The Fair Funding Review 2.0: How will council funding change?
The government proposes to change the way total funding for local authorities is distributed, aiming to make it fairer and simpler.

Looks at the provisions to allow councillors access to the Local Government Pension Scheme from 2003 and the removal of this for councillors in England from April 2014
Access to the Local Government Pension Scheme for councillors in England (402 KB , PDF)
From April 2003, regulations were introduced allowing councillors to be members of the Local Government Pension Scheme (LGPS) at the discretion of the local authority. This provision was introduced by the Labour Government on the basis that many councillors had lower occupational or personal pensions than they would otherwise had, as a result of their commitment to their duties as a councillor. Allowing access to the LGPS was intended to address this disincentive from serving in local politics. (HC Deb 7 April 2003 c8WS).
In December 2012, the current Government proposed that there would be no access for councillors to the LGPS in England from April 2014. Its argument was that councillors were volunteers, who received allowances to compensate for ‘out-of-pocket’ expenses. They were not “full-time politicians, nor should they be encouraged to become so” (HC Deb 19 December 2012 c105-6WS). The vast majority of respondents to the consultation, many of whom were councillors, said they were opposed to change. However, the Government decided to exclude any new membership from April 2014. Access for existing councillors would end with their current fixed term of office (for example, from May 2014). (HC Deb 11 March 2014 c13-15WS).
Access to the Local Government Pension Scheme for councillors in England (402 KB , PDF)
The government proposes to change the way total funding for local authorities is distributed, aiming to make it fairer and simpler.
A briefing paper on the June 2025 government consultation on reforming local government funding, "The Fair Funding Review 2.0"
Collective defined contribution (CDC) schemes are a new type of pension scheme in the UK. Sometimes also referred to as Collective Money Purchase Schemes, CDCs were introduced by the Pension Schemes Act 2021.