Context
The provisional local government finance settlement for 2025-26 changes the methodology for levelling-up funding, leading to concerns from the Rural Services Network about disparities in allocation.
Question
The provisional local government finance settlement for 2025-26 introduces changes to the previous methodology for the then levelling-up funding for categorising areas of priority need. The Rural Services Network has highlighted concerns and disparities that shift funding away from rural and coastal communities to urban areas. Can the Minister assure the House that any new funding formula will adequately address the unique challenges of rural and coastal communities? Will he commit to publishing the criteria by which future levelling-up funding decisions will be made?
Answer from The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Alex Norris)
We have been clear that for local growth funding we want to move away from the old model of competitive funding pots and beauty parades, which was short-term and based on central criteria. I can assure the hon. Lady that the model that people get from this Government will be longer term, will be allocative, will have more flexibility and will have more local leadership, and it will of course be targeted at those communities that need it the most.
Not addressed: The Minister did not specifically address the criteria for future funding decisions or provide assurance about adequately addressing rural and coastal challenges.
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