Local Government Finance Settlement 2025/26
Local authorities in England will have £69.4 billion to spend in 2025/26. Here we look at the changes in this year’s funding, and the longer-term context.

This briefing contains basic details of the structure of local government (counties, districts and unitary authorities); the electoral system, ward structures, and the franchise; the divisions of functions between local authorities; and the process for changing local government boundaries and structures.
Local government in England: structures (507 KB , PDF)
This briefing contains basic details of the structure and functions of English local government. It outlines the system of counties, districts and unitary authorities, and other bodies such as fire and rescue authorities, combined authorities, and Police and Crime Commissioners.
Section 3 explains the system of local government elections, including the systems of electing by ‘halves’ and ‘thirds’ used in many local authorities. It also provides details of the local government franchise (those eligible to vote).
Section 4 provides details of the legal process for structural change in English local government. The Appendix provides a breakdown of the division of responsibilities between county and district councils in two-tier areas.
Section 5 provides brief details of the financing of English local government, including an explanation of the annual Local Government Finance Settlement. The Library publishes a research briefing alongside the annual finance settlement: the most recent at the time of writing was published alongside the Local Government Finance Settlement for 2024/25.
Section 6 provides some historical information about the development of local government in England.
Local government in England: structures (507 KB , PDF)
Local authorities in England will have £69.4 billion to spend in 2025/26. Here we look at the changes in this year’s funding, and the longer-term context.
A briefing paper which "maps" (or summarises) the main elements of the United Kingdom's uncodified constitution.
This briefing note explains the system of referendums on council tax increases in local authorities. It sets out the legislative framework and the thresholds that have been set in previous years.