Motion calls on government to reimburse Peterborough City Council after ‘U-turn’ on council restructure plans

Major plans to restructure councils into larger unitary models, including in Cambridgeshire and Peterborough, were put on hold by the government earlier this week.

Secretary of state for housing, communities and local government Angela Rayner said the decision to pause the process came in light of new legal advice.

Councils across Cambridgeshire and Peterborough had already put a significant amount of time and resources towards preparations for LGR, including submitting four restructure options for the government to consider which are now up in the air.

Ahead of the next Peterborough full council meeting on October 14, Conservative group leader Wayne Fitzgerald put forward a motion regarding the costs of LGR so far and who would pay for it.

Cllr Fitzgerald asked in his motion that the city council’s chief executive and chief finance officer establish the full cost of LGR to date and write to Ms Rayner and the local MPs to make four points:

– ‘Local taxpayers should not be expected to pay for the government’s LGR U-turn’

– ‘Call on the government to reimburse this council for all costs incurred as a direct result of the Local Government Reorganisation process’

– ‘Call on the government to provide clear answers about the future of Local Government Reorganisation before councils are expected to spend any more taxpayers’ money on the process’

– ‘To make clear this council’s view that the Local Government Boundary Commission for England must be involved in reviewing any local government boundary, ward and council size proposals submitted to the Secretary of State by councils in due course’

Cllr Fitzgerald labelled the decision to halt the LGR process a “shambles”.

“At a time when council finances are already under enormous pressure, every pound unnecessarily spent on Local Government Reorganisation is a pound which cannot be spent on the services our residents rely on,” his motion stated.

It is unclear how much Peterborough City Council has spent on the LGR process so far or how much the government has contributed to these costs.

The city council was approached for comment on the motion but did not respond.

Councillor Shabina Qayyum, Labour leader of Peterborough City Council, said: "The Conservatives obviously want to political point score over everything that we are doing including correcting some of the disastrous mistakes they made in their time as an administration.

"I am in fact incredibly relieved that an extra layer of scrutiny is being given to the decision so as to get the best possible outcome for our residents and to completely dispel the Conservative's absurd allegations of gerrymandering.

"The announcement is not to scrap Local Government Reorganisation, so this motion from the Conservative group is questionable.

"It is in fact a pause, so that government can review decisions made to date, consider the latest legal advice, and reflect on how this transformation aligns with the aspirations and priorities of the new Prime Minister.

"The government's commitment to reform and reorganisation hasn't changed and it remains of the view that unitary councils are a better foundation for mayors and strategic authorities.

"Therefore the time, effort and money that has been spent so far is not a waste, and we will pick up where we left off once we receive advice from government.

"It goes without saying that there needs to be significant investment to achieve this monumental shift in local government, to ensure it can be delivered in a safe and legal way, particularly for those residents who are more vulnerable and rely on our services.

"However, the result of that investment will be a streamlined system of councils which are more cost effective and simpler for residents to access the services they need."