Councils spent millions on Rayner's local government overhaul. Now paused, was it all a giant waste of money?

Significant public resources have been committed and countless hours of officer and member time invested in developing proposals and planning for change.

That is why this week's decision to pause and review local government reorganisation proposals raises important questions for councils. Whatever views authorities may hold on reorganisation itself, many now want greater clarity on the next steps and how to plan for the months ahead.

For many authorities, local government reorganisation has been a major programme of work, undertaken alongside the day-to-day challenge of delivering services and managing ongoing financial pressures.

Over recent months, authorities have commissioned specialist advice, undertaken detailed legal and financial analysis, engaged with residents and partners, developed proposals, and dedicated significant officer capacity to meeting Government expectations and deadlines. Senior officers, finance teams, legal specialists, and elected members have collectively invested substantial time and effort in progressing reorganisation plans.

That work was undertaken in good faith and in response to the direction set by Government. Councils have engaged constructively throughout the process while continuing to manage rising service demand, workforce pressures, and challenging financial circumstances.

Many councils have allocated funding to support local government reorganisation work. Officers and elected members have also made professional commitments based on an expectation that reorganisation would progress within the previously indicated timetable. Authorities would therefore welcome further clarity on how resources should be managed during this review period and whether they should remain reserved for reorganisation activity.

Equally important is the question of costs already incurred. Government has previously indicated that councils would be supported with expenditure associated with progressing reorganisation. Local authorities will understandably seek reassurance about how that support will operate and whether those commitments remain unchanged during the review.

Council leaders are now being asked practical questions with no clear answers yet. Should reorganisation work continue in some form? What happens to staff employed specifically to support the programme? Do existing restrictions relating to spending and decision-making remain in force? What should councils be planning for while the review is underway?

Many authorities are therefore looking forward to receiving further guidance from Government in the coming weeks.

There is also understandable interest in the review timetable. Councils need certainty to plan effectively for budgets, workforce requirements and service delivery. The sooner clarity is provided, the easier it will be for authorities to make informed decisions and maintain focus on their priorities.

Uncertainty inevitably creates challenges. It can delay investment decisions, affect workforce confidence, and divert attention from the core purpose of local government: delivering services for residents.

We recognise the Government's desire to ensure that local government reorganisation is legally robust and aligned with its wider ambitions for devolution. No council would argue against decisions being taken on a sound footing. However, if a review is necessary, it should be accompanied by clear communication, meaningful engagement with councils, and a credible timetable.

Local government has demonstrated its willingness to engage constructively with reorganisation. Councils have committed considerable time, effort and resources in responding to Government expectations. What authorities now need is clarity.

Clarity on funding. Clarity on staffing. Clarity on the arrangements that apply during this pause. Clarity on how councils should plan over the coming months. And above all, clarity about what happens next.

Because while the Government may have pressed pause on reorganisation, councils cannot. They must continue setting budgets, managing services, supporting staff, and making decisions for the communities they serve.

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Councillor Nadine Peatfield is SIGOMA Vice-Chair and portfolio holder for Local Government Reorganisation. Councillor Ethan Radford is a SIGOMA Executive Committee member and portfolio holder for Local Government Reorganisation.

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