Minister insists reorganisation decisions made within criteria as MPs question breakup of districts

Speaking to the Housing, Communities and Local Government Committee on Tuesday (9 June), Alison McGovern acknowledged that some councils disagreed with the decisions, but stated that they were the "right ones" and were taken following a balancing exercise against the criteria.

During the session, MPs questioned the minister about the Government's decision to break up borough and district councils "despite assurances that that would not happen".

This was seen in Hampshire, where New Forest District Council's area will be split between two new unitary councils under the Government's plans.

Commenting on the Government's approach, McGovern said the decision in Hampshire was taken on a "balance across the criteria that we set out, and the Secretary of State has taken decisions that he thinks fulfil those important criteria.”

She added: "I accept that not everybody is going to agree with the decisions that we've taken, that's perfectly fine and normal in a democracy, and I'm sure we will continue to talk about it.

"The objective overall that I want to see is strong unitary councils within a system of devolution that can make sure that every place has a plan to grow both economically and socially, and I think the decisions we've taken in Hampshire, and elsewhere are the right ones in pursuit of those goals."

Her comments come amid legal challenges from at least four councils, two of which argue that the Government departed from its own criteria when making its decisions.

Her remarks also follow a call from 16 county councils for the Prime Minister to publish the Government's rationale behind its LGR decisions.

A joint letter from the counties claimed the Government's approach to LGR poses a "direct threat" to the sustainability of new councils - and that it fails to align with the original criteria.

McGovern commented directly on the legal challenges, stating: "Not everybody is going to agree, that's perfectly normal in a democracy, and if people want to challenge our decisions, that is their right."

McGovern meanwhile told the committee that there is a "sweet spot" in terms of timing LGR, stating that the Government wishes to approach the transition in a thoughtful and careful way, while also not extending the time so much that it keeps local authorities from carrying out their other priorities.

"So I think pace is important. I want to stick to the timetable that we have set out. We are taking decisions in line with that," she said.

Later on in the discussion, McGovern said that the financial situation currently facing local government is "extremely challenging and, I would say, quite uncertain".

She answered questions on the costs-benefits analysis of LGR, insisting that unitary councils "tend to be more effective", adding: "If you think about the objective here, we want local authorities that are more sustainable, and we know that unitary councils tend to be able to provide that we want local authorities that can help their areas grow when it comes to housing and local economic growth, and we know that there's evidence in those areas too."

Adam Carey