Unitary Councils
The question
To ask the Secretary of State for Housing, Communities and Local Government, with reference to her Department's policy paper entitled English Devolution White Paper, published on 16 December 2024, what the evidential basis is that unitary councils save money.
Answered by Jim McMahon
The Case For Local Government Reorganisation in the English Devolution White Paper, states “In 2020 a PwC report, “Evaluating the importance of scale in proposals for local government reorganisation”, for the County Councils Network, estimated that reorganisation of the then 25 two-tier areas to a single unitary structure would have a one-off cost of £400 million, with the potential to realise £2.9 billion over five years, with an annual post implementation net recurring saving of £700 million. The unitary proposals submitted in relation to the most recently established unitary councils identified a range of efficiencies that could be achieved where council services are brought together in one organisation. For North Yorkshire Council, established in April 2023, unitarisation has enabled the council to manage financial pressures through structural changes and service transformation which are expected to achieve more than £40 million in savings by March 2026.”
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