Angela Rayner has halted Labour's reorganisation of councils, affecting the Government's plans for local authority restructuring. The Ministry of Housing, Communities and Local Government (MHCLG) announced the withdrawal of decisions aimed at streamlining councils in several areas and will conduct a review of the plans. This decision follows updated legal advice and aims to ensure compliance with the new Government's objectives.
At least eight councils have initiated or are considering legal challenges regarding decisions made during Keir Starmer's tenure as Prime Minister. The MHCLG confirmed that decisions regarding council reorganisation in Essex, Hampshire, Norfolk, and Suffolk have been withdrawn based on new legal guidance.
Plans for 14 other areas, announced in July by Rayner's predecessor Steve Reed, will also be reviewed and paused. The review was requested by the new Prime Minister, Andy Burnham. Local elections scheduled for May next year will proceed based on existing council boundaries.
Reorganisation efforts in Surrey will not be affected, and two new unitary authorities in East and West Surrey are set to be established in April next year. Labour aims to eliminate the two-tier system of local authorities in favor of new unitary authorities.
The Government's previous announcement aimed to consolidate 134 councils into 38 unitary authorities across 14 areas, which was criticized by the Conservatives as gerrymandering. Rayner stated that the review is necessary to ensure that the reorganisation aligns with the new administration's priorities and complies with legal standards.
David Simmonds, the Conservatives' local government spokesman, criticized Rayner for what he termed a betrayal of local democracy and called for an apology to those affected by the halted plans. James Cleverly, a former shadow communities secretary, described the paused plans as gross gerrymandering and incompetence.
Reform UK-led Kent County Council is considering a judicial review after not receiving a response from the Government regarding concerns raised. The party also leads councils in Norfolk, Suffolk, and Essex, which have initiated legal challenges.
Reform leader Nigel Farage stated that the Government's plans for local government reorganisation were disastrous and that their judicial reviews forced the Government to reconsider its approach. Simmonds reiterated that the Labour Government's actions reflect a failure to empower local communities.
The Local Government Association (LGA) criticized the Government for mishandling the reorganisation process, which has caused uncertainty for councils that have invested resources in the plans. The LGA called for a clear timetable for reforms and collaboration with councils.
Sean Matthews, chair-elect of the County Councils Network, expressed support for reorganisation that delivers savings and protects local services but noted concerns about the previous decisions. Matthews welcomed the announcement of a pause and review of the programme.
Zoe Franklin, the Liberal Democrats' local government spokesman, labeled the situation an embarrassing and chaotic climbdown, warning that it could jeopardize essential services. Unison's head of local government, Mike Short, stated that the pause leaves employees in greater uncertainty regarding their jobs and services.