"Elections will go ahead in May 2027 on existing council boundaries."

Angela Rayner

In response, Councillor Caroline Jackson, leader of Lancaster City Council, said: “Today's announcement leaves a trail of unanswered questions and it is imperative that there is a swift conclusion to the Government’s review. Uncertainty has already affected our councillors and officers as they try to create priorities, plans and effective services.

“Our priority has always been to ensure that any future arrangements deliver the best possible services for our communities and create a strong, sustainable future. To achieve that, we need certainty and a clear direction.

“Along with the other local authorities affected by LGR, significant time, effort and resources have been invested in preparing for the proposed changes and working towards a potential vesting day in 2028.

“For us, that work has included establishing a cross-party working group to give the council and our communities a strong voice in the process. Officers from across the council have also contributed their time and expertise to the pan-Lancashire programme, supporting workstreams covering areas such as finance, staffing, ICT, governance, assets and frontline services.

“Managing this additional programme of work alongside the delivery of day-to-day services for residents has been extremely demanding for both councillors and officers.

"I would like to thank everyone who has contributed to this work so far; their commitment, professionalism and hard work throughout this process have been invaluable. Covid showed the strength and tenacity of truly local authorities and I think LGR has brought out the same spirit.

“We will continue to engage constructively with the Government and the other Lancashire councils, but it is essential that we receive clarity on the intended way forward as soon as possible.”

Councillor Caroline Jackson

County Councillor Stephen Atkinson, leader of Lancashire County Council, said: “I have consistently made clear that I do not believe Local Government Reorganisation is the right course for Lancashire.

“Changing council structures on this scale would be costly and disruptive, with no guarantee that it would improve services or deliver better value for residents.

“I therefore welcome the decision to pause and review the process. It provides an important opportunity for ministers to reconsider whether such fundamental change is necessary and to listen properly to councils and communities across the county.

“Lancashire’s diverse communities need strong local representation and services that are responsive to their needs. Those priorities should not be put at risk by an expensive reorganisation of structures.

“Our focus must remain on protecting the services people rely on, particularly children’s and adults’ social care, and giving our dedicated workforce the clarity and certainty they deserve.

“We will engage constructively with the government’s review, but we will continue to make the case that Lancashire’s future should be shaped by what delivers the best outcomes for its residents, not by an assumption that reorganisation is the answer."

County Hall in Preston

Mark Wynn, the Senior Responsible Officer for Local Government Reorganisation in Lancashire, said: “We note the Government’s announcement that plans for local government reorganisation in Lancashire will be reviewed and paused.

"Collectively we will consider the detail carefully and continue to work together while the review takes place.

"In the meantime, the focus of all of Lancashire's councils remains firmly on delivering services and supporting residents and communities across the county.”

The plans for Local Government Reorganisation (LGR) had proven controversial, and the Government was already facing legal challenges over proposals to reorganise councils in Essex, Hampshire, Norfolk and Suffolk.

In June, Reform-led councils in Essex, Norfolk and Suffolk launched judicial reviews against the plans, while the Conservative-led administration in Hampshire did the same.

Proposals to merge smaller councils to form larger authorities in Essex, Hampshire, Norfolk and Suffolk have now been withdrawn. The plans for 14 other areas, including Lancashire, are under review.

Reorganisation in Surrey, where councillors for two new unitary authorities were elected in May, will not be affected by the review.

It was announced in July that the Government had confirmed its preferred option for LGR with the existing Lancaster City Council area joining forces with Preston and Ribble Valley.

Locally, there has been a row over what a new unitary authority should be named, with Lancaster City Council wanting it to be called 'Lancaster, Preston and Ribble Valley' -  a wish echoed by Preston City Council and Ribble Valley Borough Council.

But Cat Smith, Lancaster & Wyre MP, and Lizzi Collinge, MP for Morecambe and Lunesdale, both prefer 'North Lancashire'.

A map of the proposed new unitary authority areas

This was part of original plans for Lancashire-wide changes creating four new council areas and abolishing the county's 15 existing local authorities in less than two years’ time - effectively merging large areas of the county that were previously covered by separate councils.

The current Lancashire councils were due to continue to operate until March 31 2028 when all of them – including Lancaster City Council and Lancashire County Council – would have been scrapped, under original proposals.

The plan was for the new unitary authorities across the county to provide all council services in their area, and for them to formally come into being on April 1 2028, existing in shadow form from May 2027 when their first elections were due to be held.

This change was part of the Government’s plan set out in its 2024 White Paper to abolish two-tier (county and district) councils and replace them with unitary authorities to deliver all local services.

The Government said this was to devolve more powers to regions and streamline local governance by delivering all services in one place.

Currently Lancashire County Council provides services like social care, education, roads, and libraries; and District councils (e.g. Lancaster City Council) manage bin collections, planning, housing, and leisure.

The Ministry of Housing, Communities and Local Government has provisionally been using the name 'North Lancashire' for the new unitary authority.

The proposed names for the other three unitary councils in Lancashire are:

· South Lancashire – Chorley, South Ribble and West Lancashire

· Fylde Coast – Blackpool, Fylde and Wyre

· Pennine Lancashire – Blackburn with Darwen, Burnley, Hyndburn, Pendle and Rossendale.

Read more: "Feelings are running high": Battle over name for new local council escalates - Beyond Radio