Agenda item

On the 10 January 2025, the Leader wrote to the Minister requesting that Surrey be part of the accelerated track for Local Government Reorganisation. On  5 February 2025, Surrey was invited by government to joint the first tranche of local authorities unlocking devolution to an accelerated timeline. Within this accelerated timescale, Surrey will need to submit an interim plan for Local Government Reorganisation by the 21 March 2025, followed by a full proposal on 9 May 2025. This Cabinet report sets out the draft interim plan and asks Cabinet to discuss and agree for the Leader to submit the interim plan to government, in line with the government’s deadline of 21 March 2025.

RESOLVED:

1.    That Cabinet notes the letter received from government on the 5 February 2025 inviting all councils in Surrey to submit an interim plan for Local Government Reorganisation by 21 March 2025 and a full proposal by 9 May 2025.  

2.    That Cabinet approves the Council’s interim plan for Local Government Reorganisation in Surrey (the interim plan comprises Part A in Annex 6 and SCC authored Part B in Annex 7).  

3.    That Cabinet agrees that the Leader of Surrey County Council submits the interim plan to Government for the 21 March deadline.   

4.    That Cabinet notes the District and Borough Councils’ (D&B) authored Part B (Annex 8) and submits this to Government alongside the Council’s Part B for the 21 March deadline.

5.    That Cabinet delegates authority to make any final amendments to the interim plan (and other associated information) for Local Government Reorganisation in Surrey to the Chief Executive, in consultation with the Leader of the Council, before submission within the deadline given by the Secretary of State.

6.    That Cabinet delegates authority to the Chief Executive, in consultation with the Leader of the?Council, to consent to the making of the necessary Regulations to devolve the Land Assembly and Homes England Compulsory Purchase Powers and Adult Skills Fund thereby implementing and giving effect to these aspects which formed part of the County Deal agreed with government in March 2024.  

Reasons for Decisions:

Following the publication of the English Devolution White Paper on 16 December 2024, all councils in Surrey have been invited to move forward on an accelerated pathway for local government reorganisation (LGR), paving the way for further devolution for the county. Approving the Council’s interim plan for LGR in Surrey is an important milestone in our ongoing work with the district and borough councils and government to shape Surrey’s future so it remains a uniquely special place where everyone has a great start to life, people live healthy and fulfilling lives, are enabled to achieve their full potential and contribute to their community, and no one is left behind.

Unitary councils are key to unlocking further devolution for Surrey. A County Devolution Deal was put in place with the previous government and implemented by the current government and will bring more powers and decisions closer to communities. To build on the foundations laid by this agreement, unitary councils will make local government in Surrey fit for purpose so we can take the next steps towards more powers, freedoms and flexibilities to benefit Surrey’s residents and businesses.

Based on our assessment, we believe that reorganising the current 12 councils into two new unitary authorities is the best direction for Surrey to unlock devolution, realise improved local government services, create more financially sustainable local government and to lay the foundations for future public service reform. A shortlist of potential geographical configurations being considered for these unitaries has been included. We recognise that there is support for 3 unitaries but we have explained in the SCC authored Part B (Annex 7) why that is not our preferred option.

Two unitary councils in Surrey would build on current good examples of community engagement and involvement and work even closer with communities to tackle the specific challenges in the towns and villages they cherish. Partnerships will be more straightforward, less fragmented and more cost effective. Having fewer councils will help enable more transparent, quicker and effective partnership decision-making.

Whilst we seek further devolution for the county, we are also focused on implementing the County Deal agreed with the previous government in March 2024. Securing delegated authority to the Chief Executive, in consultation with the Leader, to consent to the necessary regulations needed to devolve the Homes England Compulsory Purchase Power and the Adult Skills Fund to the county council, is a further step towards fully implementing these devolved powers to the County Council.

(The decisions on this item can be called-in by the Resources and Performance Select Committee)