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Detail of outcome
This is the government response to the Fair Funding Review 2.0 consultation which was open from 20 June to 15 August 2025.
A consultation on the government’s proposed approach to local authority funding reform through the Local Government Finance Settlement from 2026-27.
This consultation closesran atfrom
to
Consultation description
This consultation seeks views on the approach to determining new funding allocations for local authorities and fire and rescue authorities, building on the local authority funding reform: objectives and principles consultation which the government has formally responded to in parallel.
This consultation covers:
determining local authority funding allocations
approach to consolidating funding
measuring differences in demand for services and the cost of delivering them
measuring differences in locally available resources
the New Homes Bonus
transitional arrangements and keeping allocations up-to-date
It also covers:
long-term approach to the business rates retention system
devolution and wider reforms, including how we can bring Strategic Authorities closer to the Local Government Finance Settlement
ways we can reduce demands on local government to empower them to deliver for communities; and sales, fees and charges reform.
It invites views on the possible equalities impacts of these proposals.
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