Ministry of Housing, Communities and Local Government: Public Finance
The question
To ask the Secretary of State for Housing, Communities and Local Government, pursuant to the written statement of 9 February 2026 on Local Government Finance Settlement 2026-27 to 2028-29, whether he has allocated additional funding to MHCLG.
Answered by Alison McGovern
The final 2026-27 to 2028-29 Local Government Finance Settlement confirmed £740 million in new grant funding additional to the provisional Settlement, taking the total new grant funding delivered through the multi-year Settlement to over £4 billion. Local authority funding allocations across the three years can be found here: Core Spending Power table: final local government finance settlement 2026-27 to 2028-29 - GOV.UK.
The £740 million of additional funding is comprised of unallocated budgets for the Spending Review period and additional Exchequer funding. The Barnett formula applies to all increases or decreases to UK Government Departmental Expenditure Limits (DEL).
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