The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government (Baroness Taylor of Stevenage) (Lab)

My Lords, in 2024, councils were on the financial edge and sat as part of a patchwork map that did not make any sense to anybody—it did not to me, and I have been involved in local government for 30 years. The consequences of that and 14 years of funding cuts were the crisis in social care, the decline of our high streets, and councils not feeling empowered to build homes or grow their economies. Inevitably, this contributed to a decline in trust, and division on our streets, as people felt they had no say in the area they see every day when they walk out of their front door. This is important because, in the past, it had always been true that people had more faith and trust in their local council than in the Government, and that was starting to slip away. I do not think anyone can dispute that, in July 2024, local government faced a crisis. Across this House, we may have differing views on how local government got to this point, but we cannot just snap our fingers and reverse the last 14 years. We can commit to a better future and to doing something different for that, with local councils empowered to make the right decisions for their communities and with communities really feeling empowered because they have councils that look after the full range of services that support them. Let me be absolutely clear: this Government do not take lightly the postponement of elections. Democratic accountability is fundamental and of course elections are not optional. The vast majority of elections will be going ahead, but we are undertaking the most fundamental reform of local government for generations, and I think it is important that we are doing so. These temporary postponements, where they have been requested, are intended to help us move to unitary councils quicker and strengthen local democracy, not weaken it. They apply only where the councils themselves have demonstrated a clear case, where reorganisation is already under way and where holding elections now would risk the transition to new councils by introducing confusion and duplication, and by wasting money. Governments of all political colours have postponed local elections during periods of structural reform, including under the previous Conservative Government, and there is clearly statutory precedent for doing so. What would be truly irresponsible would be to press ahead with elections for authorities that may shortly cease to exist, and when councils party to those elections have told us they could put at risk services being ready for the transition to new councils. Some have argued that the Government are acting out of political convenience. That argument does not withstand scrutiny. The postponements are driven by local views and circumstances, not partisan interest. Indeed, Liberal Democrat, Conservative and Labour councils have all come forward with concerns, on which we have acted. We have had that as formal feedback, but I have also had many conversations with local council leaders. Those of us who have worked in local government know both the direct demands of running elections and the wider organisational impacts, including the diversion of critical senior officer time and focus during the pre-election period. Freeing up that capacity allows councils to prioritise service delivery and manage the reorganisation effectively. Running elections for short-lived authorities while simultaneously preparing for new unitary councils would impose avoidable expense while councils are focused on setting up new authorities and protecting front-line services. Reorganisation, done properly, offers the opportunity to reduce duplication, clarify accountability and redirect resources to essential public services that have suffered years of neglect. Councillors’ terms are being extended for a clearly defined period, and fresh elections for the new unitary authorities will take place in 2027, once reorganisation proposals are agreed. Residents will have their say on stronger, more coherent councils, with one set of councillors with clearer responsibilities. This is a pragmatic decision, taken in partnership with local government, grounded in precedent and evidence, and focused on delivering better public services for the communities we serve. I turn to the specific questions that the noble Baroness and the noble Lord asked me. The noble Baroness, Lady Scott, has mentioned the lack of a timetable several times, both here and during debates on the English devolution Bill. There is a very clear timetable. Something is clearly causing confusion here, but I will briefly set out the timetable again. For Surrey, there will be elections to the new unitaries in May 2026. In April 2027, the new unitaries will come into force. For the six devolution priority areas, the consultation is now closed. Decisions for them will be taken by March 2026. In May 2027, there will be elections to the new unitaries. In April 2028, the new unitaries will come into force. In May 2028, mayors will be elected to Sussex, Norfolk and Suffolk, Hampshire, and Essex mayoral combined authorities. For the remaining 14 areas, in February 2026, we will launch our consultation. By May 2026, the consultation will close. Decisions will then be announced around the time of the Summer Recess in 2026. In May 2027, there will be elections to the new unitaries and the new unitaries will come into force in April 2028. We do not believe in imposing these things on local authorities, which is why we have done it in consultation, rather than sitting in MHCLG, drawing a map and saying, “That’s what it’s going to look like”. We have been working very hard with our local authorities. That is why we did not set the boundaries ourselves. We have asked local authorities to work together on geographies that made sense to them, which was absolutely the right way to go. The noble Lord, Lord Pack, asked about the delaying of elections and this not being a new phenomenon. I have set out before in the House that this has been done by previous Governments when they were doing reorganisation. We have always set and maintained a high threshold for postponements. As we have done before, we are responding to serious concerns raised by councils in the reorganisation areas that the 2026 elections were putting at risk their ability to deliver on local government reorganisation. The noble Lord asked me about the funding for elections. Spend on elections is, of course, a matter for local authorities. Our announcement was in response to representations received from councils in local government. Postponement, of course, also avoids the cost of holding elections to councils that are proposed to be abolished. The noble Lord asked me about the cost to economic growth. We need to take a clear view on this: where councils cover all the services in their area and are empowered to take on economic growth, the delivery of housing, transport powers and all the things that drive the economic growth of their area, the aim is to have councils that are able to deliver that for their communities. The noble Lord asked me about the Electoral Commission, as did the noble Baroness, Lady Scott. I have had two meetings with the Electoral Commission in the last 10 days or so. We have had discussions. I spoke to the Electoral Commission only last week when the announcement came out about the postponement of elections. I have spoken to the commission extensively about the elections Bill, which is coming forward shortly, and we will work very closely together on that Bill. We have also had some very positive discussions around the capacity issues, because the commission had a view that the capacity issues we were raising were around the capacity of election teams; election teams in local authorities, particularly in district councils, are quite small. It is not that capacity that I think councils and councillors were worried about; it is the wider capacity of local authorities to manage such a significant, once-in-a-generation reorganisation alongside these sets of elections. I hope that has answered all the questions, but I am happy to take any more.